Hot Chili (ASX: HCH) has commenced a scoping study on the flagship Productora copper-gold-molybdenum project in Chile.
Following the company’s A$22.3 million capital raising in December 2011, Hot Chili plans to aggressively pursue activity at its projects in 2012.
Engineering and project development group Ausenco has been appointed to undertake the study, which is due for completion in the September quarter of 2012.
Meanwhile, assays from a 10 week reverse circulation and diamond drilling program completed at Productora before Christmas are being compiled and will be announced soon.
Two multi-purpose reverse circulation and diamond drill rigs are set to restart drilling next week.
In September 2011 Hot Chili released a JORC Resource of 85.1 million tonnes at 0.6% copper, 0.1 gram per tonne (g/t) gold and 146 parts per million molybdenum for 483,000 tonnes of copper, 290,000 ounces of gold and 12,418 tonnes of molybdenum.
The company is targeting a significant resource base from an identified 280-320 million tonne target mineralisation at a similar grade.