Hot Chili Limited announced that it has established a new water company called "HW Aguas para El Huasco SpA" (Huasco Water). Hot Chili holds an 80% interest in Huasco Water and CMP holds a 20% interest, in-line with the two company's ownership interest in "Sociedad Minera El Aguila SpA" (SMEA), holder of all critical water assets for the development of Hot Chili's Costa Fuego copper-gold project in Chile. Transfer of all water assets (maritime water extraction licence, water easements, costal land accesses and second maritime application) from SMEA to Huasco Water has commenced.

Huasco Water aims to develop a multi-user seawater and desalinated water supply network to supply future water demand for communities, agriculture and new mining developments for the Huasco Valley region of Chile. Hot Chili and CMP underpin Huasco Water as potential foundation off-takers (Hot Chili's Costa Fuego Copper project - approx. 700 l/s of future sea water demand and CMP's Los Colorados iron ore mine - approx.

200 l/s of future desalinated water demand). First water off-taker discussions underway with nearby mine developers accounting for 3,700 l/s of potential future desalinated water demand with additional non-mining, desalinated water customers also identified within the Huasco Valley, proximal to Hot Chili's Costa Fue go copper hub. Further updates on Water Supply Business Case Study and potential off-taker discussions expected.

Copper mining major Antofagasta have sold their water assets and water rights to the Centinella copper mine for USD 600 million to a consortium (Transelec and Almar Water), which will also Finance, Build, Own, Operate (BOO) and sell seawater for the Centinella mine expansion, aiming to increase copper metal production by 140ktpa, The Centinella copper mine is operated using seawater for processing, The existing Centinella water assets include a 144km long seawater pipeline from port to mine, which Transelec and Almar will acquire and continue supplying Centinella with approximately 1,200 l/s, Transelec andAlmar will build a parallel 144km long seawater pipeline using Centinella's water rights to supply an additional 650 l/s to Centinella, Antofogasta to save $380 million in capital expenditure for the construction of its stage 2 water infrastructure expansion, Centinella water expansion project will begin operations in 2026 following a 20-month construction process. A number of factors could cause actual results to differ materially from a conclusion, forecast or projection contained in the forward-looking statements in this news release, including, but not limited to, the following material factors: the ability of the Company to complete the Water Supply Business Case Study, securing water off-take customers; obtaining all required regulatory approvals to develop a regional water network; operational risks; severe risks associated with the Company's operations in Chile; changes in estimates of mineral resources of properties where the Company holds interests; recruiting qualified personnel and retaining key personnel; future financial needs and availability of adequate financing; fluctuations in mineral prices; market volatility; exchange rate fluctuations; the production at or performance of properties where the company holds interests; ability to retain title to mining concessions and water rights; environmental risks; financial failure or default of joint venture partners, contractors or service providers; competition risks; economic and market conditions; and other risks and uncertainties described elsewhere in this news release and elsewhere in the Company's public disclosure record. Although the forward-looking statements contained in this news release, the Company has made assumptions regarding: future commodity prices and demand; availability of skilled lab; timing and amount of capital expenditures, future currency exchange and interest rates; future currency exchange and interest rates, the impact of increasing competition; general conditions in economic and financial conditions in economic and financial markets; availability of drilling and related equipment; effects of regulation by governmental agencies; future tax rates; future tax rates; future operating costs; future operating costs; and other risks and risks; economic and other risks and uncertainties described in the Company's public disclosure records.