Hot Chili Ltd (ASX:HCH) has successfully closed the second tranche of a $4.4 million two tranche placement to sophisticated and institutional investors.
Following approval from shareholders as per standard procedure, the second tranche of shares priced at $0.05 were issued.
Hot Chili is testing a number of large-scale copper porphyry targets at its Productora copper-gold project in Chile.
The company is also evaluating a new gold opportunity to the south of Productora, the historical Sierra Zapallo high-grade gold deposit.
The second tranche of shares were placed with a company associated with Hot Chili’s chairman, Murray Black.
Black commented on his participation saying: “I am pleased to be able to again support the company and provide funding to pursue what I believe to be a very exciting new addition to our Productora copper-gold project in Chile.
"Productora is a great asset that has continued to reveal upside and Sierra Zapallo is just one of several value opportunities that I see as underpinning a very large future mine development.
"I have extensive experience in the gold sector and at this stage I consider the early gold exploration results being produced at Sierra Zapallo to be outstanding."
Hot Chili has a loan facility with globally renown resources investor and lender, Sprott Resource Lending Partnership.
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