22 Dec, 10

New Pacific Metals Corp. Completes $24.3 Million Private Placement

whitegoldbc2010

Vancouver, British Columbia (December 22, 2010) – New Pacific Metals Corp. (TSX-V: “NUX”) (“New Pacific”), announces that, further to its press releases dated December 3, 2010 and December 6, 2010, New Pacific has completed the brokered private placement (the “Brokered Private Placement”) of 11,500,000 units (“Units”) of New Pacific at a price of $1.35 per Unit and non-brokered private placement (the “Non-Brokered Private Placement”) of 6,500,000 Units of New Pacific at a price of $1.35 per Unit. The Brokered Private Placement was conducted on a best efforts basis by Salman Partners Inc. and Raymond James Ltd. (the “Agents”). The Agents fully exercised an over-subscription option granted by New Pacific to place an additional 1,000,000 Units at $1.35 per Unit. Each Unit is comprised of one common share and one-half of one common share purchase warrant. Each whole warrant is exercisable at $2.00 per common share for an 18 month period expiring June 22, 2012.

The proceeds of both private placements will be used to finance continuing exploration and development activities of New Pacific’s exploration projects and for its general working capital.

In connection with the Brokered Private Placement, the Agents received a cash commission of 6% of the gross proceeds raised under the Brokered Private Placement and that number of transferable broker warrants equal to 3% of the aggregate number of Units sold under the Brokered Private Placement.

All securities issued pursuant to the private placements are subject to a four month hold period expiring on April 23, 2011.

About New Pacific Metals

New Pacific is engaged in the exploration and development of mineral resources in Canada and China. New Pacific’s strategy is to focus on projects which it believes can be developed in a relatively short time frame into high-margin operations with reasonable development capital profiles. Its goal is to get projects into production with sufficient initial resources, but before the full resource potential of the properties are defined, so that later exploration and potential development costs can be funded from the cash flows generated from early operations.

For Further Information:
New Pacific Metals Corp.
Investor Relations
Phone: +1 (604) 633-1368
Fax: +1 (604) 669-9387
Email: info@newpacificmetals.com
Website: www.newpacificmetals.com

Forward Looking Information

This news release may contain forward-looking statements (within the meaning of applicable securities laws) relating to New Pacific. Forward-looking statements are identified by words such as “believe”, “anticipate”, “expect”, “intend”, “plan”, “will”, “may” and other similar expressions. This information involves known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking information. Forward-looking information in this news release includes, without limitation, statements made in respect to the disclosed use of proceeds. All forward-looking statements in this news release are qualified by these cautionary statements. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, should not be unduly relied upon and will not necessarily be accurate indications of whether or not such results will be achieved. Forward-looking information is based on various material factors or assumptions, which are based on information currently available to the New Pacific. Although the forward-looking statements contained in this news release are based upon what management believes are reasonable assumptions, New Pacific cannot assure readers that actual results will be consistent with these forward-looking statements. The forward-looking statements contained in this news release are made as of the date of this news release and should not be relied upon as representing the New Pacific’s views as of any date subsequent to the date of this news release. New Pacific assumes no obligation to update or revise these forward-looking statements to reflect new information, events, circumstances or otherwise, except as required by applicable law.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

THIS PRESS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES, AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN. THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT THEREFROM.