01 Dec, 23

New Pacific Announces 2023 AGM Results and Appoints New Directors

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Vancouver, British Columbia – December 1, 2023 – New Pacific Metals Corp. (“New Pacific” or the “Company”) (TSX: NUAG; NYSE American: NEWP) is pleased to report that all matters submitted for approval at New Pacific’s annual and special meeting of shareholders held today (“AGM”) as set out in the Company’s Notice of Meeting and Management Information Circular, both dated October 25, 2023, were approved by the requisite majority of votes cast at  the AGM.  A total of 135,408,255 common shares, representing 79.23% of the votes attached to all outstanding shares as at the record date for the meeting, were represented at the AGM. 

The details of the voting results for the election of directors are set out below:

 

Votes For

Withheld

Director

Number

Percentage

Number

Percentage

Andrew Williams

124,034,097

99.82%

229,529

0.18%

Dickson Hall

123,968,608

99.76%

295,018

0.24%

Martin Wafforn

113,917,547

91.67%

10,346,079

8.33%

Maria Tang

123,978,547

99.77%

285,079

0.23%

Dr. Peter Megaw

123,735,935

99.58%

527,691

0.42%

Paul Simpson

124,056,817

99.83%

206,809

0.17%

Myles Gao

124,055,065

99.83%

208,561

0.17%

Shareholders also approved the share-based compensation plan and the re-appointment of Deloitte LLP as auditors of the Company for the ensuing year. Final results for all matters voted on at the AGM will be filed on SEDAR+ at www.sedarplus.ca and on the Company’s website at www.newpacificmetals.com.

The Company would like to welcome Andrew Williams and Myles Gao to the Board of Directors.  Dr. Rui Feng and Mr. Terry Salman did not stand for re-election as directors.  The Company thanks Dr. Rui Feng for his leadership and vision over the past several years, and thanks Mr. Terry Salman for his invaluable contributions to the Company.

Mr. Williams is the CEO of the Company.   Prior to joining New Pacific, Mr. Williams spent the last 11 years with SEC-registered investment fund Sun Valley Gold LLC, most recently as portfolio manager. Mr. Williams began his career at Deloitte providing audit and financial advisory services to mining companies in Vancouver. Mr. Williams holds a Bachelor of Commerce with Honours from the University of British Columbia and is a Chartered Professional Accountant and a Chartered Business Valuator.

Mr. Gao is a seasoned geologist and mining executive with over 30 years of experience. He has extensive experience in mining and exploration projects both in Canada and in other jurisdictions. Mr. Gao received a Master of Science in Geology from the Laurentian University.

ABOUT NEW PACIFIC

New Pacific is a Canadian exploration and development company with three precious metal projects in Bolivia. The Company’s flagship Silver Sand project has the potential to be developed into one of the world’s largest silver mines. New discoveries and exploration success at the Carangas Silver-Gold Project and the Silverstrike Silver-Gold Project further display the Company’s capability of growing its shareholders’ value through careful project identification, acquisition, thorough geological study and well-planned drilling.

For further information, please contact:

Andrew Williams, Chief Executive Officer
New Pacific Metals Corp.
Phone: (604) 633-1368 Ext. 236
1750-1066 Hastings Street, Vancouver, BC V6E 3X1, Canada
U.S. & Canada toll-free: 1-877-631-0593
E-mail: invest@newpacificmetals.com

For additional information and to receive company news by e-mail, please register using New Pacific’s website at www.newpacificmetals.com.

07 Nov, 23

New Pacific Reports Financial Results for the Three Month Ended September 30, 2023

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VANCOUVER, BRITISH COLUMBIA – NOVEMBER 7, 2023: New Pacific Metals Corp. (“New Pacific” or the “Company”) reports its financial results for the three months ended September 30, 2023.  All figures are expressed in US dollars unless otherwise stated.

FISCAL 2024 Q1 HIGHLIGHTS

  • The Company filed its inaugural independent National Instrument 43‐101 – Standards of Disclosure for Mineral Projects (“NI 43-101”) mineral resource estimate (the “MRE”) for its Carangas Project on September 18, 2023. Total indicated mineral resources of 214.9 million tonnes (“Mt”) containing 205.3 million ounces (“Mozs”) of silver (“Ag”), 1,588.2 thousand ounces (“Kozs”) of gold (“Au”), 1,444.9 million pounds (“Mlbs”) of lead (“Pb”), 2,653.7 Mlbs of zinc (“Zn”), and 112.6 Mlbs of copper (“Cu”); or collectively 559.8 Mozs silver equivalent (“AgEq”). Total inferred mineral resources are 45.0 Mt containing 47.7 Mozs of silver, 217.7 Kozs of gold, 297.9 Mlbs of lead, 533.7 Mlbs of zinc, and 16.8 Mlbs of copper; or collectively 109.8 Mozs AgEq. For further details, please  refer to the Company’s news release dated September 18, 2023.
  • The Company successfully closed a bought deal financing on September 29, 2023. A total of 13,208,000 common shares of the Company were sold under the bought deal financing at a price of $1.96 (CAD $2.65) per common share for total gross proceeds of approximately $25.9 million (CAD $35 million).  The underwriter’s fee and other issuance costs for the transaction were approximately $1.4 million.
  • The Company strengthened the Board by appointing Mr. Paul Simpson as a director on September 11, 2023.
  • Completed leadership transition as Mr. Andrew Williams was appointed as Chief Executive Officer (“CEO”) of the Company on September 11, 2023. Williams previously held the role of President of the Company.  Dr. Rui Feng, founder of the Company, stepped down as CEO.

FINANCIAL RESULTS

Net loss attributable to equity holders of the Company for the three months ended September 30, 2023 was $1.75 million or $0.01 per share (three months ended September 30, 2022 – net loss of $2.09 million or $0.01 per share).  The Company’s financial results were mainly impacted by the following items:

  • Operating expenses for the three months ended September 30, 2023 were $87 million (three months ended September 30, 2022 – $2.06 million).
  • Net Income from investments for the three months ended September 30, 2023 was $0.02 million (three months ended September 30, 2022 – $0.04 million).
  • Gain on disposal of plant and equipment for the three months ended September 30, 2023 was $0.05 million (three months ended September 30, 2022 – $nil).
  • Foreign exchange gain for the three months ended September 30, 2023 was $0.05 million (three months ended September 30, 2022 – gain of $0.01 million).

Working Capital: As of September 30, 2023, the Company had working capital of $27.06 million.

PROJECT EXPENDITURE

The following schedule summarized the expenditure incurred by category for each project for relevant periods:

SILVER SAND PROJECT

For the three months ended September 30, 2023, total expenditures of $0.97 million (three months ended September 30, 2022 – $2.50 million) were capitalized under the project.

CARANGAS PROJECT

For the three months ended September 30, 2023, total expenditures of $0.61 million (three months ended September 30, 2022 – $2.98 million) were capitalized under the project.

SILVERSTRIKE PROJECT

For the three months ended September 30, 2023, total expenditures of $0.07 million (three months ended September 30, 2022 – $0.44 million) were capitalized under the project.

MANAGEMENT DISCUSSION AND ANALYSIS

This news release should be read in conjunction with the Company’s management discussion and analysis and the unaudited condensed and consolidated financial statements and notes thereto for the corresponding period, which have been filed with the Canadian Securities Administrators and are available under the Company’s profile on SEDAR+ at www.sedarplus.ca,on EDGAR at www.sec.gov and on the Company’s website at www.newpacificmetals.com.

QUALIFIED PERSON

The scientific and technical information contained in this news release has been reviewed and approved by Alex Zhang, P. Geo., Vice President of Exploration, who is a qualified person (as defined in National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”)) for the purposes of NI 43-101. The Qualified Person has verified the information disclosed herein using standard verification processes, including the sampling, preparation, security and analytical procedures underlying such information, and is not aware of any significant risks and uncertainties or any limitations on the verification process that could be expected to affect the reliability or confidence in the information discussed herein.

ABOUT NEW PACIFIC

New Pacific is a Canadian exploration and development company with precious metal projects in Bolivia, including the Company’s flagship Project, the Silver Sand Silver Project, the Company’s recently discovered Carangas Silver-Gold Project and the Company’s third project, the Silverstrike Silver-Gold Project.

For further information, please contact:

Andrew Williams, Chief Executive Officer
New Pacific Metals Corp.
Phone: (604) 633-1368 Ext. 236
1750-1066 Hastings Street, Vancouver, BC V6E 3X1, Canada
U.S. & Canada toll-free: 1-877-631-0593
E-mail: invest@newpacificmetals.com
For additional information and to receive company news by e-mail, please register using New Pacific’s website at www.newpacificmetals.com.

CAUTIONARY NOTE REGARDING RESULTS OF PRELIMINARY ECONOMIC ASSESSMENT

The results of the independent preliminary economic assessment (the “PEA”) contained in the technical report filed in respect of the Silver Sand Project on February 26, 2023 are preliminary in nature and are intended to provide an initial assessment of the Silver Sand Project’s economic potential and development options. The PEA mine schedule and economic assessment includes numerous assumptions and is based on both indicated and inferred mineral resources. Inferred resources are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the project economic assessments described herein will be achieved or that the PEA results will be realized. The estimate of mineral resources may be materially affected by geology, environmental, permitting, legal, title, socio-political, marketing or other relevant issues. Mineral resources are not mineral reserves and do not have demonstrated economic viability. Additional exploration will be required to potentially upgrade the classification of the inferred mineral resources to be considered in future advanced studies. AMC Mining Consultants (Canada) Ltd. (“AMC Consultants”) (mineral resource, mining, infrastructure and financial analysis) was contracted to conduct the PEA in cooperation with Halyard Inc. (metallurgy and processing), and NewFields Canada Mining & Environment ULC (tailings, water and waste management). The qualified persons (as defined in NI 43-101) for the PEA for the purposes of NI 43-101 are Mr. John Morton Shannon, P.Geo, General Manage and Principal Geologist at AMC Consultants, Mr. Wayne Rogers, P.Eng, and Mr. Mo Molavi, P.Eng, both Principal Mining Engineers with AMC Consultants, Mr. Andrew Holloway, P.Eng, Process Director with Halyard Inc., and Mr. Leon Botham, P.Eng., Principal Engineer with NewFields Canada Mining & Environment ULC, in addition to Ms. Dinara Nussipakynova, P.Geo., Principal Geologist with AMC Consultants, who estimated the mineral resources. All qualified persons for the PEA have reviewed the disclosure of the PEA herein. The PEA is based on the MRE, which was reported on November 28, 2022. The effective date of the MRE is October 31, 2022. The cut-off applied for reporting the pit-constrained mineral resources is 30 g/t silver.

Assumptions made to derive a cut-off grade included mining costs, processing costs and recoveries and were obtained from comparable industry situations. The model is depleted for historical mining activities. Mineral resources are constrained by optimized pit shells at a silver price of US$22.50 per ounce, silver metallurgical recovery of 91%, silver payability of 99%, open pit mining cost of US$2.6/t, processing cost of US$16/t, G&A cost of US$2/t, and slope angle of 44-47 degrees. Key assumptions used for pit optimization for the PEA mining pit include silver price of US$22.50 per ounce, silver metallurgical recovery of 91%, silver payability of 99%, open pit mining cost of US$2.6/t, incremental mining cost of US$0.04/t (per 10 m bench), processing cost of US$16/t, tailing storage facility operating cost of US$0.7/t, G&A cost of US$2/t, royalty of 6.00%, mining recovery of 92%, dilution of 8%, and cut-off grade of 30 g/t silver.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this news release constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward-looking information” within the meaning of applicable Canadian provincial securities laws. Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects”, “is expected”, “anticipates”, “believes”, “plans”, “projects”, “estimates”, “assumes”, “intends”, “strategies”, “targets”, “goals”, “forecasts”, “objectives”, “budgets”, “schedules”, “potential” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information. Such statements include, but are not limited to, statements regarding: anticipated exploration, drilling, development, construction, and other activities or achievements of the Company; inferred, indicated or measured mineral resources or mineral reserves on the Company’s projects; the results of the PEA; timing of receipt of permits and regulatory approvals; and estimates of the Company’s revenues and capital expenditures.

Forward-looking statements or information are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks relating to: global economic and social impact of COVID-19; fluctuating equity prices, bond prices, commodity prices; calculation of resources, reserves and mineralization, general economic conditions, foreign exchange risks, interest rate risk, foreign investment risk; loss of key personnel; conflicts of interest; dependence on management, uncertainties relating to the availability and costs of financing needed in the future, environmental risks, operations and political conditions, the regulatory environment in Bolivia and Canada, risks associated with community relations and corporate social responsibility, and other factors described under the heading “Risk Factors” in the Company’s annual information form for the year ended June 30, 2023 and its other public filings.

This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information.

The forward-looking statements are necessarily based on a number of estimates, assumptions, beliefs, expectations and opinions of management as of the date of this news release that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. These estimates, assumptions, beliefs, expectations and options include, but are not limited to, those related to the Company’s ability to carry on current and future operations, including: the duration and effects of COVID-19 on our operations and workforce; development and exploration activities; the timing, extent, duration and economic viability of such operations; the accuracy and reliability of estimates, projections, forecasts, studies and assessments; the Company’s ability to meet or achieve estimates, projections and forecasts; the stabilization of the political climate in Bolivia; the Company’s ability to obtain and maintain social license at its mineral properties; the availability and cost of inputs; the price and market for outputs; foreign exchange rates; taxation levels; the timely receipt of necessary approvals or permits, including the ratification and approval of the Mining Production Contract with the Corporacion Minera de Bolivia (“COMIBOL”) by the Plurinational Legislative Assembly of Bolivia; the ability of the Company’s Bolivian partner to convert the exploration licenses at the Carangas Project to administrative mining contracts; the ability to meet current and future obligations; the ability to obtain timely financing on reasonable terms when required; the current and future social, economic and political conditions; and other assumptions and factors generally associated with the mining industry.

Although the forward-looking statements contained in this news release are based upon what management believes are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements. All forward-looking statements in this news release are qualified by these cautionary statements. Accordingly, readers should not place undue reliance on such statements. Other than specifically required by applicable laws, the Company is under no obligation and expressly disclaims any such obligation to update or alter the forward-looking statements whether as a result of new information, future events or otherwise except as may be required by law. These forward-looking statements are made as of the date of this news release.

CAUTIONARY NOTE TO US INVESTORS

This news release has been prepared in accordance with the requirements of the securities laws in effect in Canada which differ from the requirements of United States securities laws. All mining terms used herein but not otherwise defined have the meanings set forth in NI 43-101. Unless otherwise indicated, the technical and scientific disclosure herein has been prepared in accordance with NI 43-101, which differs significantly from the requirements adopted by the United States Securities and Exchange Commission.

Accordingly, information contained in this news release containing descriptions of the Company’s mineral deposits may not be comparable to similar information made public by U.S. companies subject to the reporting and disclosure requirements of United States federal securities laws and the rules and regulations thereunder.

Additional information relating to the Company, including the Company’s annual information form, can be obtained under the Company’s profile on SEDAR+ at www.sedarplus.ca, on EDGAR at www.sec.gov, and on the Company’s website at www.newpacificmetals.com.

29 Sep, 23

New Pacific Metals Closes C$35 Million Bought Deal Financing

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Vancouver, British Columbia – September 29, 2023 – New Pacific Metals Corp. (TSX: NUAG; NYSE American: NEWP) (“New Pacific” or the “Company”) announced today that it has closed (the “Closing“) the bought deal financing that was previously announced on September 25, 2023. A total of 13,208,000 common shares of the Company (the “Offered Shares”) were sold under the Offering (as defined below) at a price of C$2.65 per Offered Share (the “Issue Price”) for total gross proceeds of approximately C$35 million (the “Offering”). The Offering was co-led by Raymond James Ltd. and Eight Capital (together, the “Co-Lead Underwriters”), on behalf of a syndicate of underwriters (collectively with the Co-Lead Underwriters, the “Underwriters”), pursuant to the terms of an underwriting agreement between the Company and the Underwriters dated September 26, 2023 (the “Underwriting Agreement“).

Silvercorp Metals Inc. (“Silvercorp”) participated in the Offering by subscribing for 2,541,890 Offered Shares, representing approximately US$5 million in gross proceeds (approximately C$6.7 million). As of the Closing, Silvercorp owns, directly and indirectly, approximately 27.4% of the outstanding common shares of the Company (the “Common Shares“). Silvercorp is a related party of the Company for the purposes of National Instrument 61-101 — Protection of Minority Security Holders in Special Transactions (“NI 61-101”) and the acquisition by Silvercorp of Offered Shares pursuant to the Offering was a related party transaction. The acquisition by Silvercorp of Offered Shares pursuant to the Offering was exempt from the valuation and minority approval requirements of NI 61-101 pursuant to the exemptions in Sections 5.5(a) and 5.7(a) of NI 61-101.

Pan American Silver Corp. (“Pan American”) participated in the Offering by subscribing for 5,083,780 Offered Shares, representing approximately US$10 million in gross proceeds (approximately C$13.5 million). As of the Closing, Pan American owns, directly and indirectly, approximately 11.6% of the outstanding Common Shares.

The Offering was completed by way of a prospectus supplement (the “Prospectus Supplement”) dated September 26, 2023 to the Company’s short form base shelf prospectus dated August 16, 2023 (the “Base Shelf Prospectus”). Copies of the Prospectus Supplement and Base Shelf Prospectus are available under the Company’s profile on the System for Electronic Data Analysis and Retrieval + (“SEDAR+“) at www.sedarplus.ca.

The Company intends to use the net proceeds of the Offering to advance exploration and development at the Company’s Silver Sand and Carangas projects and for operating expenses, as disclosed in the Prospectus Supplement.

No securities regulatory authority has either approved or disapproved of the contents of this news release.

The Offered Shares issued pursuant to the Offering have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or the securities laws of any state of the United States, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from the U.S. registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy Common Shares in any jurisdiction, nor shall there be any sale of the Common Shares in any jurisdiction in which such offer, solicitation or sale would be unlawful.

ABOUT NEW PACIFIC

New Pacific is a Canadian exploration and development company with precious metal projects in Bolivia, including the Company’s flagship project, the Silver Sand Silver Project, the Company’s recently discovered Carangas Silver-Gold Project and the Company’s third project, the Silverstrike Silver-Gold Project.

For further information, please contact:

Andrew Williams, Chief Executive Officer
New Pacific Metals Corp.
Phone: (604) 633-1368 Ext. 236
1750-1066 Hastings Street, Vancouver, BC V6E 3X1, Canada
U.S. & Canada toll-free: 1-877-631-0593
E-mail: invest@newpacificmetals.com
For additional information and to receive company news by e-mail, please register using New Pacific’s website at www.newpacificmetals.com.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this news release constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward- looking information” within the meaning of applicable Canadian securities laws. Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects”, “is expected”, “anticipates”, “believes”, “plans”, “projects”, “estimates”, “assumes”, “intends”, “strategies”, “targets”, “goals”, “forecasts”, “objectives”, “budgets”, “schedules”, “potential” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information. Such statements include, but are not limited to, statements regarding the expected use of net proceeds of the Offering.

Forward-looking statements or information are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks relating to the Company’s ability to use the net proceeds of the Offering in the manner intended and other factors described under the heading “Risk Factors” in the Company’s annual information form for the year ended June 30, 2023 (the “AIF”), its management discussion and analysis for the year ended June 30, 2023 (the “MD&A”) and the Company’s other public filings. This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information.

The forward-looking statements are necessarily based on a number of estimates, assumptions, beliefs, expectations and opinions of management as of the date of this news release that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. These estimates, assumptions, beliefs, expectations and opinions include, but are not limited to the expectation that the Company will be able to use the net proceeds of the Offering in the manner intended and other factors described under the heading “Risk Factors” in the AIF, the MD&A and the Company’s other public filings. This list is not exhaustive of the estimates, assumptions, beliefs, expectations and opinions underlying the Company’s forward-looking statements or information.

Although the forward-looking statements contained in this news release are based upon what management believes are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements. All forward-looking statements in this news release are qualified by these cautionary statements. Accordingly, readers should not place undue reliance on such statements. Other than specifically required by applicable laws, the Company is under no obligation and expressly disclaims any such obligation to update or alter the forward-looking statements whether as a result of new information, future events or otherwise except as may be required by law. These forward-looking statements are made as of the date of this news release.

CAUTIONARY NOTE TO US INVESTORS

This news release has been prepared in accordance with the requirements of the securities laws in effect in Canada which differ from the requirements of United States securities laws. All mining terms used herein but not otherwise defined have the meanings set forth in NI 43-101. Unless otherwise indicated, the technical and scientific disclosure herein has been prepared in accordance with NI 43-101, which differs significantly from the requirements adopted by the United States Securities and Exchange Commission.

Accordingly, information contained in this news release containing descriptions of the Company’s mineral deposits may not be comparable to similar information made public by U.S. companies subject to the reporting and disclosure requirements of United States federal securities laws and the rules and regulations thereunder.

Additional information relating to the Company, including the Company’s annual information form, can be obtained under the Company’s profile on SEDAR+ at www.sedarplus.ca, on EDGAR at www.sec.gov, and on the Company’s website at www.newpacificmetals.com.

25 Sep, 23

New Pacific Metals Announces C$35 Million Bought Deal Financing

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Not for Distribution in the United States or to U.S. Newswire Services

Vancouver, British Columbia – September 25, 2023 – New Pacific Metals Corp. (TSX: NUAG; NYSE American: NEWP) (“New Pacific” or the “Company”) announced today that it has entered into an agreement with Raymond James Ltd. and Eight Capital (the “Co-Lead Underwriters”), on behalf of a syndicate of underwriters (together with the Co-Lead Underwriters, the “Underwriters”), pursuant to which the Underwriters have agreed to purchase, on a bought deal basis, 13,208,000 common shares of the Company (the “Common Shares”) at a price of C$2.65 per Common Share, for total gross proceeds of approximately C$35 million (the “Offering”). The Company will also grant to the Underwriters an over-allotment option (the “Over-Allotment Option”) to purchase up to 1,981,200 additional Common Shares (the “Over-Allotment Shares”). The Over-Allotment Option will be exercisable for a period of 30 days following closing.

Silvercorp Metals Inc. (“Silvercorp”) has indicated its intent to participate in the Offering by subscribing to 2,541,890 Common Shares representing approximately US$5 million in gross proceeds (approximately C$6.7 million). Upon completion of the Offering, Silvercorp will own, directly and indirectly, approximately 27.4% of the outstanding Common Shares of the Company assuming the Over-Allotment is not exercised.

In addition, Pan American Silver Corp. (“Pan American”) has indicated its intent to participate in the Offering by subscribing to 5,083,780 Common Shares representing approximately US$10 million in gross proceeds (approximately C$13.5 million). Upon completion of the Offering, Pan American will own, directly and indirectly, approximately 11.6% of the outstanding Common Shares of the Company assuming the Over-Allotment is not exercised.

The Common Shares will be offered in all of the provinces of Canada, except the province of Québec, by way of a prospectus supplement (the “Supplement”) to the Company’s existing short form base shelf prospectus dated August 16, 2023 (the “Base Shelf Prospectus”) and may also be offered by way of private placement in the United States, pursuant to registration exemptions.

The net proceeds of the Offering will be used to advance exploration and development at the Company’s Silver Sand and Carangas projects, for working capital, and for general corporate purposes.

The Offering is expected to close on or about September 29, 2023, and is subject to New Pacific receiving all necessary regulatory approvals, including the approval of the Toronto Stock Exchange and the Common Shares having been approved for listing on the NYSE American.

No securities regulatory authority has either approved or disapproved of the contents of this news release. The Common Shares being offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or the securities laws of any state of the United States and may not be offered, sold or delivered, directly or indirectly, in the United States or to or for the account or benefit of U.S. persons, absent registration or an exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws. This news release shall not constitute an offer to sell or the solicitation of an offer to buy Common Shares in any jurisdiction, nor shall there be any sale of the Common Shares in any jurisdiction in which such offer, solicitation or sale would be unlawful.

Silvercorp is a related party of the Company for the purposes of National Instrument 61-101 — Protection of Minority Security Holders in Special Transactions (“NI 61-101”) and the acquisition by Silvercorp of Common Shares pursuant to the Offering is a related party transaction. The acquisition by Silvercorp of Common Shares pursuant to the Offering is exempt from the valuation and minority approval requirements of NI 61-101 pursuant to the exemptions in Sections 5.5(a) and 5.7(a) of NI 61-101.

ABOUT NEW PACIFIC

New Pacific is a Canadian exploration and development company with precious metal projects in Bolivia, including the Company’s flagship project, the Silver Sand Silver Project, the Company’s recently discovered Carangas Silver-Gold Project and the Company’s third project, the Silverstrike Silver-Gold Project.

For further information, please contact:

Andrew Williams, Chief Executive Officer
New Pacific Metals Corp.
Phone: (604) 633-1368 Ext. 236
1750-1066 Hastings Street, Vancouver, BC V6E 3X1, Canada
U.S. & Canada toll-free: 1-877-631-0593
E-mail: invest@newpacificmetals.com
For additional information and to receive company news by e-mail, please register using New Pacific’s website at www.newpacificmetals.com.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this news release constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward- looking information” within the meaning of applicable Canadian securities laws. Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects”, “is expected”, “anticipates”, “believes”, “plans”, “projects”, “estimates”, “assumes”, “intends”, “strategies”, “targets”, “goals”, “forecasts”, “objectives”, “budgets”, “schedules”, “potential” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information. Such statements include, but are not limited to, statements regarding: anticipated closing date for the Offering, existing shareholder participation in the Offering, receipt of regulatory approvals for the Offering, the potential exercise of the over-allotment option, and the expected use of proceeds of the Offering.

Risks relating to legal, political, environmental, or other factors that could materially affect the potential development of the mineral resources or mineral reserves include political and economic risks in Bolivia, the regulatory environment in Bolivia, community relations and social licence to operate, acquisition and maintenance of permits and Government approvals, operations and explorations subject to Governmental regulations, impact of environmental laws and regulations, environmental protection, title to mineral properties, outcome of future litigation or regulatory actions, and other factors described under the heading “Risk Factors” in the Company’s annual information form for the year ended June 30, 2023 (“AIF”), its management discussion and analysis for the year ended June 30, 2023 (“MD&A”) and its other public filings which are incorporated by reference hereto. This list is not exhaustive of the factors that may affect the mineral resources or mineral reserves.

Forward-looking statements or information are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks relating to: global economic and social impact of COVID-19; fluctuating equity prices, bond prices, commodity prices; calculation of resources, reserves and mineralization, general economic conditions, foreign exchange risks, interest rate risk, foreign investment risk; loss of key personnel; conflicts of interest; dependence on management, uncertainties relating to the availability and costs of financing needed in the future, environmental risks, operations and political conditions, the regulatory environment in Bolivia and Canada, risks associated with community relations and corporate social responsibility, and other factors described under the heading “Risk Factors” in the Company’s AIF, MD&A and its other public filings. This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information.

The forward-looking statements are necessarily based on a number of estimates, assumptions, beliefs, expectations and opinions of management as of the date of this news release that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. These estimates, assumptions, beliefs, expectations and options include, but are not limited to, those related to the Company’s ability to carry on current and future operations, including: the duration and effects of COVID-19 on our operations and workforce; development and exploration activities; the timing, extent, duration and economic viability of such operations; the accuracy and reliability of estimates, projections, forecasts, studies and assessments; the Company’s ability to meet or achieve estimates, projections and forecasts; the stabilization of the political climate in Bolivia; the Company’s ability to obtain and maintain social license at its mineral properties; the availability and cost of inputs; the price and market for outputs; foreign exchange rates; taxation levels; the timely receipt of necessary approvals or permits, including the ratification and approval of the Mining Production Contract with the Corporacion Minera de Bolivia (“COMIBOL”) by the Plurinational Legislative Assembly of Bolivia; the abilIty of the Company’s Bolivian partner to convert the exploration licenses at the Carangas Project to administrative mining contracts; the ability to meet current and future obligations; the ability to obtain timely financing on reasonable terms when required; the current and future social, economic and political conditions; and other assumptions and factors generally associated with the mining industry.

Although the forward-looking statements contained in this news release are based upon what management believes are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements. All forward-looking statements in this news release are qualified by these cautionary statements. Accordingly, readers should not place undue reliance on such statements. Other than specifically required by applicable laws, the Company is under no obligation and expressly disclaims any such obligation to update or alter the forward-looking statements whether as a result of new information, future events or otherwise except as may be required by law. These forward-looking statements are made as of the date of this news release.

CAUTIONARY NOTE TO US INVESTORS

This news release has been prepared in accordance with the requirements of the securities laws in effect in Canada which differ from the requirements of United States securities laws. All mining terms used herein but not otherwise defined have the meanings set forth in NI 43-101. Unless otherwise indicated, the technical and scientific disclosure herein has been prepared in accordance with NI 43-101, which differs significantly from the requirements adopted by the United States Securities and Exchange Commission.

Accordingly, information contained in this news release containing descriptions of the Company’s mineral  deposits may not be comparable to similar information made public by U.S. companies subject to the  reporting and disclosure requirements of United States federal securities laws and the rules and regulations thereunder.

Additional information relating to the Company, including the Company’s annual information form, can be obtained under the Company’s profile on SEDAR+ at www.sedarplus.ca, on EDGAR at www.sec.gov, and on the Company’s website at www.newpacificmetals.com.

18 Sep, 23

New Pacific Announces Filing of NI 43-101 Technical Report for the Carangas Project

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VANCOUVER, BRITISH COLUMBIA – SEPTEMBER 18, 2023: New Pacific Metals Corp. (“New Pacific” or the “Company”) (TSX: NUAG; NYSE American: NEWP) is pleased to announce filing of an independent Mineral Resource Estimate (“MRE”) Technical Report for its Carangas Silver-Gold Project (the “Carangas Project”) located in Oruro, Bolivia, with an effective date of August 25, 2023 (the “Carangas Technical Report”).  For details of the MRE results, please refer to the Company’s news release dated September 5, 2023 filed under the Company’s profile on SEDAR+ at www.sedarplus.ca, with the SEC on EDGAR at www.sec.gov/edgar, and on the Company’s website at www.newpacificmetals.com

The Carangas Technical Report was prepared in accordance with the Canadian Securities Administrators’ National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”).

The Qualified Persons (“QP”) for the Carangas Technical Report are Mr. Anderson Goncalves Candido, FAusIMM, Principal Resource Geologist of RPMGlobal (Canada) Ltd. (“RPM”) and Mr. Marcelo del Giudice, FAusIMM, Principal Metallurgist of RPM.       

Alex Zhang, P.Geo., Vice President of Exploration, who is the designated QP for the Company has also reviewed and approved this news release. 

A copy of the Carangas Technical Report is available under the Company’s profile on SEDAR+ at www.sedarplus.ca, on EDGAR at www.sec.gov, and on the Company’s website at www.newpacificmetals.com.

ABOUT NEW PACIFIC

New Pacific is a Canadian exploration and development company with precious metal projects in Bolivia, including the Company’s flagship Project, the Silver Sand Silver Project, the Company’s recently discovered Carangas Silver-Gold Project and the Company’s third project, the Silverstrike Silver-Gold Project.

For further information, please contact:

Andrew Williams, CEO
New Pacific Metals Corp.
Phone: (604) 633-1368 Ext. 236
1750-1066 Hastings Street, Vancouver, BC V6E 3X1, Canada
U.S. & Canada toll-free: 1-877-631-0593
E-mail: invest@newpacificmetals.com
For additional information and to receive company news by e-mail, please register using New Pacific’s website at www.newpacificmetals.com.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this news release constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward-looking information” within the meaning of applicable Canadian provincial securities laws.  Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects”, “is expected”, “anticipates”, “believes”, “plans”, “projects”, “estimates”, “assumes”, “intends”, “strategies”, “targets”, “goals”, “forecasts”, “objectives”, “budgets”, “schedules”, “potential” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information. Such statements include, but are not limited to, statements regarding:  anticipated exploration, drilling, development, construction, and other activities or achievements of the Company; inferred, indicated or measured mineral resources or mineral reserves on the Company’s projects; the results of the MRE; timing of receipt of permits and regulatory approvals; and estimates of the Company’s revenues and capital expenditures.

Forward-looking statements or information are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks relating to: global economic and social impact of COVID-19; fluctuating equity prices, bond prices, commodity prices; calculation of resources, reserves and mineralization, general economic conditions, foreign exchange risks, interest rate risk, foreign investment risk; loss of key personnel; conflicts of interest; dependence on management, uncertainties relating to the availability and costs of financing needed in the future, environmental risks, operations and political conditions, the regulatory environment in Bolivia and Canada, risks associated with community relations and corporate social responsibility, and other factors described under the heading “Risk Factors” in the Company’s annual information form for the year ended June 30, 2022 and its other public filings. 

This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information. 

The forward-looking statements are necessarily based on a number of estimates, assumptions, beliefs, expectations and opinions of management as of the date of this news release that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies.  These estimates, assumptions, beliefs, expectations and options include, but are not limited to, those related to the Company’s ability to carry on current and future operations, including: the duration and effects of COVID-19 on our operations and workforce; development and exploration activities; the timing, extent, duration and economic viability of such operations; the accuracy and reliability of estimates, projections, forecasts, studies and assessments; the Company’s ability to meet or achieve estimates, projections and forecasts; the stabilization of the political climate in Bolivia; the Company’s ability to obtain and maintain social license at its mineral properties; the availability and cost of inputs; the price and market for outputs; foreign exchange rates; taxation levels; the timely receipt of necessary approvals or permits, including the ratification and approval of the Mining Production Contract with the Corporacion Minera de Bolivia (“COMIBOL”) by the Plurinational Legislative Assembly of Bolivia; the ability of the Company’s Bolivian partner to convert the exploration licenses at the Carangas Project to administrative mining contracts; the ability to meet current and future obligations; the ability to obtain timely financing on reasonable terms when required; the current and future social, economic and political conditions; and other assumptions and factors generally associated with the mining industry.

Although the forward-looking statements contained in this news release are based upon what management believes are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements.  All forward-looking statements in this news release are qualified by these cautionary statements.  Accordingly, readers should not place undue reliance on such statements. Other than specifically required by applicable laws, the Company is under no obligation and expressly disclaims any such obligation to update or alter the forward-looking statements whether as a result of new information, future events or otherwise except as may be required by law.  These forward-looking statements are made as of the date of this news release.

CAUTIONARY NOTE TO US INVESTORS

This news release has been prepared in accordance with the requirements of the securities laws in effect in Canada which differ from the requirements of United States securities laws. All mining terms used herein but not otherwise defined have the meanings set forth in NI 43-101.  Unless otherwise indicated, the technical and scientific disclosure herein has been prepared in accordance with NI 43-101, which differs significantly from the requirements adopted by the United States Securities and Exchange Commission.

Accordingly, information contained in this news release containing descriptions of the Company’s mineral deposits may not be comparable to similar information made public by U.S. companies subject to the reporting and disclosure requirements of United States federal securities laws and the rules and regulations thereunder.

Additional information relating to the Company, including the Company’s annual information form, can be obtained under the Company’s profile on SEDAR+ at www.sedarplus.ca, on EDGAR at www.sec.gov, and on the Company’s website at www.newpacificmetals.com.

11 Sep, 23

New Pacific Metals Announces CEO Transition and New Appointment to the Board

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Vancouver, British Columbia – September 11, 2023 – New Pacific Metals Corp. (TSX: NUAG; NYSE American: NEWP) (“New Pacific” or the “Company”) announces today that Dr. Rui Feng, New Pacific’s founder and Chief Executive Officer (”CEO”), has stepped down as CEO.  Andrew Williams has been appointed as CEO, effective immediately. Mr. Williams previously held the role of President of the Company.

Dr. Feng will remain as a director of the Company until the AGM later in 2023, but will not stand for re-election as a director.

The Company also welcomed Paul Simpson to its Board of Directors effective immediately.

“Having founded New Pacific and made discovery of the Silver Sand deposit, I left the Company as CEO in April 2020 as a corporate governance initiative.  I returned as CEO again in early 2022, and since then New Pacific has delivered a robust Silver Sand PEA and made a discovery at Carangas, which yielded the mineral resource estimate of a globally-significant silver-gold polymetallic deposit.  Now, a new capable team is in place, the timing is right to step down,” said Dr. Feng.  “As part of the succession planning, Andrew joined the Company at the beginning of the year and has demonstrated leadership capabilities with integrity and initiative, features required to propel the Company to the next stage of permitting for development of its projects in Bolivia.”

Speaking on behalf of the Board of Directors, Terry Salman, Chairman, commented, “The Board wants to express sincerest thanks to our founder, Dr. Feng, for his visionary leadership and exploration expertise that led to acquisition, funding and discovery of a portfolio of world class precious metal projects in Bolivia.  We would not be where we are without him. Rui has worked closely with Andrew and the Board is pleased to have Mr. Williams promoted as the CEO. We look forward to working with Andrew to advance the Silver Sand and Carangas Projects and build value for our shareholders.”

“I am both privileged and deeply honored to assume the role of New Pacific’s new CEO. I am excited about the opportunity to further build upon the remarkable foundation established by Dr. Feng,” said Andrew Williams. “I couldn’t be more excited to lead the Company at this pivotal stage and am grateful to work alongside so many inspiring colleagues who are relentlessly focused on advancing our projects in Bolivia.”

Mr. Simpson is a Vancouver-based corporate securities and mining lawyer with the firm Armstrong Simpson. He has over 25 years’ experience, predominately advising public companies with international natural resource property holdings. He has been a director and officer of a number of public companies, and is currently the lead independent director of Silvercorp Metals Inc.

ABOUT NEW PACIFIC

New Pacific is a Canadian exploration and development company with precious metal projects in Bolivia, including the Company’s flagship project, the Silver Sand Silver Project, the Company’s recently discovered Carangas Silver-Gold Project and the Company’s third project, the Silverstrike Silver-Gold Project.

For further information, please contact:

Andrew Williams, Chief Executive Officer
New Pacific Metals Corp.
Phone: (604) 633-1368 Ext. 236
1750-1066 Hastings Street, Vancouver, BC V6E 3X1, Canada
U.S. & Canada toll-free: 1-877-631-0593
E-mail: invest@newpacificmetals.com
For additional information and to receive company news by e-mail, please register using New Pacific’s website at www.newpacificmetals.com.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this news release constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward-looking information” within the meaning of applicable Canadian securities laws. Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects”, “is expected”, “anticipates”, “believes”, “plans”, “projects”, “estimates”, “assumes”, “intends”, “strategies”, “targets”, “goals”, “forecasts”, “objectives”, “budgets”, “schedules”, “potential” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information. Such statements include, but are not limited to, statements regarding: anticipated exploration, drilling, development, construction, and other activities or achievements of the Company; inferred, indicated or measured mineral resources or mineral reserves on the Company’s projects; the Webcast; and the completion and timing for the filing of the Technical Report.

Forward-looking statements or information are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks relating to: global economic and social impact of COVID-19; fluctuating equity prices, bond prices, commodity prices; calculation of resources, reserves and mineralization, general economic conditions, foreign exchange risks, interest rate risk, foreign investment risk; loss of key personnel; conflicts of interest; dependence on management, uncertainties relating to the availability and costs of financing needed in the future, environmental risks, operations and political conditions, the regulatory environment in Bolivia and Canada, risks associated with community relations and corporate social responsibility, and other factors described under the heading “Risk Factors” in the Company’s AIF, MD&A and its other public filings. This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information.

The forward-looking statements are necessarily based on a number of estimates, assumptions, beliefs, expectations and opinions of management as of the date of this news release that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. These estimates, assumptions, beliefs, expectations and options include, but are not limited to, those related to the Company’s ability to carry on current and future operations, including: the duration and effects of COVID-19 on our operations and workforce; development and exploration activities; the timing, extent, duration and economic viability of such operations; the accuracy and reliability of estimates, projections, forecasts, studies and assessments; the Company’s ability to meet or achieve estimates, projections and forecasts; the stabilization of the political climate in Bolivia; the Company’s ability to obtain and maintain social license at its mineral properties; the availability and cost of inputs; the price and market for outputs; foreign exchange rates; taxation levels; the timely receipt of necessary approvals or permits, including the ratification and approval of the Mining Production Contract with the Corporacion Minera de Bolivia (“COMIBOL”) by the Plurinational Legislative Assembly of Bolivia; the ability of the Company’s Bolivian partner to convert the exploration licenses at the Carangas Project to administrative mining contracts; the ability to meet current and future obligations; the ability to obtain timely financing on reasonable terms when required; the current and future social, economic and political conditions; and other assumptions and factors generally associated with the mining industry. 

Although the forward-looking statements contained in this news release are based upon what management believes are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements. All forward-looking statements in this news release are qualified by these cautionary statements. Accordingly, readers should not place undue reliance on such statements. Other than specifically required by applicable laws, the Company is under no obligation and expressly disclaims any such obligation to update or alter the forward-looking statements whether as a result of new information, future events or otherwise except as may be required by law. These forward-looking statements are made as of the date of this news release.

CAUTIONARY NOTE TO US INVESTORS

This news release has been prepared in accordance with the requirements of the securities laws in effect in Canada which differ from the requirements of United States securities laws. All mining terms used herein but not otherwise defined have the meanings set forth in NI 43-101. Unless otherwise indicated, the technical and scientific disclosure herein has been prepared in accordance with NI 43-101, which differs significantly from the requirements adopted by the United States Securities and Exchange Commission.

Accordingly, information contained in this news release containing descriptions of the Company’s mineral deposits may not be comparable to similar information made public by U.S. companies subject to the reporting and disclosure requirements of United States federal securities laws and the rules and regulations thereunder.

Additional information relating to the Company, including the Company’s annual information form, can be obtained under the Company’s profile on SEDAR+ at www.sedarplus.ca, on EDGAR at www.sec.gov, and on the Company’s website at www.newpacificmetals.com.

06 Jul, 23

New Pacific Intersects 183 Meters Grading 92 Grams Per Tonne Silver in Step-out Drilling at the Carangas Project, Bolivia

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VANCOUVER, British ColumbiaJULY 06, 2023 – New Pacific Metals Corp. (“New Pacific” or the “Company”) (TSX: NUAG; NYSE American: NEWP), together with its local Bolivian partner, reports assay results of the final 18 drill holes from its 2023 Q1 drill program at its Carangas Silver-Gold Project, Oruro Department, Bolivia (the “Carangas Project” or the “Project”). Assay results of all 39 holes totaling 17,623 meters have now been received and released. Detailed results and drill hole specifications are listed in Tables 1 and 2, and Figure 1.

HIGHLIGHTS OF DRILL RESULTS  (ALL INTERVALS ARE CORE LENGTHS)

Hole DCAr0184 intersected 92 g/t Ag, 0.25% Pb and 0.46% Zn over a 183.2 m interval (106.8 m to 290 m), including 272 g/t Ag, 0.50% Pb and 0.89% Zn over a 14.5 m interval (123.5 m to 138 m) and 173 g/t Ag, 0.33% Pb and 0.43% Zn over a 18.65 m interval (149.45 m to 168.1 m). Hole DCAr0184 was a fifty meter step-out from hole DCAr0171 which intercepted 123 g/t Ag over a 205.6 m interval (see News Release of May 30, 2023). These two holes were drilled into areas without any surface showings or old diggings, yielding a new target area for expansion drilling.

Hole DCAr0175 intersected 55 g/t Ag, 0.26% Pb and 0.47% Zn over a 298.04 m interval (5.5 m to 303.54 m), including 235 g/t Ag, 0.65% Pb and 1.30% Zn over a 41.66 m interval (94.6 m to 136.26 m).

Hole DCAr0182 intersected 72 g/t Ag, 0.30% Pb and 0.59% Zn over a 182 m interval (66.5 m to 248.5 m), including 132 g/t Ag, 0.49% Pb and 0.93% Zn over a 64.5 m interval (116.5 m to 181 m).

Hole DCAr0173 intersected 51 g/t Ag, 0.57% Pb and 1.37% Zn over a 72.7 m interval (29 m to 101.7 m).

Hole DCAr0189 intersected 90 g/t Ag, 1.14% Pb and 1.22% Zn over a 45.81 m interval (42.26 m to 88.07 m), 71 g/t Ag, 0.32% Pb and 0.75% Zn over a 25.66 m interval (105.24 m to 130.9 m) and 0.95 g/t Au and 9 g/t Ag over a 184.5 m interval (532 m to 716.5 m), including 11.21 g/t Au, 94 g/t Ag and 0.17% Cu over a 7.5 m interval (651.5 m to 659 m).  This hole shows broad silver mineralization stacked above broad gold mineralization near the north end of the Central Valley. Drill results from this hole indicate that deep gold mineralization remains open to the northeast in the Central Valley.

The assay results of these final holes continue to demonstrate a significant shallow horizon of silver mineralization that has been extended to the southwest of the previously drilled area. Drill results from the step-out hole to the northeast in the Central Valley demonstrate a broad shallow silver zone stacked over broad gold mineralization, and gold remains open to the northeast.

PROGRESS OF INAUGURAL MINERAL RESOURCE ESTIMATE

The Company is working closely with RPMGlobal to complete a technical report on the mineral resource estimate of the Carangas Project in accordance with the National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”).  The technical work is progressing well and on schedule with the outcome of the mineral resource estimate expected by August 2023.


Figure 1 Simplified Geology and Drill Plan Map of the Carangas Project


Table 1    Summary of drill intercepts

Hole_ID

 

Depth_from

Depth_to

Interval_m

Ag_g/t

Au_g/t

Pb_%

Zn_%

Cu_%

AgEq_g/t

DCAr0172

 

19.48

42.10

22.62

17

 

0.27

0.18

0.01

32

 

 

81.13

141.87

60.74

36

 

0.33

0.84

 

74

 

 

150.87

153.43

2.56

30

 

0.29

0.64

0.17

77

 

 

213.05

228.50

15.45

20

0.12

0.48

1.09

0.01

80

 

 

245.00

252.00

7.00

26

0.25

1.07

1.31

0.03

122

 

 

264.00

387.25

123.25

4

0.15

0.36

0.78

0.01

53

 

 

401.70

420.70

19.00

11

0.46

0.44

0.68

0.06

85

 

 

492.63

709.20

216.57

5

0.12

0.37

1.05

0.01

61

DCAr0173

 

29.00

101.70

72.70

51

 

0.57

1.37

0.02

115

 

 

112.64

207.18

94.54

10

 

0.34

0.90

0.03

53

DCAr0174

 

206.30

210.45

4.15

7

 

0.66

1.19

0.01

67

 

 

217.55

233.00

15.45

8

 

0.41

1.00

0.02

55

 

 

247.30

318.00

70.70

4

 

0.37

0.90

 

46

 

 

329.36

355.32

25.96

7

 

0.24

0.95

0.04

50

DCAr0175

 

5.50

303.54

298.04

55

 

0.26

0.47

0.01

79

 

incl.

94.60

136.26

41.66

235

 

0.65

1.30

0.02

300

DCAr0176

 

10.00

252.00

242.00

14

 

0.26

0.75

0.03

49

DCAr0177

 

6.00

70.60

64.60

24

 

0.39

0.78

0.01

62

 

 

86.67

162.40

75.73

13

 

0.33

1.28

0.02

67

 

 

196.10

213.60

17.50

15

 

0.36

0.70

0.01

55

DCAr0178

 

235.23

236.43

1.20

54

 

0.17

0.34

 

70

 

 

328.49

329.70

1.21

29

 

0.24

0.42

0.06

56

DCAr0179

 

13.90

23.35

9.45

39

 

0.18

0.18

 

50

 

 

30.45

35.62

5.17

53

 

0.04

0.87

 

83

 

 

95.44

132.13

36.69

25

 

0.17

0.51

 

47

 

 

152.00

229.75

77.75

16

0.02

0.29

0.51

0.01

43

 

 

423.70

425.10

1.40

11

1.93

0.01

0.21

 

155

 

 

510.70

523.70

13.00

3

1.41

0.03

0.16

0.02

109

 

 

530.80

537.20

6.40

14

0.81

0.09

0.13

0.15

79

 

 

592.30

606.20

13.90

26

0.47

0.06

0.03

0.15

62

 

 

669.20

802.50

133.30

5

0.77

0.08

0.22

0.06

69

DCAr0180

 

113.62

118.90

5.28

59

 

0.08

0.10

0.01

66

 

 

130.48

131.70

1.22

83

 

0.08

0.14

 

90

 

 

170.38

212.25

41.87

26

 

0.20

0.40

0.01

46

 

 

222.20

247.73

25.53

20

 

0.43

0.83

0.01

61

 

 

266.85

270.90

4.05

31

 

0.19

0.45

0.03

54

 

 

344.17

346.80

2.63

19

 

0.70

1.05

0.03

77

DCAr0181

 

1.54

119.00

117.46

31

 

0.34

0.59

0.01

61

 

incl.

12.00

36.80

24.80

83

 

0.88

1.13

0.02

148

 

 

142.42

151.00

8.58

30

 

0.12

0.34

 

45

 

 

180.90

185.40

4.50

21

 

0.23

0.61

0.01

49

 

 

201.50

206.00

4.50

62

 

0.11

0.29

0.01

77

 

 

217.80

220.50

2.70

65

 

0.44

1.31

0.01

123

DCA0182

 

15.71

60.50

44.79

30

 

0.05

0.12

0.01

36

 

 

66.50

248.50

182.00

72

 

0.30

0.59

0.01

101

 

incl.

116.50

181.00

64.50

132

 

0.49

0.93

0.01

179

 

 

254.50

278.75

24.25

10

 

0.50

0.88

0.01

55

DCAr0183

 

259.25

276.60

17.35

36

 

0.15

0.40

0.01

54

 

 

300.25

304.55

4.30

20

 

0.07

0.03

0.08

31

 

 

316.40

317.57

1.17

401

 

0.30

0.61

0.03

433

DCAr0184

 

86.00

87.30

1.30

332

 

0.16

0.29

0.01

347

 

 

96.30

99.30

3.00

95

 

0.10

0.20

0.01

104

 

 

106.80

290.00

183.20

92

 

0.25

0.46

0.01

117

 

incl.

123.50

138.00

14.50

272

 

0.50

0.89

0.03

320

 

incl.

149.45

168.10

18.65

173

 

0.33

0.43

0.02

198

 

 

301.20

311.50

10.30

40

 

0.30

0.54

0.01

68

 

 

332.50

338.30

5.80

27

 

0.32

0.89

0.08

75

DCAr0185

 

115.88

116.94

1.06

32

 

0.16

0.43

0.01

51

 

 

154.85

156.35

1.50

57

 

0.05

0.10

0.01

63

 

 

186.25

187.75

1.50

56

 

0.08

0.16

0.00

64

 

 

212.38

228.36

15.98

51

 

0.11

0.24

0.01

64

 

 

237.00

238.30

1.30

187

 

0.38

0.67

0.06

226

 

 

245.40

249.60

4.20

40

 

0.02

0.07

0.06

49

 

 

275.20

276.70

1.50

33

 

0.07

0.13

0.01

41

 

 

327.30

328.60

1.30

41

 

0.33

0.47

0.09

76

DCAr0186

 

0.00

17.00

17.00

36

 

0.34

0.03

0.01

48

 

 

29.00

311.80

282.80

34

 

0.47

0.99

0.01

83

 

 

355.38

360.50

5.12

13

 

0.71

1.76

0.01

94

DCAr0187

 

184.55

186.03

1.48

84

 

0.28

0.55

0.01

111

 

 

202.30

205.20

2.90

26

 

0.02

0.03

0.09

36

 

 

257.73

259.12

1.39

49

 

0.04

0.03

0.03

54

 

 

323.40

324.70

1.30

15

 

0.43

0.95

0.01

61

DCAr0188

 

35.00

48.23

13.23

45

 

0.12

0.21

0.00

56

 

 

61.90

69.10

7.20

32

 

0.10

0.23

0.00

43

 

 

130.80

310.15

179.35

24

 

0.24

0.49

0.01

49

DCAr0189

 

42.26

88.07

45.81

90

 

1.14

1.22

0.03

167

 

 

105.24

130.90

25.66

71

 

0.32

0.75

0.05

110

 

 

153.20

156.00

2.80

66

 

0.12

0.09

 

73

 

 

165.00

169.80

4.80

48

 

0.29

0.28

0.02

68

 

 

176.92

178.07

1.15

112

 

0.27

0.19

 

126

 

 

202.90

212.39

9.49

205

0.25

0.33

0.47

 

248

 

 

459.30

460.66

1.36

4

3.36

0.03

0.14

0.06

254

 

 

532.00

716.50

184.50

9

0.95

0.03

0.04

0.02

81

 

incl.

651.50

659.00

7.50

94

11.21

 

 

0.17

910

 

 

755.50

797.50

42.00

4

0.95

0.10

0.02

 

76

 

 

874.60

876.10

1.50

1

1.65

0.08

0.05

 

122

Notes:   
  1. Drill location, altitude, azimuth, and dip of drill holes are provided in Table 2
  2. Drill intercept is core length, and grade is length weighted. True width of mineralization is unknown due to early stage of exploration without adequate drill data.
  3. Calculation of silver equivalent (“AgEq”) is based on the long-term median of the August 2021 Street Consensus Commodity Price Forecasts, which are US$22.50/oz for Ag, US$0.95/lb for Pb, US$1.10/lb for Zn, US$3.40/lb for Cu, and US$1,600/oz for Au. The formula used for the AgEq calculation is as follows: AgEq = Ag g/t + Pb g/t * 0.0029 + Zn g/t * 0.00335 + Cu g/t * 0.01036 + Au g/t * 71.1111. This calculation assumes 100% recovery.
  4. A cut-off of 20 g/t AgEq is applied to calculate the length-weighted intercept. At times, samples lower than 20 g/t AgEq may be included in the calculation of consolidation of mineralized intercepts.
 

Table 2 Summary of drill hole details

Hole_id

Easting

Northing

Altitude

Depth_m

Azimuth (°)

Dip (°)

Target

DCAr0172

539349.02

7905238.86

3929.60

850.00

253

-66

ED

DCAr0173

538924.50

7905230.73

3905.50

302.00

20

-45

WD

DCAr0174

539186.31

7905072.00

3906.83

401.00

20

-62

CV

DCAr0175

538687.16

7905137.40

3906.07

452.00

46

-57

SW

DCAr0176

538899.47

7905162.68

3905.34

252.00

20

-55

SD

DCAr0177

539389.94

7905338.18

3928.27

801.00

244

-72

ED

DCAr0178

538487.32

7905011.21

3906.36

401.00

45

-50

SW

DCAr0179

539463.00

7905396.00

3945.00

851.00

255

-76

ED

DCAr0180

538604.00

7905129.00

3900.00

401.00

44

-57

SW

DCAr0181

538906.00

7905327.00

3923.00

251.00

20

-45

WD

DCAr0182

538714.00

7905100.00

3906.00

401.00

48

-63

SW

DCAr0183

538414.00

7905294.00

3906.00

401.00

50

-50

SW

DCAr0184

538600.00

7905062.00

3906.00

401.00

47

-55

SW

DCAr0185

538532.00

7905197.00

3906.00

401.00

45

-50

SW

DCAr0186

538838.00

7905141.00

3922.00

431.00

20

-45

SD

DCAr0187

538599.00

7905002.00

3905.00

431.00

48

-68

SW

DCAr0188

538852.00

7905033.00

3911.00

450.00

20

-52

SD

DCAr0189

539302.00

7905627.00

3908.00

930.00

203

-73

CV

Notes:   
  1. Drill collar coordinate system is WGS1984 UTM Zone 19S
  2. Coordinate of drill collar is picked with Real Time Kinematics (RTK) GPS
  3. CV – Central Valley; WD – West Dome; ED – East Dome; SW – Southwest step-out
QUALITY ASSURANCE AND QUALITY CONTROL

The Company maintains tight sample security and quality assurance and quality control for all aspects of its exploration program at the Carangas Project. Drill core is logged, photographed and split on-site by the company and stored under secure conditions until being shipped in security-sealed bags by New Pacific staff in Company vehicles, directly from the project to ALS Global in Oruro, Bolivia for preparation, and ALS Global in Lima, Peru for geochemical analysis. ALS Global is an ISO 17025 accredited laboratory independent from New Pacific. All samples are first analyzed by a multi-element ICP package (ALS code ME-MS41) with ore grade specified limits for silver, lead, and zinc, further analyzed using ALS code OG46. Further silver samples over specified limits are analyzed by gravimetric analysis (ALS code of GRA21). Gold is assayed first by ICP and then by fire assay with AAS finish (ALS code of Au-AA25). Certified reference materials, various types of blank samples and duplicate samples are inserted into normal drill core sample sequences prior to delivery to the laboratory for preparation and analysis. The overall ratio of quality control samples in sample sequences is around twenty percent.

QUALIFIED PERSON

The scientific and technical information contained in this news release has been reviewed and approved by Alex Zhang, P. Geo., Vice President of Exploration (the “Qualified Person”), who is a qualified person for the purposes of NI 43-101. The Qualified Person has verified the information disclosed herein using standard verification processes, including the sampling, preparation, security and analytical procedures underlying such information, and is not aware of any significant risks and uncertainties or any limitations on the verification process that could be expected to affect the reliability or confidence in the information discussed herein.

ABOUT NEW PACIFIC

New Pacific is a Canadian exploration and development company with precious metal projects in Bolivia. The Company’s flagship project, the Silver Sand Silver Project, has released its inaugural preliminary economic assessment (the “PEA”) results in January 2023. The PEA study shows a post-tax NPV (5% discount) of US$726 million with an IRR of 39%, underpinned by a total silver production of 171 million ounces over 14 years of mine life. At the recently discovered Carangas Silver-Gold Project, a resource drilling program of more than 80,000 meters in 189 holes was completed between 2021 to 2023. The third project, the Silverstrike Silver-Gold Project, had a 6,000 meter discovery drill program in June 2022.

FOR FURTHER INFORMATION

Andrew Williams, President
New Pacific Metals Corp.
Phone: (604) 633‐1368 Ext. 236
U.S. & Canada toll-free: 1-877-631-0593
E-mail: invest@newpacificmetals.com
For additional information and to receive company news by e-mail, please register using New Pacific’s website at www.newpacificmetals.com.

CAUTIONARY NOTE REGARDING RESULTS OF PRELIMINARY ECONOMIC ASSESSMENT

The PEA study results of the Silver Sand Project are preliminary in nature and are intended to provide an initial assessment of the project’s economic potential and development options. The PEA mine schedule and economic assessment includes numerous assumptions and is based on both indicated and inferred mineral resources. Inferred resources are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the project economic assessments described herein will be achieved or that the PEA results will be realized. The estimate of mineral resources may be materially affected by geology, environmental, permitting, legal, title, socio-political, marketing or other relevant issues. Mineral resources are not mineral reserves and do not have demonstrated economic viability. Additional exploration will be required to potentially upgrade the classification of the inferred mineral resources to be considered in future advanced studies. AMC Mining Consultants (Canada) Ltd. (mineral resource, mining, infrastructure and financial analysis) was contracted to conduct the PEA in cooperation with Halyard Inc. (metallurgy and processing), and NewFields Canada Mining & Environment ULC (tailings, water and waste management). The qualified persons (as defined in NI 43-101) for the PEA are Mr. Wayne Rogers P.Eng and Mr. Mo Molavi P.Eng both Principal Mining Engineers with AMC Mining Consultants (Canada) Ltd, Mr. Andy Holloway P.Eng, Process Director with Halyard Inc., and Mr. Leon Botham P.Eng., Principal Engineer with NewFields Canada Mining & Environment ULC. This is in addition to Ms. Dinara Nussipakynova, P.Geo., Principal Geologist with AMC Consultants (Canada) Ltd. who estimated the mineral resources. All such qualified persons have reviewed the technical content of the January 9, 2023, news release for the Silver Sand Project deposit and have approved its dissemination. The PEA is based on the updated mineral resource estimate in respect of the Silver Sand Project, which was reported on November 28, 2022 and has an effective date October 31, 2022. The cut-off applied for reporting the pit-constrained mineral resources is 30 g/t silver. Assumptions made to derive a cut-off grade included mining costs, processing costs and recoveries and were obtained from comparable industry situations. The model is depleted for historical mining activities. Mineral resources are constrained by optimized pit shells at a silver price of US$22.50 per ounce, silver metallurgical recovery of 91%, silver payability of 99%, open pit mining cost of US$2.6/t, processing cost of US$16/t, G&A cost of US$2/t, and slope angle of 44-47 degrees. Key assumptions used for pit optimization for the PEA mining pit include silver price of US$22.50 per ounce, silver metallurgical recovery of 91%, silver payability of 99%, open pit mining cost of US$2.6/t, incremental mining cost of US$0.04/t (per 10 m bench), processing cost of US$16/t, tailing storage facility operating cost of US$0.7/t, G&A cost of US$2/t, royalty of 6.00%, mining recovery of 92%, dilution of 8%, and cut-off grade of 30 g/t silver.

 

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this news release constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward-looking information” within the meaning of applicable Canadian provincial securities laws. Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, or future events or performance (often, but not always, using words or phrases such as “expects”, “is expected”, “anticipates”, “believes”, “plans”, “projects”, “estimates”, “assumes”, “intends”, “strategies”, “targets”, “goals”, “forecasts”, “objectives”, “budgets”, “schedules”, “potential” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information. Such statements include, but are not limited to statements regarding: anticipated timing for the commencement and outcome of the inaugural mineral resource estimation for the Project; anticipated timing for the mapping program for the Project; anticipated exploration, drilling, development, construction, and other activities or achievements of the Company; timing of receipt of permits and regulatory approvals; estimates of the Company’s revenues and capital expenditures; and other future plans, objectives or expectations of the Company.

 

Forward-looking statements or information are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks relating to: global economic and social impact of COVID-19; fluctuating equity prices, bond prices, commodity prices; calculation of resources, reserves and mineralization, general economic conditions, foreign exchange risks, interest rate risk, foreign investment risk; loss of key personnel; conflicts of interest; dependence on management, uncertainties relating to the availability and costs of financing needed in the future, environmental risks, operations and political conditions, the regulatory environment in Bolivia and Canada; risks associated with community relations and corporate social responsibility, and other factors described under the heading “Risk Factors” in the Company’s Annual Information Form for the year ended June 30, 2022 and its other public filings. This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information.

The forward-looking statements are necessarily based on a number of estimates, assumptions, beliefs, expectations and opinions of management as of the date of this news release that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. These estimates, assumptions, beliefs, expectations and options include, but are not limited to, those related to the Company’s ability to carry on current and future operations, including: the duration and effects of COVID-19 on our operations and workforce; development and exploration activities; the timing, extent, duration and economic viability of such operations; the accuracy and reliability of estimates, projections, forecasts, studies and assessments; the Company’s ability to meet or achieve estimates, projections and forecasts; the stabilization of the political climate in Bolivia; the Company’s ability to obtain and maintain social license at its mineral properties; the availability and cost of inputs; the price and market for outputs; foreign exchange rates; taxation levels; the timely receipt of necessary approvals or permits, including the ratification and approval of the Mining Production Contract with COMIBOL by the Plurinational Legislative Assembly of Bolivia; the ability of the Company’s Bolivian partner to convert the exploration licenses at the Carangas Project to AMC; the ability to meet current and future obligations; the ability to obtain timely financing on reasonable terms when required; the current and future social, economic and political conditions; and other assumptions and factors generally associated with the mining industry.

Although the forward-looking statements contained in this news release are based upon what management believes are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements. All forward-looking statements in this news release are qualified by these cautionary statements. Accordingly, readers should not place undue reliance on such statements. Other than specifically required by applicable laws, the Company is under no obligation and expressly disclaims any such obligation to update or alter the forward-looking statements whether as a result of new information, future events or otherwise except as may be required by law. These forward-looking statements are made as of the date of this news release.

 

CAUTIONARY NOTE TO US INVESTORS

This news release has been prepared in accordance with the requirements of the securities laws in effect in Canada which differ from the requirements of United States securities laws. The technical and scientific information contained herein has been prepared in accordance with NI 43-101, which differs from the standards adopted by the U.S. Securities and Exchange Commission (the “SEC”). Accordingly, the technical and scientific information contained herein, including any estimates of mineral reserves and mineral resources, may not be comparable to similar information disclosed by U.S. companies subject to the disclosure requirements of the SEC.

Additional information relating to the Company, including the Company’s Annual Information Form, can be obtained under the Company’s profile on SEDAR at www.sedar.com, on EDGAR at www.sec.gov, and on the Company’s website at www.newpacificmetals.com.

30 May, 23

New Pacific Intersects 205 Meters Grading 123 Grams per Tonne Silver in Step-out Drilling at the Carangas Project, Bolivia

Download PDF Version

VANCOUVER, British ColumbiaMay 30, 2023 – New Pacific Metals Corp. (“New Pacific” or the “Company”) (TSX: NUAG; NYSE American: NEWP), together with its local Bolivian partner, reports assay results of the first 21 drill holes from its 2023 Q1 drill program at its Carangas Silver-Gold Project, Oruro Department, Bolivia (the “Carangas Project” or the “Project”). Detailed results and drill hole specifications are listed in Tables 1 and 2, and Figure 1.

The 2023 Q1 drilling was a continuation of the 2022 drilling campaign at the Carangas Project. It was originally budgeted as 15,000 meters of diamond core drilling, infilling areas drilled in 2021-2022 and stepping out beyond these previously drilled areas. This drilling program started on schedule in January 2023 and was expanded based on encouraging results and is now complete. A total of 17,623 meters in 39 holes was drilled up to the end of April 2023. Each of the 39 holes intersected mineralization. To date, assay results of the first 21 holes have been received with the remaining holes pending.

Highlights of drill results

DCAr0171 intersected a wide interval of silver mineralization measuring 205.6 m (76.8 m to 282.4 m) grading 123 g/t Ag, 0.44% Pb and 0.84% Zn, including 77.6 m (126.1 m to 203.7 m) grading 242 g/t Ag, 0.71% Pb and 1.30% Zn. This step-out hole was drilled through fluvial sediment cover to the southwest of the South Dome and implies that shallow silver mineralization remains open to the southwest, beyond the previously drilled West Dome-Central Valley-East Dome corridor.

DCAr0170 was drilled at the western limit of the Central Valley near the West Dome and intersected a wide interval of silver mineralization measuring 292.8 m starting near surface (9.2 m to 302 m) grading 58 g/t Ag, 0.39% Pb and 0.84% Zn, including 80.39 m (9.2 m to 89.59 m) grading 173 g/t Ag, 0.77% Pb and 1.08% Zn.

DCAr0154 intersected an interval of silver mineralization measuring 93.7 m (69.5 m to 163.2 m) grading 50 g/t Ag, 0.20% Pb and 0.53% Zn, including 13.05 m (72.4 m to 84.45 m) grading 280 g/t Ag, 0.36% Pb and 0.83% Zn. To depth, multiple intervals of gold mineralization were intersected, represented by 233.66 m (500.24 m to 733.9 m) grading 0.65 g/t Au and 107.1 m (774.24 m to 881.34 m) grading 0.84 g/t Au. This hole was drilled to test the eastern extension of gold mineralization at depth and the gold intervals in this hole indicate that gold mineralization remains open to the east.

DCAr0151 intersected an interval of silver mineralization measuring 66.76 m starting near surface (6.14 m to 72.9 m) grading 55 g/t Ag and 0.31% Pb, and a second silver interval of 3.63 m (266.13 m to 269.76 m) grading 215 g/t Ag, 0.45% Pb and 0.54% Zn. This hole was drilled in the upper portion of the East Dome.

Inaugural Mineral resource estimate

The Company engaged consulting firm RPMGlobal Canada Limited for technical services regarding a National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”) mineral resource estimate report for the Carangas Project. The qualified person (as defined in NI 43-101) from RPMGlobal Canada Limited completed his site visit at the end of March 2023. The resource estimation will commence once assay results of all drill holes are available and the completed resource estimate is expected in the third quarter of 2023.

Interim GeologICAL mapping PROGRAM

The project technical team is currently conducting detailed surface geological mapping and sampling to refine drill targets over the induced polarization (“IP”) chargeability anomalies beyond the previously drilled areas (Figure 2). This mapping program is planned for the interim period before the expected resumption of drilling activities in the second half of 2023. These IP chargeability anomalies demonstrate a geophysical signature similar to the one observed in the drilled-off area of the Central Valley which hosts the bulk silver-gold mineralization discovered at the Carangas Project.

Figure 1 Simplified geology and drill plan map of the Carangas Project

Figure 2 Geological mapping areas over IP chargeability anomalies

Notes:   

  1. Drill location, altitude, azimuth, and dip of drill holes are provided in Table 2
  2. Drill intercept is core length, and grade is length weighted. True width of mineralization is unknown due to early stage of exploration without adequate drill data.
  3. Calculation of silver equivalent (“AgEq”) is based on the long-term median of the August 2021 Street Consensus Commodity Price Forecasts, which are US$22.50/oz for Ag, US$0.95/lb for Pb, US$1.10/lb for Zn, US$3.40/lb for Cu, and US$1,600/oz for Au. The formula used for the AgEq calculation is as follows: AgEq = Ag g/t + Pb g/t * 0.0029 + Zn g/t * 0.00335 + Cu g/t * 0.01036 + Au g/t * 71.1111. This calculation assumes 100% recovery.
  4. A cut-off of 20 g/t AgEq is applied to calculate the length-weighted intercept. At times, samples lower than 20 g/t AgEq may be included in the calculation of consolidation of mineralized intercepts.

Quality Assurance and Quality Control

The Company maintains tight sample security and quality assurance and quality control for all aspects of its exploration program at the Carangas Project. Drill core is logged, photographed and split on-site by the company and stored under secure conditions until being shipped in security-sealed bags by New Pacific staff in Company vehicles, directly from the project to ALS Global in Oruro, Bolivia for preparation, and ALS Global in Lima, Peru for geochemical analysis. ALS Global is an ISO 17025 accredited laboratory independent from New Pacific. All samples are first analyzed by a multi-element ICP package (ALS code ME-MS41) with ore grade specified limits for silver, lead, and zinc, further analyzed using ALS code OG46. Further silver samples over specified limits are analyzed by gravimetric analysis (ALS code of GRA21). Gold is assayed first by ICP and then by fire assay with AAS finish (ALS code of Au-AA25). Certified reference materials, various types of blank samples and duplicate samples are inserted into normal drill core sample sequences prior to delivery to the laboratory for preparation and analysis. The overall ratio of quality control samples in sample sequences is around twenty percent.

QUALIFIED PERSON

The scientific and technical information contained in this news release has been reviewed and approved by Alex Zhang, P. Geo., Vice President of Exploration (the “Qualified Person”), who is a qualified person for the purposes of NI 43-101. The Qualified Person has verified the information disclosed herein using standard verification processes, including the sampling, preparation, security and analytical procedures underlying such information, and is not aware of any significant risks and uncertainties or any limitations on the verification process that could be expected to affect the reliability or confidence in the information discussed herein.

ABOUT NEW PACIFIC

New Pacific is a Canadian exploration and development company with precious metal projects in Bolivia. The Company’s flagship project, the Silver Sand Silver Project, has released its inaugural preliminary economic assessment (the “PEA”) results in January 2023. The PEA study shows a post-tax NPV (5% discount) of US$726 million with an IRR of 39%, underpinned by a total silver production of 171 million ounces over 14 years of mine life. At the recently discovered Carangas Silver-Gold Project, a resource drilling program of more than 50,000 meters was completed in 2021-2022. The third project, the Silverstrike Silver-Gold Project, had a 6,000 meter discovery drill program in June 2022.

FOR FURTHER INFORMATION

Andrew Williams, President
New Pacific Metals Corp.
Phone: (604) 633‐1368 Ext. 236
U.S. & Canada toll-free: 1-877-631-0593
E-mail: invest@newpacificmetals.com
For additional information and to receive company news by e-mail, please register using New Pacific’s website at www.newpacificmetals.com.

CAUTIONARY NOTE REGARDING RESULTS OF PRELIMINARY ECONOMIC ASSESSMENT

The PEA study results of the Silver Sand Project are preliminary in nature and are intended to provide an initial assessment of the project’s economic potential and development options. The PEA mine schedule and economic assessment includes numerous assumptions and is based on both indicated and inferred mineral resources. Inferred resources are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the project economic assessments described herein will be achieved or that the PEA results will be realized. The estimate of mineral resources may be materially affected by geology, environmental, permitting, legal, title, socio-political, marketing or other relevant issues. Mineral resources are not mineral reserves and do not have demonstrated economic viability. Additional exploration will be required to potentially upgrade the classification of the inferred mineral resources to be considered in future advanced studies. AMC Mining Consultants (Canada) Ltd. (mineral resource, mining, infrastructure and financial analysis) was contracted to conduct the PEA in cooperation with Halyard Inc. (metallurgy and processing), and NewFields Canada Mining & Environment ULC (tailings, water and waste management). The qualified persons (as defined in NI 43-101) for the PEA are Mr. Wayne Rogers P.Eng and Mr. Mo Molavi P.Eng both Principal Mining Engineers with AMC Mining Consultants (Canada) Ltd, Mr. Andy Holloway P.Eng, Process Director with Halyard Inc., and Mr. Leon Botham P.Eng., Principal Engineer with NewFields Canada Mining & Environment ULC. This is in addition to Ms. Dinara Nussipakynova, P.Geo., Principal Geologist with AMC Consultants (Canada) Ltd. who estimated the mineral resources. All such qualified persons have reviewed the technical content of the January 9, 2023, news release for the Silver Sand Project deposit and have approved its dissemination. The PEA is based on the updated mineral resource estimate in respect of the Silver Sand Project, which was reported on November 28, 2022 and has an effective date October 31, 2022. The cut-off applied for reporting the pit-constrained mineral resources is 30 g/t silver. Assumptions made to derive a cut-off grade included mining costs, processing costs and recoveries and were obtained from comparable industry situations. The model is depleted for historical mining activities. Mineral resources are constrained by optimized pit shells at a silver price of US$22.50 per ounce, silver metallurgical recovery of 91%, silver payability of 99%, open pit mining cost of US$2.6/t, processing cost of US$16/t, G&A cost of US$2/t, and slope angle of 44-47 degrees. Key assumptions used for pit optimization for the PEA mining pit include silver price of US$22.50 per ounce, silver metallurgical recovery of 91%, silver payability of 99%, open pit mining cost of US$2.6/t, incremental mining cost of US$0.04/t (per 10 m bench), processing cost of US$16/t, tailing storage facility operating cost of US$0.7/t, G&A cost of US$2/t, royalty of 6.00%, mining recovery of 92%, dilution of 8%, and cut-off grade of 30 g/t silver.


CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this news release constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward-looking information” within the meaning of applicable Canadian provincial securities laws. Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, or future events or performance (often, but not always, using words or phrases such as “expects”, “is expected”, “anticipates”, “believes”, “plans”, “projects”, “estimates”, “assumes”, “intends”, “strategies”, “targets”, “goals”, “forecasts”, “objectives”, “budgets”, “schedules”, “potential” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information. Such statements include, but are not limited to statements regarding: anticipated timing for the commencement and outcome of the inaugural mineral resource estimation for the Project; anticipated timing for the mapping program for the Project; anticipated exploration, drilling, development, construction, and other activities or achievements of the Company; timing of receipt of permits and regulatory approvals; estimates of the Company’s revenues and capital expenditures; and other future plans, objectives or expectations of the Company.

Forward-looking statements or information are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks relating to: global economic and social impact of COVID-19; fluctuating equity prices, bond prices, commodity prices; calculation of resources, reserves and mineralization, general economic conditions, foreign exchange risks, interest rate risk, foreign investment risk; loss of key personnel; conflicts of interest; dependence on management, uncertainties relating to the availability and costs of financing needed in the future, environmental risks, operations and political conditions, the regulatory environment in Bolivia and Canada; risks associated with community relations and corporate social responsibility, and other factors described under the heading “Risk Factors” in the Company’s Annual Information Form for the year ended June 30, 2022 and its other public filings. This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information.

The forward-looking statements are necessarily based on a number of estimates, assumptions, beliefs, expectations and opinions of management as of the date of this news release that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. These estimates, assumptions, beliefs, expectations and options include, but are not limited to, those related to the Company’s ability to carry on current and future operations, including: the duration and effects of COVID-19 on our operations and workforce; development and exploration activities; the timing, extent, duration and economic viability of such operations; the accuracy and reliability of estimates, projections, forecasts, studies and assessments; the Company’s ability to meet or achieve estimates, projections and forecasts; the stabilization of the political climate in Bolivia; the Company’s ability to obtain and maintain social license at its mineral properties; the availability and cost of inputs; the price and market for outputs; foreign exchange rates; taxation levels; the timely receipt of necessary approvals or permits, including the ratification and approval of the Mining Production Contract with COMIBOL by the Plurinational Legislative Assembly of Bolivia; the ability of the Company’s Bolivian partner to convert the exploration licenses at the Carangas Project to AMC; the ability to meet current and future obligations; the ability to obtain timely financing on reasonable terms when required; the current and future social, economic and political conditions; and other assumptions and factors generally associated with the mining industry.

Although the forward-looking statements contained in this news release are based upon what management believes are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements. All forward-looking statements in this news release are qualified by these cautionary statements. Accordingly, readers should not place undue reliance on such statements. Other than specifically required by applicable laws, the Company is under no obligation and expressly disclaims any such obligation to update or alter the forward-looking statements whether as a result of new information, future events or otherwise except as may be required by law. These forward-looking statements are made as of the date of this news release.


CAUTIONARY NOTE TO US INVESTORS

This news release has been prepared in accordance with the requirements of the securities laws in effect in Canada which differ from the requirements of United States securities laws. The technical and scientific information contained herein has been prepared in accordance with NI 43-101, which differs from the standards adopted by the U.S. Securities and Exchange Commission (the “SEC”). Accordingly, the technical and scientific information contained herein, including any estimates of mineral reserves and mineral resources, may not be comparable to similar information disclosed by U.S. companies subject to the disclosure requirements of the SEC.

Additional information relating to the Company, including the Company’s Annual Information Form, can be obtained under the Company’s profile on SEDAR at www.sedar.com, on EDGAR at www.sec.gov, and on the Company’s website at www.newpacificmetals.com.

08 May, 23

New Pacific Reports Financial Results for the Three and Nine Months Ended March 31, 2023

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VANCOUVER, BRITISH COLUMBIA – MAY 8, 2023: New Pacific Metals Corp. (“New Pacific” or the “Company”) reports its financial results for the three and nine months ended March 31, 2023.  All figures are expressed in US dollars unless otherwise stated.

FISCAL 2023 Q3 HIGHLIGHTS

  • The Company filed its independent preliminary economic assessment (the “PEA”) of the Silver Sand Project on February 16, 2023. The PEA shows a post-tax net present value (“NPV”) (at a 5% discount rate) of $726 million with an internal return rate (“IRR”) of 39%, underpinned by a total silver production of 171 million ounces over 14 years of mine life. Please see “Cautionary Note Regarding Results of Preliminary Economic Assessment
  • The Company completed the 2022 drill program at the Carangas Silver Gold Project for a total of 50,368 meters (“m”). To date, assay results of all 115 drill holes drilled in 2022 have been received and released.  The assay results continue to indicate that a thick zone of gold mineralization occurs beneath a shallow silver horizon measuring approximately 1,000 m long, 800 m wide, and up to 200 m thick.  The 2022 drill results also indicate the gold system is open to the north and north-east directions with these targets being drill tested as part of the Company’s 2023 drill program. Please see “Carangas Project”.
  • The Company completed the 2023 drill program at the Carangas Project for a total of 17,650 m in 39 drill holes pending assay results. The results from the 2023 drill program, together with the results from 2021 and 2022 drill programs, will be used for an inaugural mineral resource estimate (“MRE”) to be completed later in 2023.
  • Received results of an expanded 3D Bipole-Dipole IP-MT program completed in January 2023 at the Carangas Project. The results show multiple chargeability anomalies outside the current area of drilling.  These new chargeability anomalies display a similar geophysical signature to those of the known silver-gold system and will be drill tested in future drilling campaigns.
  • The Company strengthened the management team by appointing Mr. Andrew Williams as President of the Company.

FINANCIAL RESULTS

Net loss attributable to equity holders of the Company for the three months ended March 31, 2023 was $2.28 million or $0.01 per share (three months ended March 31, 2022 – net loss of $1.41 million or $0.01 per share).  The Company’s financial results were mainly impacted by the following: (i) operating expenses of $2.38 million compared to $1.52 million in the comparative quarter; (ii) net income from investments of $0.12 million compared to $0.12 million in the comparative quarter; and (iii) foreign exchange loss of $0.02 million compared to $0.04 million in the comparative quarter.

For the nine months ended March 31, 2023, net loss attributable to equity holders of the Company was $6.23 million or $0.04 per share compared to net loss of $4.08 million or $0.03 per share for the nine months ended March 31, 2022.

Operating expenses for the three and nine months ended March 31, 2023 were $2.38 million and $6.36 million, respectively (three and nine months ended March 31, 2022 – $1.52 million and $4.49 million, respectively).  

Net Income from investments for the three months ended March 31, 2023 was $0.12 million (three months ended March 31, 2022 – $0.12 million) and is comprised of a $0.01 million loss on the Company’s equity investments  (three months ended March 31, 2022 – gain of $0.06 million), a $0.05 million gain on bonds (three months ended March 31, 2022 – gain of $0.03 million), and $0.08 million interest earned from cash accounts (three months ended March 31, 2022 – $0.03 million).

For the nine months ended March 31, 2023, income from investments was $0.16 million (nine months ended March 31, 2022 – $0.21 million).

Foreign exchange loss for the three months ended March 31, 2023 was $0.02 million (three months ended March 31, 2022 – $0.04 million).  The Company holds a portion of cash and short-term investments in USD to support its operations in Bolivia.  Revaluation of these USD-denominated financial assets to their Canadian dollar (“CAD”) functional currency equivalents resulted in unrealized foreign exchange gain or loss for the relevant reporting periods.  For the three months ended March 31, 2023, the USD depreciated by 0.1% against the CAD (from 1.3544 to 1.3533) while in the comparative period the USD depreciated by 1.4% against the CAD (from 1.2678 to 1.2496).

For the nine months ended March 31, 2023, foreign exchange loss was $0.03 million (nine months ended March 31, 2022– gain of $0.16 million).

Working Capital: As of March 31, 2023, the Company had working capital of $8.53 million.

PROJECT OVERVIEW

SILVER SAND PROJECT

In 2021, the Company completed a drill program of 13,313.7 m in 55 holes.  The 2021 drill program comprised structure orientation drilling, step-out and infill drilling as well as exploration drilling.  Assay results of all drill holes have been received.  Detailed structural logging and assays of the oriented drill cores confirmed previous understanding of the orientation of mineralized structures and resource model which are dominantly striking in the direction of north and northwest and dipping in the direction of west at high angles which are also evidenced at surface outcrops and historical underground workings.  Step-out drilling was carried out mainly outside of the major mineralized trends with results indicating the existence of multiple smaller satellite mineralized zones between the major mineralized trends.  For details of the 2021 drill program, please refer to the Company’s news release dated April 6, 2022. 

In 2022, the Company conducted a resource infill drilling and step-out drilling program at the Silver Sand south block and completed 19,323 m in 86 drill holes. Assay results for all drill holes have been received. The resource infill drilling aimed to improve the confidence in the continuity of mineralization in the core area of the Silver Sand Project  and upgrade resources, while the step-out drilling was designed to test the extension of the mineralized zones up and down dip as well as on strike. The infill and step-out drilling results were included in the MRE update and incorporated into the PEA. For details on the 2022 drill program, please refer to the Company’s news releases dated September 19, 2022, May 31, 2022, and April 6, 2022. 

On February 16, 2023, the Company filed its independent PEA technical report for its Silver Sand Project.  AMC Mining Consultants (Canada) Ltd. (mineral resource, mining, infrastructure and financial analysis) was contracted to conduct the PEA in cooperation with Halyard Inc. (metallurgy and processing), and New Fields Canada Mining & Environment ULC (tailings, water and water management).  The PEA is based on the MRE, which was reported on November 28, 2022.  Please see “Cautionary Note Regarding Results of Preliminary Economic Assessment”. For more details on the PEA, please refer to the Company’s news release dated February 16, 2023 and January 9, 2023.

For the three and nine months ended March 31, 2023, total expenditures of $1.22 million and $5.42 million, respectively (three and nine months ended March 31, 2022 – $1.02 million and $4.44 million, respectively) were capitalized under the project.

CARANGAS PROJECT

In 2021, the Company completed an initial discovery drill program of 13,209 m in 35 drill holes.  Assay results of all drill holes have been received.  Results from the 2021 discovery drill program confirmed the broad silver-rich polymetallic mineralization near surface and intersected a wide zone of gold mineralization below it.  For details of the 2021 discovery drill program, please refer to the Company’s news releases dated May 17, 2022, February 23, 2022, and February 10, 2022. 

Following the success of the 2021 discovery drill program, the Company completed the 2022 resource definition drill program for a total of 50,368 m in 115 drill holes.  Assay results of all 115 drill holes have been received and released to date. The assay results continue to indicate that a thick zone of gold mineralization occurs beneath a shallow silver horizon measuring approximately 1,000 m long, 800 m wide, and up to 200 m thick. The 2022 drill results also indicate the gold system is open to the north and north-east directions with these targets being drill tested as part of the Company’s 2023 drill program. For details of the 2022 drill program, please refer to the Company’s news releases dated April 6, 2023, February 21, 2023, February 1, 2023, January 24, 2023, October 19, 2022, August 8, 2022, and July 13, 2022.

To date, the Company completed its 2023 drill program at the Carangas Project for a total of 17,650 m in 39 drill holes pending assay results. The results from the 2023 drill program, together with the results from 2021 and 2022 drill programs, will be used for an inaugural MRE to be completed later in 2023.

For the three and nine months ended March 31, 2023, total expenditures of $3.34 million and $9.19 million, respectively (three and nine months ended March 31, 2022 – $1.16 million and $3.13 million, respectively) were capitalized under the project.

SILVERSTRIKE PROJECT

In 2022, the Company commenced a 6,000 m initial discovery drill program at the Silverstrike Project.  As of the date of this news release, a total of 3,200 m in 10 drill holes have been completed, of which assay results of the two drill holes have been received.  The assay results intersected broad gold mineralization starting near surface.  For details of the initial discovery drill program, please refer to the Company’s news releases dated November 1, 2022 and September 12, 2022.

For the three and nine months ended March 31, 2023, total expenditures of $0.20 million and $1.35 million, respectively (three and nine months ended March 31, 2022 – $0.03 million and $0.04 million, respectively) were capitalized under the project.

MANAGEMENT DISCUSSION AND ANALYSIS

This news release should be read in conjunction with the Company’s management discussion and analysis and the unaudited condensed consolidated interim financial statements and notes thereto for the corresponding period, which have been filed with the Canadian Securities Administrators and are available under the Company’s profile on SEDAR at www.sedar.com,on EDGAR at www.sec.gov and on the Company’s website at www.newpacificmetals.com.

QUALIFIED PERSON

The scientific and technical information contained in this news release has been reviewed and approved by Alex Zhang, P. Geo., Vice President of Exploration, who is a Qualified Person for the purposes of NI 43-101. The Qualified Person has verified the information disclosed herein using standard verification processes, including the sampling, preparation, security and analytical procedures underlying such information, and is not aware of any significant risks and uncertainties or any limitations on the verification process that could be expected to affect the reliability or confidence in the information discussed herein.

ABOUT NEW PACIFIC

New Pacific is a Canadian exploration and development company with precious metal projects in Bolivia. The Company’s flagship Project, the Silver Sand Silver Project, has released its inaugural PEA study in January 2023. The PEA study shows a post-tax NPV (5% discount) of US$726 millions with an IRR of 39%, underpinned by total silver production of 171 million ounces over 14 years of mine life. At the recently discovered Carangas Silver-Gold Project, a resource drilling program of more than 81,000 meters has been completed to date. The third project, the Silverstrike Silver-Gold Project, had a 6,000 m discovery drill program in June 2022.

FOR FURTHER INFORMATION

Andrew Williams, President
New Pacific Metals Corp.
Phone: (604) 633‐1368 Ext. 236
U.S. & Canada toll-free: 1-877-631-0593
E-mail: invest@newpacificmetals.com
For additional information and to receive company news by e-mail, please register using New Pacific’s website at www.newpacificmetals.com.

CAUTIONARY NOTE REGARDING RESULTS OF PRELIMINARY ECONOMIC ASSESSMENT

The PEA results of are preliminary in nature and are intended to provide an initial assessment of the Silver Sand Project’s economic potential and development options. The PEA mine schedule and economic assessment includes numerous assumptions and is based on both indicated and inferred mineral resources. Inferred resources are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the project economic assessments described herein will be achieved or that the PEA results will be realized. The estimate of mineral resources may be materially affected by geology, environmental, permitting, legal, title, socio-political, marketing or other relevant issues. Mineral resources are not mineral reserves and do not have demonstrated economic viability. Additional exploration will be required to potentially upgrade the classification of the inferred mineral resources to be considered in future advanced studies. AMC Mining Consultants (Canada) Ltd. (mineral resource, mining, infrastructure and financial analysis) was contracted to conduct the PEA in cooperation with Halyard Inc. (metallurgy and processing), and NewFields Canada Mining & Environment ULC (tailings, water and waste management). The qualified persons for the PEA for the purposes of NI 43-101 are Mr. Wayne Rogers P.Eng and Mr. Mo Molavi P.Eng both Principal Mining Engineers with AMC Mining Consultants (Canada) Ltd, Mr. Andy Holloway P.Eng, Process Director with Halyard Inc., and Mr. Leon Botham P.Eng., Principal Engineer with NewFields Canada Mining & Environment ULC. This is in addition to Ms. Dinara Nussipakynova, P.Geo., Principal Geologist with AMC Consultants (Canada) Ltd. Who estimated the mineral resources. All qualified persons for the PEA have reviewed the disclosure of the PEA herein. The PEA is based on the MRE, which was reported on November 28, 2022. The effective date of the MRE is October 31 2022. The cut-off applied for reporting the pit-constrained mineral resources is 30 g/t silver. Assumptions made to derive a cut-off grade included mining costs, processing costs and recoveries and were obtained from comparable industry situations. The model is depleted for historical mining activities. Mineral resources are constrained by optimized pit shells at a silver price of US$22.50 per ounce, silver metallurgical recovery of 91%, silver payability of 99%, open pit mining cost of US$2.6/t, processing cost of US$16/t, G&A cost of US$2/t, and slope angle of 44-47 degrees. Key assumptions used for pit optimization for the PEA mining pit include silver price of US$22.50 per ounce, silver metallurgical recovery of 91%, silver payability of 99%, open pit mining cost of US$2.6/t, incremental mining cost of US$0.04/t (per 10 m bench), processing cost of US$16/t, tailing storage facility operating cost of US$0.7/t, G&A cost of US$2/t, royalty of 6.00%, mining recovery of 92%, dilution of 8%, and cut-off grade of 30 g/t silver.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this news release constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward-looking information” within the meaning of applicable Canadian provincial securities laws. Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects”, “is expected”, “anticipates”, “believes”, “plans”, “projects”, “estimates”, “assumes”, “intends”, “strategies”, “targets”, “goals”, “forecasts”, “objectives”, “budgets”, “schedules”, “potential” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information. Such statements include, but are not limited to: statements regarding anticipated exploration, drilling, development, construction, and other activities or achievements of the Company; inferred, indicated or measured mineral resources or mineral reserves on the Company’s projects; the results of the PEA; timing of receipt of permits and regulatory approvals; and estimates of the Company’s revenues and capital expenditures.

Forward-looking statements or information are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks relating to: global economic and social impact of COVID-19; fluctuating equity prices, bond prices, commodity prices; calculation of resources, reserves and mineralization, general economic conditions, foreign exchange risks, interest rate risk, foreign investment risk; loss of key personnel; conflicts of interest; dependence on management, uncertainties relating to the availability and costs of financing needed in the future, environmental risks, operations and political conditions, the regulatory environment in Bolivia and Canada, risks associated with community relations and corporate social responsibility, and other factors described under the heading “Risk Factors” in the Company’s Annual Information Form for the year ended June 30, 2022 and its other public filings.

This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information.

The forward-looking statements are necessarily based on a number of estimates, assumptions, beliefs, expectations and opinions of management as of the date of this news release that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. These estimates, assumptions, beliefs, expectations and options include, but are not limited to, those related to the Company’s ability to carry on current and future operations, including: the duration and effects of COVID-19 on our operations and workforce; development and exploration activities; the timing, extent, duration and economic viability of such operations; the accuracy and reliability of estimates, projections, forecasts, studies and assessments; the Company’s ability to meet or achieve estimates, projections and forecasts; the stabilization of the political climate in Bolivia; the Company’s ability to obtain and maintain social license at its mineral properties; the availability and cost of inputs; the price and market for outputs; foreign exchange rates; taxation levels; the timely receipt of necessary approvals or permits, including the ratification and approval of the Mining Production Contract with the Corporacion Minera de Bolivia (“COMIBOL”) by the Plurinational Legislative Assembly of Bolivia; the ability of the Company’s Bolivian partner to convert the exploration licenses at the Carangas Project to AMC; the ability to meet current and future obligations; the ability to obtain timely financing on reasonable terms when required; the current and future social, economic and political conditions; and other assumptions and factors generally associated with the mining industry.

Although the forward-looking statements contained in this news release are based upon what management believes are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements. All forward-looking statements in this news release are qualified by these cautionary statements. Accordingly, readers should not place undue reliance on such statements. Other than specifically required by applicable laws, the Company is under no obligation and expressly disclaims any such obligation to update or alter the forward-looking statements whether as a result of new information, future events or otherwise except as may be required by law. These forward-looking statements are made as of the date of this news release.

CAUTIONARY NOTE TO US INVESTORS

This news release has been prepared in accordance with the requirements of the securities laws in effect in Canada which differ from the requirements of United States securities laws. All mining terms used herein but not otherwise defined have the meanings set forth in NI 43-101. Unless otherwise indicated, the technical and scientific disclosure herein has been prepared in accordance with NI 43-101, which differs significantly from the requirements adopted by the U.S. Securities and Exchange Commission.

Accordingly, information contained in this news release containing descriptions of the Company’s mineral deposits may not be comparable to similar information made public by U.S. companies subject to the reporting and disclosure requirements of United States federal securities laws and the rules and regulations thereunder.

Additional information relating to the Company, including the Company’s Annual Information Form, can be obtained under the Company’s profile on SEDAR at www.sedar.com, on EDGAR at www.sec.gov, and on the Company’s website at www.newpacificmetals.com.

06 Apr, 23

New Pacific Intersects 306 Metres Grading 1.2 Grams per Tonne Gold and 26 Grams per Tonne Silver at the Carangas Project, Bolivia

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VANCOUVER, BRITISH COLUMBIA – APRIL 6, 2023 – New Pacific Metals Corp. (“New Pacific” or the “Company”) (TSX: NUAG; NYSE American: NEWP), together with its local Bolivian partner, reports assay results of the last 29 drill holes from the 2022 drill program at its Carangas Silver-Gold Project, Oruro Department, Bolivia (the “Carangas Project” or the “Project”). To date, assay results of all 115 drill holes drilled in 2022 have been received and released. Detailed results and drill hole specifications are listed in Tables 1 and 2, as well as in Figure 1.

Of the 29 holes, ten are deep holes which were drilled in different directions towards the Central Valley to define the limit of the gold mineralization system at depth. Drill results (refer to the Company’s news release dated February 20, 2023) indicate the gold system is open to the north and north-east directions with these targets currently being drill tested as part of the Company’s Q1 2023 drill program.

The remaining 19 holes are shallow and were drilled to define the near surface silver mineralization. All nineteen holes intersected silver mineralization.

In addition to the drilling activities, results of an expanded 3D Bipole-Dipole IP-MT survey program completed in January 2023 have been received, showing multiple chargeability anomalies outside the current area of drilling (Figure 2). These new chargeability anomalies display a similar geophysical signature to those of the known silver-gold system and will be drill tested in future drilling campaigns.

HIGHLIGHTS OF DRILL RESULTS FOR DEEP HOLES

DCAr0112 intersected a gold mineralization interval of 306.95 m at depth from 359.55 m to 666.5 m, grading 1.2 g/t Au and 26 g/t Ag, including 31.78 m (411.65 m to 443.43 m) grading 122 g/t Ag, 4.11 g/t Au and 0.15% Cu, and near surface silver mineralization intervals of 41.03 m (55.97 m to 97 m) grading 54 g/t Ag, 0.25% Pb and 0.57% Zn, and 75.1 m (108.7 m to 183.8 m) grading 27 g/t Ag, 0.24%Pb and 0.65% Zn.

DCAr0104 intersected a gold mineralization interval of 328.3 m (233.75 m to 562.05 m) grading, 1.07 g/t Au, 20 g/t Ag ,0.14% Pb, 0.25% Zn and 0.14% copper (“Cu”), and a near surface silver-lead-zinc mineralization interval of 228.25 m (5.5 m to 233.75 m) grading 21 g/t silver (“Ag”), 0.54% lead (“Pb”) and 1.23% zinc (“Zn”), immediately followed by. Two more gold mineralization intervals intersected at further depth, 15.77 m (652.17 m to 667.94 m) grading 0.44 g/t Au and 0.12% Cu, and 252 m (693 m to 945 m) grading 0.45 g/t Au and 0.13% Cu.

DCAr0105 intersected a gold mineralization interval of 476.3 m (324.7 m to 801 m) grading 0.75g/t Au including 43.62 m (510.38 m to 554 m) grading 3.19 g/t Au, and a near surface silver-lead-zinc mineralization interval of 293.94 m (5.16 m to 299.1 m) grading 37 g/t Ag, 0.57% lead (“Pb”) and 1.3% zinc (“Zn”), including 38.99 m (5.16 m to 44.15 m) grading 134 g/t Ag, 1.48% Pb and 2.51% Zn.

HIGHLIGHTS OF DRILL RESULTS FOR SHALLOW HOLES

DCAr0141 intersected a near surface silver-lead-zinc mineralization interval of 110.15 m (5.85 m to 116 m) grading 136 g/t Ag and 0.96% Pb, including 6.92 m (30.73 m to 37.65 m) grading 693 g/t Ag and 1.71% Pb, and 24.63 m (59.87 m to 84.5 m) grading 197 g/t Ag and 2.14% Pb. Multiple historical underground mining voids for a total length of 16.39 m were intersected in this hole.

DCAr0128 intersected a near surface silver-lead-zinc mineralization interval of 78.3 m (7.7 m to 86 m) grading 104 g/t Ag, 0.74% Pb and 0.59% Zn including 33 m (30.5 m to 60.5 m) grading 226 g/t Ag, 1.47% Pb and 0.93% Zn. In addition, further down the hole to the end of hole, multiple shorter silver-lead-zinc mineralization intervals were intercepted.

DCAr0134 intersected 111.85 m (114.4 m to 226.25 m) grading 52 g/t Ag, 0.25% Pb and 0.59% Zn including 17.94 m (198.96 m to 216.9 m) grading 197 g/t Ag, 0.49% Pb and 0.91% Zn.

UPDATE ON Q1 2023 RESOURCE DRILL PROGRAM

The Company’s 2023 15,000 m drill program at Carangas is close to being completed. The results from this drill program, together with the results from 2021 and 2022 drilling, will be used to estimate an inaugural mineral resource to be completed in the second quarter of 2023.

EXPANDED IP SURVEY PROGRAM

A pilot 3D Bipole-Dipole IP-MT survey program was completed in the drilled area of West Dome-Central Valley-East Dome in September 2022 (refer to the Company’s news release dated on November 14, 2022), revealing that the blind gold mineralization system at the Central Valley overlays the strongest chargeability anomaly under the young sediments of the Central Valley.

Encouraged by the success of the pilot 3D Bipole-Dipole IP-MT survey program, an expanded 3D Bipole-Dipole IP-MT survey program was carried out at Carangas by Southern Rock Geophysics S.A. of Chile from November 2022 to January 2023. This expanded IP program covers the entire Carangas Basin of 29 square kilometers, which is mostly covered by young sediments.

Multiple high chargeability anomalies with a similar signature to that of the Central Velley were identified in the expanded area outside of the drilled area (Figure 2). These new anomalies generally have weak or no chargeability response near surface, but high chargeability starts to show from 200 m depth to more than 800 m depth from surface. These deep high chargeability anomalies may be related to sulfide mineralization at depth, which may be related to rhyolite intrusive bodies, like those seen in the Central Valley. These anomalies, such as those to the north of the Central Valley (Figure 2), will be drill targets in future exploration programs.

Figure 1 Simplified Geology and Drill Plan Map of the Carangas Project
Figure 2 Chargeability at altitude 3500 m level (400 m from surface) of the Carangas Project. The Central Valley anomaly perfectly overlays the gold mineralization system. All other anomalies are yet to be drill tested.

Table 1    Summary of Drill Intercepts

Hole_ID

 

Form

To

Length_m

Ag_g/t

Au_g/t

Pb_%

Zn_%

Cu_%

AgEq_g/t

DCAr0071

 

33.22

44.35

11.13

16

0.01

0.10

0.36

0.01

32

 

 

70.58

82.79

12.21

22

 

0.10

0.27

0.01

34

 

 

94.23

164.40

70.17

29

0.01

0.24

0.54

0.01

55

 

 

175.70

191.33

15.63

18

0.03

0.18

0.35

 

37

 

 

211.83

220.36

8.53

61

0.58

0.36

0.62

0.01

135

 

 

263.98

278.90

14.92

5

0.02

0.32

0.52

0.01

34

 

 

286.64

290.00

3.36

11

0.62

0.84

1.55

0.01

132

 

 

306.30

310.17

3.87

10

0.12

0.93

1.85

 

107

 

 

316.71

326.80

10.09

6

0.08

0.50

0.83

 

54

 

 

338.35

345.70

7.35

7

0.06

0.48

0.84

0.01

55

 

 

374.70

391.10

16.40

5

0.09

0.24

0.43

0.04

37

 

 

405.80

409.64

3.84

4

0.04

0.38

0.86

0.02

49

 

 

415.85

422.97

7.12

5

0.08

0.47

0.87

0.01

55

 

 

439.62

449.24

9.62

3

0.08

0.35

0.53

 

37

 

 

485.10

529.44

44.34

2

0.16

0.08

0.77

 

42

 

 

548.00

614.43

66.43

3

0.03

0.12

0.65

0.01

31

 

 

634.80

650.24

15.44

3

0.11

0.09

0.44

0.03

31

 

 

671.40

684.60

13.20

6

0.19

0.01

0.07

0.15

38

 

 

709.76

735.78

26.02

5

0.01

0.05

1.13

0.07

52

 

 

825.75

843.70

17.95

13

0.18

0.49

0.02

0.36

78

 

 

861.50

870.40

8.90

6

0.41

 

0.01

0.01

36

 

 

892.21

915.80

23.59

7

0.52

0.01

0.01

0.08

53

 

 

983.18

996.57

13.39

7

0.15

 

0.01

0.33

52

 

 

1047.82

1055.00

7.18

4

0.18

 

0.01

0.14

32

 

 

1067.00

1079.85

12.85

6

0.10

0.01

0.01

0.20

35

 

 

1090.48

1100.00

9.52

3

0.04

 

0.01

0.19

25

DCAr0104

 

5.50

233.75

228.25

21

0.05

0.54

1.23

0.02

83

 

 

233.75

562.05

328.30

20

1.07

0.14

0.25

0.14

123

 

 

652.17

667.94

15.77

3

0.44

0.01

0.03

0.12

48

 

 

693.00

945.00

252.00

3

0.45

 

0.01

0.13

49

 

 

957.30

1018.96

61.66

5

0.07

 

0.01

0.20

31

DCAr0105

 

5.16

299.10

293.94

37

0.08

0.57

1.30

0.03

106

 

incl.

5.16

44.15

38.99

134

0.01

1.48

2.51

0.01

262

 

 

324.70

801.00

476.30

4

0.75

0.02

0.08

0.07

68

 

incl.

510.38

554.00

43.62

6

3.19

0.02

0.04

0.10

245

DCAr0112

 

55.97

97.00

41.03

54

0.01

0.25

0.57

0.01

81

 

 

108.70

183.80

75.10

27

0.01

0.24

0.65

0.02

58

 

 

195.40

215.44

20.04

6

0.11

0.60

0.58

 

51

 

 

247.66

309.78

62.12

4

0.12

0.10

0.28

0.03

28

 

 

359.55

666.50

306.95

26

1.19

0.03

0.07

0.06

120

 

incl.

411.65

443.43

31.78

122

4.11

0.09

0.14

0.15

437

 

 

694.98

722.50

27.52

2

0.18

0.00

0.25

 

24

 

 

750.00

775.00

25.00

5

0.17

0.06

0.78

0.04

49

DCAr0114

 

0.00

119.70

119.70

42

 

0.60

1.22

0.01

101

 

 

135.50

141.35

5.85

22

 

0.07

0.23

 

32

 

 

148.45

173.80

25.35

30

 

0.14

0.33

0.01

46

 

 

188.29

195.30

7.01

36

 

0.08

0.17

 

44

 

 

206.90

212.20

5.30

49

0.02

0.12

0.26

0.01

63

 

 

230.90

262.34

31.44

8

0.03

0.32

0.73

0.01

45

 

 

313.00

350.18

37.18

2

0.02

0.16

0.47

0.01

25

 

 

358.65

382.64

23.99

5

0.30

0.12

0.64

0.07

59

 

 

395.48

458.67

63.19

4

0.07

0.20

0.63

0.03

38

 

 

468.70

528.43

59.73

10

0.31

0.08

0.20

0.06

47

 

 

539.91

548.60

8.69

5

0.39

0.05

0.24

0.08

50

 

 

558.40

562.65

4.25

4

0.68

0.02

0.11

0.05

61

 

 

571.18

576.90

5.72

4

0.02

0.35

0.88

0.01

45

 

 

591.30

623.70

32.40

3

0.12

0.13

0.72

0.01

41

 

 

646.09

648.94

2.85

0

2.47

0.00

0.03

 

177

 

 

666.50

678.43

11.93

2

0.34

0.00

0.01

0.11

38

 

 

684.20

706.85

22.65

2

0.49

0.01

0.01

0.03

41

 

 

713.92

824.20

110.28

4

0.98

0.01

0.01

0.17

92

 

 

840.00

854.00

14.00

10

0.67

0.01

0.01

0.45

105

DCAr0117

 

45.18

137.96

92.78

23

0.03

0.31

0.64

0.04

60

 

 

147.62

169.35

21.73

6

0.11

0.12

0.50

0.07

42

 

 

188.86

347.22

158.36

11

0.51

0.19

0.18

0.06

64

 

 

382.78

426.00

43.22

17

0.95

0.03

0.07

0.10

97

 

 

457.70

480.63

22.93

11

0.49

0.03

0.12

0.08

59

 

 

496.48

507.00

10.52

8

0.28

0.02

0.08

0.05

36

 

 

529.75

649.81

120.06

8

0.68

0.01

0.08

0.06

66

 

 

714.69

732.50

17.81

7

0.06

0.25

0.87

0.23

71

DCAr0123

 

54.76

115.90

61.14

31

0.04

0.28

0.99

0.05

81

 

 

124.50

284.32

159.82

11

0.11

0.42

0.97

0.05

68

 

 

330.13

393.67

63.54

14

0.60

0.03

0.12

0.02

63

 

 

417.59

434.12

16.53

12

0.20

0.06

0.17

0.22

56

 

 

487.45

502.30

14.85

2

0.11

0.05

0.35

0.03

27

 

 

513.42

517.55

4.13

9

2.58

0.12

1.23

0.01

237

 

 

544.75

548.91

4.16

5

0.22

0.85

1.19

0.00

85

 

 

574.77

577.43

2.66

4

0.29

0.37

0.99

0.02

71

 

 

590.38

597.14

6.76

3

0.11

0.36

0.90

0.01

53

DCAr0126

 

19.10

188.06

168.96

40

 

0.37

1.19

0.01

92

 

incl.

31.20

58.07

26.87

120

 

0.99

4.03

0.04

288

 

 

196.70

201.05

4.35

14

0.04

0.26

0.57

0.00

43

 

 

223.30

229.18

5.88

3

0.05

0.37

0.76

0.00

43

 

 

238.00

296.43

58.43

5

0.02

0.34

0.71

0.00

40

 

 

395.95

491.00

95.05

3

0.09

0.14

0.52

0.03

34

 

 

522.97

545.15

22.18

9

0.22

0.05

0.30

0.12

48

 

 

568.00

579.17

11.17

8

0.68

0.07

0.35

0.01

71

 

 

589.15

601.00

11.85

13

0.81

0.00

0.04

0.08

80

 

 

627.03

629.95

2.92

2

1.02

0.00

0.03

0.03

78

 

 

638.41

646.85

8.44

11

1.06

0.00

0.01

0.09

97

 

 

699.00

848.00

149.00

3

0.80

0.00

0.02

0.09

70

DCAr0128

 

7.70

86.00

78.30

104

 

0.74

0.59

0.01

146

 

incl.

30.50

63.50

33.00

226

 

1.47

0.93

0.01

301

 

 

100.80

103.80

3.00

9

 

0.13

1.59

0.01

66

 

 

120.00

148.80

28.80

17

 

0.17

0.62

 

43

 

 

179.87

209.93

30.06

7

 

0.17

0.51

0.02

32

 

 

220.31

228.40

8.09

114

 

0.87

0.58

0.01

159

 

 

236.86

243.30

6.44

31

 

0.50

0.68

0.01

69

 

 

263.80

278.05

14.25

31

 

0.20

0.33

 

48

 

 

282.55

288.55

6.00

3

 

0.57

0.41

 

34

DCAr0131

 

70.18

75.89

5.71

66

 

0.04

0.19

 

68

 

 

96.79

133.20

36.41

51

 

0.86

0.59

0.03

81

 

 

146.13

159.74

13.61

45

 

0.13

0.17

0.01

50

 

 

212.00

239.80

27.80

32

 

0.36

0.65

0.01

47

 

 

257.20

262.50

5.30

38

 

0.77

0.82

 

63

DCAr0132

 

35.50

128.56

93.06

28

0.11

0.40

0.93

0.05

83

 

 

140.57

148.80

8.23

5

0.03

0.19

0.70

0.03

39

 

 

176.15

265.52

89.37

10

0.41

0.29

0.39

0.06

67

 

 

288.29

293.80

5.51

4

0.52

0.04

0.04

0.03

47

 

 

314.60

401.48

86.88

7

0.41

0.04

0.30

0.04

51

 

 

420.23

435.80

15.57

12

0.24

0.07

0.53

0.07

56

 

 

448.15

474.77

26.62

4

0.37

0.04

0.08

0.01

35

 

 

500.50

504.50

4.00

4

0.86

0.05

0.08

0.04

74

 

 

518.70

552.80

34.10

3

1.32

0.02

0.07

0.02

102

 

 

566.18

587.45

21.27

9

0.30

0.03

0.26

0.03

42

 

 

617.62

647.80

30.18

2

0.36

0.11

0.29

0.00

41

 

 

689.95

740.00

50.05

2

0.21

0.04

0.34

0.01

30

DCAr0133

 

13.50

20.50

7.00

64

 

0.31

0.13

 

77

 

 

77.00

79.60

2.60

29

 

0.61

1.04

 

82

 

 

104.95

112.21

7.26

16

 

0.43

1.20

0.01

70

 

 

122.22

185.26

63.04

26

 

0.13

0.47

0.01

47

 

 

196.78

225.40

28.62

15

 

0.22

0.51

0.04

42

 

 

259.70

261.00

1.30

174

 

0.13

0.38

0.05

195

 

 

273.38

277.26

3.88

39

 

0.10

0.29

 

51

 

 

310.00

311.30

1.30

1200

 

3.64

2.94

0.04

1408

DCAr0134

 

3.03

40.60

37.57

11

 

0.43

0.14

 

28

 

 

114.40

226.25

111.85

52

 

0.25

0.59

0.01

80

 

incl.

198.96

216.90

17.94

197

 

0.49

0.91

0.04

245

DCAr0135

 

32.20

35.79

3.59

35

 

0.15

0.01

 

40

 

 

47.00

54.00

7.00

21

 

0.36

0.01

0.01

32

 

 

70.27

89.00

18.73

13

 

0.40

0.01

0.01

27

 

 

169.00

187.72

18.72

4

 

0.09

0.71

0.01

31

DCAr0136

 

1.15

28.00

26.85

115

 

0.36

0.16

0.01

132

 

 

59.50

63.99

4.49

92

 

0.10

0.13

0.01

100

 

 

130.43

133.16

2.73

78

 

0.13

0.20

 

88

DCAr0137

 

1.28

11.50

10.22

14

 

0.48

0.04

0.01

30

 

 

25.33

35.80

10.47

19

 

0.21

0.02

 

26

 

 

70.86

113.30

42.44

5

 

0.19

1.52

0.01

63

 

 

144.58

145.90

1.32

117

 

0.39

0.75

0.02

155

DCAr0138

 

36.50

99.00

62.50

33

0.02

0.37

1.33

0.02

92

 

 

125.00

403.28

278.28

6

0.13

0.30

0.80

0.02

52

 

 

450.40

530.49

80.09

4

0.81

0.06

0.23

0.04

74

 

 

546.47

571.00

24.53

2

0.61

0.02

0.03

0.05

52

 

 

648.05

902.00

253.95

11

1.00

0.01

0.07

0.03

87

DCAr0139

 

6.20

7.40

1.20

89

 

0.14

0.08

 

96

 

 

14.10

35.92

21.82

12

 

0.28

0.23

 

28

 

 

44.20

81.80

37.60

31

 

0.22

0.71

0.01

62

 

 

143.25

149.00

5.75

12

 

0.26

0.47

 

35

 

 

158.67

208.09

49.42

17

 

0.24

0.72

0.01

49

 

 

231.50

253.20

21.70

34

 

0.26

0.28

0.02

52

 

 

292.60

298.72

6.12

30

 

0.07

0.11

 

36

DCAr0140

 

2.79

5.66

2.87

64

 

0.06

0.20

 

73

 

 

12.96

24.00

11.04

41

 

0.53

0.18

0.01

63

 

 

107.79

189.00

81.21

54

 

0.23

0.43

0.01

75

 

 

211.32

239.30

27.98

65

 

0.43

0.66

0.01

101

 

 

298.92

302.45

3.53

222

 

0.85

1.79

0.01

307

DCAr0141

 

5.85

116.00

110.15

136

 

0.96

0.02

 

165

 

incl.

30.73

37.65

6.92

693

 

1.71

0.02

0.01

744

 

incl.

59.87

84.5

24.63

197

 

2.14

0.01

0.01

260

DCAr0142

 

2.75

57.65

54.90

37

 

0.23

0.14

 

49

 

 

68.64

72.05

3.41

61

 

0.24

0.13

 

73

 

 

122.00

218.70

96.70

36

 

0.15

0.25

 

49

 

incl.

126.48

131.40

4.92

280

 

0.27

0.28

0.01

299

 

 

233.00

268.20

35.20

128

 

0.22

0.10

0.01

139

 

incl.

252.00

260.70

8.70

458

 

0.65

0.09

0.04

484

DCAr0143

 

2.00

53.40

51.40

32

 

0.30

0.13

 

46

 

 

160.01

209.62

49.61

70

 

0.16

0.34

 

86

 

 

252.52

270.60

18.08

67

 

0.20

0.33

0.01

85

 

 

278.00

279.33

1.33

420

 

0.74

0.09

0.04

449

 

 

291.00

299.62

8.62

59

 

0.11

0.15

 

68

DCAr0144

 

17.10

45.92

28.82

98

 

0.31

0.26

0.01

117

 

 

174.00

204.25

30.25

83

 

0.42

0.46

0.01

111

 

 

221.70

242.35

20.65

21

 

0.33

0.29

0.01

41

 

 

250.78

281.00

30.22

54

 

0.08

0.10

0.01

60

DCAr0145

 

2.24

86.70

84.46

25

 

0.51

0.43

0.01

55

 

 

107.30

203.40

96.10

35

 

0.24

0.40

0.01

57

 

incl.

147.93

157.20

9.27

173

 

0.80

0.77

0.07

230

DCAr0146

 

5.00

7.30

2.30

91

 

0.14

0.06

0.01

98

 

 

14.99

56.18

41.19

15

 

0.66

0.16

 

40

 

 

111.57

122.15

10.58

25

 

0.20

0.37

0.01

44

 

 

130.54

143.00

12.46

12

 

0.19

0.41

0.01

32

 

 

154.70

169.64

14.94

102

 

0.14

0.11

0.01

110

 

 

190.75

245.95

55.20

20

 

0.20

0.39

0.01

39

 

 

263.20

304.60

41.40

7

 

0.27

0.40

 

29

DCAr0147

 

2.60

29.43

26.83

26

 

0.56

0.17

 

35

 

 

157.72

172.27

14.55

32

 

0.32

0.30

0.01

52

 

 

189.71

190.90

1.19

156

 

0.98

0.23

0.03

195

 

 

198.39

221.00

22.61

16

 

0.39

0.16

0.01

34

 

 

227.00

239.95

12.95

10

 

0.78

0.20

0.01

40

 

 

248.80

253.90

5.10

43

 

0.15

0.16

0.01

54

 

 

264.00

274.50

10.50

83

 

0.11

0.19

0.02

94

DCAr0148

 

1.54

45.50

43.96

99

 

0.44

0.12

 

116

 

 

128.57

130.00

1.43

148

 

0.07

0.12

 

154

 

 

140.50

161.00

20.50

56

 

0.16

0.46

0.01

77

 

 

201.74

210.50

8.76

26

 

0.39

0.59

0.05

62

 

 

222.50

235.57

13.07

104

 

0.44

0.13

0.02

123

 

 

241.65

247.43

5.78

31

 

0.28

0.15

0.01

46

DCAr0149

 

52.91

108.56

55.65

5

 

1.07

0.47

0.02

54

DCAr0150

 

14.45

25.90

11.45

14

 

0.45

0.07

0.01

30

 

 

34.52

40.90

6.38

10

 

0.33

0.10

0.01

24

 

 

53.53

56.15

2.62

29

 

0.65

0.23

0.01

56

 

 

127.49

155.00

27.51

5

 

0.30

0.97

 

47

 

Notes:   

  1. Drill location, altitude, azimuth, and dip of drill holes are provided in Table 2
  2. Drill intercept is core length, and grade is length weighted. True width of mineralization is unknown due to early stage of exploration without adequate drill data.
  3. Calculation of silver equivalent (“AgEq”) is based on the long-term median of the August 2021 Street Consensus Commodity Price Forecasts, which are US$22.50/oz for Ag, US$0.95/lb for Pb, US$1.10/lb for Zn, US$3.40/lb for Cu, and US$1,600/oz for Au. The formula used for the AgEq calculation is as follows: AgEq = Ag g/t + Pb g/t * 0.0029 + Zn g/t * 0.00335 + Cu g/t * 0.01036 + Au g/t * 71.1111. This calculation assumes 100% recovery.
  4. A cut-off of 20 g/t AgEq is applied to calculate the length-weighted intercept. At times, samples lower than 20 g/t AgEq may be included in the calculation of consolidation of mineralized intercepts.

 

Table 2 Summary of Drill Holes of Carangas Project

Hole_id

Easting

Northing

Altitude

Depth_m

Azimuth (°)

Dip (°)

Target

DCAr0071

538895.96

7905008.03

3906.95

1100.00

20

-70

 

DCAr0104

539029.50

7905086.20

3904.89

1026.00

20

-70

CV

DCAr0105

538960.67

7905391.94

3916.03

902.00

130

-72

CV

DCAr0112

539352.10

7905487.62

3909.28

908.00

252

-67

CV

DCAr0114

538973.57

7905514.92

3947.33

854.00

140

-75

CV

DCAr0117

539043.40

7905263.38

3905.53

800.00

20

-70

CV

DCAr0123

539053.90

7905297.60

3905.74

668.00

20

-64

CV

DCAr0126

539033.23

7905528.51

3933.07

848.00

132

-79

CV

DCAr0128

539369.89

7905286.72

3930.55

301.00

20

-45

ED

DCAr0131

539364.20

7905116.80

3923.63

300.00

20

-45

ED

DCAr0132

538979.50

7905241.33

3905.14

740.00

27

-70

CV

DCAr0133

539386.84

7905335.33

3927.33

320.00

20

-45

ED

DCAr0134

539400.26

7905373.68

3934.41

296.00

20

-45

ED

DCAr0135

538799.93

7905467.20

4003.26

250.00

200

-45

WD

DCAr0136

539436.46

7905470.89

3926.88

206.00

20

-45

ED

DCAr0137

538834.77

7905615.12

4036.77

200.00

54

-40

WD

DCAr0138

539133.86

7905074.84

3906.25

920.00

20

-66

CV

DCAr0139

539436.36

7905310.09

3950.19

300.00

20

-45

ED

DCAr0140

539441.10

7905194.65

3947.27

325.00

20

-45

ED

DCAr0141

538780.93

7905611.80

4040.87

242.00

165

-40

WD

DCAr0142

539462.93

7905395.94

3944.99

302.00

20

-45

ED

DCAr0143

539492.94

7905329.81

3956.96

314.00

20

-45

 ED

DCAr0144

539497.70

7905209.54

3964.78

311.00

20

-45

 ED

DCAr0145

538780.49

7905615.05

4041.22

218.00

42

-40

WD

DCAr0146

539403.97

7905093.67

3933.66

320.00

20

-45

 ED

DCAr0147

539478.82

7905140.94

3961.05

300.00

20

-45

 ED

DCAr0148

539491.60

7905329.30

3956.95

250.00

74

-45

 ED

DCAr0149

538785.39

7905659.65

4053.76

161.00

62

-40

WD

DCAr0150

539561.94

7905082.60

3984.52

299.00

20

-45

 ED

Note:

1. Drill collar coordinate system is WGS1984 UTM Zone 19S

 

2. Coordinate of drill collar is picked with Real Time Kinematics (RTK) GPS

 

3. CV – Central Valley; WD – West Dome; ED – East Dome

   

 

QUALITY ASSURANCE AND QUALITY CONTROL

The Company maintains tight sample security and QA/QC for all aspects of its exploration program at the Carangas Project. Drill core is logged, photographed and split on-site by the company and stored under secure conditions until being shipped in security-sealed bags by New Pacific staff in Company vehicles, directly from the project to ALS Global in Oruro, Bolivia for preparation, and ALS Global in Lima, Peru for geochemical analysis. ALS Global is an ISO 17025 accredited laboratory independent from New Pacific. All samples are first analyzed by a multi-element ICP package (ALS code ME-MS41) with ore grade specified limits for silver, lead, and zinc, further analyzed using ALS code OG46. Further silver samples over specified limits are analyzed by gravimetric analysis (ALS code of GRA21). Gold is assayed first by ICP and then by fire assay with AAS finish (ALS code of Au-AA25). Certified reference materials, various types of blank samples and duplicate samples are inserted into normal drill core sample sequences prior to delivery to the laboratory for preparation and analysis. The overall ratio of quality control samples in sample sequences is around twenty percent.

QUALIFIED PERSON

The scientific and technical information contained in this news release has been reviewed and approved by Alex Zhang, P. Geo., Vice President of Exploration, who is a Qualified Person for the purposes of National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”). The Qualified Person has verified the information disclosed herein using standard verification processes, including the sampling, preparation, security and analytical procedures underlying such information, and is not aware of any significant risks and uncertainties or any limitations on the verification process that could be expected to affect the reliability or confidence in the information discussed herein.

ABOUT NEW PACIFIC

New Pacific is a Canadian exploration and development company with precious metal projects in Bolivia. The Company’s flagship Project, the Silver Sand Silver Project, has released its inaugural preliminary economic assessment (the “PEA”) results in January 2023. The PEA study shows a post-tax NPV (5% discount) of US$726 million with an IRR of 39%, underpinned by a total silver production of 171 million ounces over 14 years of mine life. At the recently discovered Carangas Silver-Gold Project, a resource drilling program of more than 50,000 meters was completed in 2022. The third project, the Silverstrike Silver-Gold Project, had a 6,000 metre discovery drill program in June 2022.

FOR FURTHER INFORMATION

Andrew Williams, President
New Pacific Metals Corp.
Phone: (604) 633‐1368 Ext. 236
U.S. & Canada toll-free: 1-877-631-0593
E-mail: invest@newpacificmetals.com
For additional information and to receive company news by e-mail, please register using New Pacific’s website at www.newpacificmetals.com.

CAUTIONARY NOTE REGARDING RESULTS OF PRELIMINARY ECONOMIC ASSESSMENT

The PEA study results of Silver Sand Project are preliminary in nature and are intended to provide an initial assessment of the project’s economic potential and development options. The PEA mine schedule and economic assessment includes numerous assumptions and is based on both Indicated and Inferred mineral resources. Inferred resources are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the project economic assessments described herein will be achieved or that the PEA results will be realized. The estimate of mineral resources may be materially affected by geology, environmental, permitting, legal, title, socio-political, marketing or other relevant issues. Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. Additional exploration will be required to potentially upgrade the classification of the Inferred Mineral Resources to be considered in future advanced studies. AMC Mining Consultants (Canada) Ltd. (mineral resource, mining, infrastructure and financial analysis) was contracted to conduct the PEA in cooperation with Halyard Inc. (metallurgy and processing), and NewFields Canada Mining & Environment ULC (tailings, water and waste management). The Qualified Persons for the PEA are Mr. Wayne Rogers P.Eng and Mr. Mo Molavi P.Eng both Principal Mining Engineers with AMC Mining Consultants (Canada) Ltd, Mr. Andy Holloway P.Eng, Process Director with Halyard Inc., and Mr. Leon Botham P.Eng., Principal Engineer with NewFields Canada Mining & Environment ULC. This is in addition to Ms. Dinara Nussipakynova, P.Geo., Principal Geologist with AMC Consultants (Canada) Ltd. who estimated the Mineral Resources. All QPs have reviewed the technical content of the January 9, 2023, news release for the Silver Sand deposit and have approved its dissemination. The Silver Sand PEA is based on the updated Mineral Resource Estimate which was reported on November 28, 2022. The effective date of the 2022 Mineral Resource Estimate for Silver Sand is 31 October 2022. The cut-off applied for reporting the pit-constrained Mineral Resources is 30 g/t silver. Assumptions made to derive a cut-off grade included mining costs, processing costs and recoveries and were obtained from comparable industry situations. The model is depleted for historical mining activities. Mineral Resources are constrained by optimized pit shells at a silver price of US$22.50 per ounce, silver metallurgical recovery of 91%, silver payability of 99%, open pit mining cost of US$2.6/t, processing cost of US$16/t, G&A cost of US$2/t, and slope angle of 44-47 degrees. Key assumptions used for pit optimization for the PEA mining pit include silver price of US$22.50 per ounce, silver metallurgical recovery of 91%, silver payability of 99%, open pit mining cost of US$2.6/t, incremental mining cost of US$0.04/t (per 10 m bench), processing cost of US$16/t, tailing storage facility operating cost of US$0.7/t, G&A cost of US$2/t, royalty of 6.00%, mining recovery of 92%, dilution of 8%, and cut-off grade of 30 g/t silver.

 

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this news release constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward-looking information” within the meaning of applicable Canadian provincial securities laws. Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, or future events or performance (often, but not always, using words or phrases such as “expects”, “is expected”, “anticipates”, “believes”, “plans”, “projects”, “estimates”, “assumes”, “intends”, “strategies”, “targets”, “goals”, “forecasts”, “objectives”, “budgets”, “schedules”, “potential” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information. Such statements include, but are not limited to: statements regarding anticipated exploration, drilling, development, construction, and other activities or achievements of the Company; timing of receipt of permits and regulatory approvals; and estimates of the Company’s revenues and capital expenditures; and other future plans, objectives or expectations of the Company.

 

Forward-looking statements or information are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks relating to: global economic and social impact of COVID-19; fluctuating equity prices, bond prices, commodity prices; calculation of resources, reserves and mineralization, general economic conditions, foreign exchange risks, interest rate risk, foreign investment risk; loss of key personnel; conflicts of interest; dependence on management, uncertainties relating to the availability and costs of financing needed in the future, environmental risks, operations and political conditions, the regulatory environment in Bolivia and Canada; risks associated with community relations and corporate social responsibility, and other factors described under the heading “Risk Factors” in the Company’s Annual Information Form for the year ended June 30, 2022 and its other public filings.

This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information.

The forward-looking statements are necessarily based on a number of estimates, assumptions, beliefs, expectations and opinions of management as of the date of this news release that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. These estimates, assumptions, beliefs, expectations and options include, but are not limited to, those related to the Company’s ability to carry on current and future operations, including: the duration and effects of COVID-19 on our operations and workforce; development and exploration activities; the timing, extent, duration and economic viability of such operations; the accuracy and reliability of estimates, projections, forecasts, studies and assessments; the Company’s ability to meet or achieve estimates, projections and forecasts; the stabilization of the political climate in Bolivia; the Company’s ability to obtain and maintain social license at its mineral properties; the availability and cost of inputs; the price and market for outputs; foreign exchange rates; taxation levels; the timely receipt of necessary approvals or permits, including the ratification and approval of the Mining Production Contract with COMIBOL by the Plurinational Legislative Assembly of Bolivia; the ability of the Company’s Bolivian partner to convert the exploration licenses at the Carangas Project to AMC; the ability to meet current and future obligations; the ability to obtain timely financing on reasonable terms when required; the current and future social, economic and political conditions; and other assumptions and factors generally associated with the mining industry.

Although the forward-looking statements contained in this news release are based upon what management believes are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements. All forward-looking statements in this news release are qualified by these cautionary statements. Accordingly, readers should not place undue reliance on such statements. Other than specifically required by applicable laws, the Company is under no obligation and expressly disclaims any such obligation to update or alter the forward-looking statements whether as a result of new information, future events or otherwise except as may be required by law. These forward-looking statements are made as of the date of this news release.

 

CAUTIONARY NOTE TO US INVESTORS

This news release has been prepared in accordance with the requirements of the securities laws in effect in Canada which differ from the requirements of United States securities laws. The technical and scientific information contained herein has been prepared in accordance with NI 43-101, which differs from the standards adopted by the U.S. Securities and Exchange Commission (the “SEC”). Accordingly, the technical and scientific information contained herein, including any estimates of mineral reserves and mineral resources, may not be comparable to similar information disclosed by U.S. companies subject to the disclosure requirements of the SEC.

Additional information relating to the Company, including the Company’s Annual Information Form, can be obtained under the Company’s profile on SEDAR at www.sedar.com, on EDGAR at www.sec.gov, and on the Company’s website at www.newpacificmetals.com.