Summary of Exploration Activities in New Pacific’s 100% Owned Silver Sand Project and Acquisitions and Agreements Outside the Silver Sand Project

VANCOUVER, British Columbia, Feb. 10, 2020 (GLOBE NEWSWIRE) -- New Pacific Metals Corp. (TSX-V: NUAG) (OTCQX: NUPMF) (“New Pacific” or the “Company”) is pleased to report a summary of exploration activities on its 100% owned Silver Sand Project, and a summary of acquisition and agreements with third parties on the properties surrounding its 100% owned Silver Sand Project.

New Pacific Metals’ wholly-owned Bolivia subsidiary, Empresa Minera Alcira S.A. (“Alcira”), owns 100% interest in the Silver Sand Project which is not subject to any third party interests.  The Silver Sand Project, located in the Potosí Department of Bolivia, has an area of approximately 3.17 square kilometres, which Alcira has owned for a long time, but was only explored by Alcira between 2012 and 2015 through intermittent mapping, surface and underground sampling, and limited diamond core drilling. 

Since acquired by New Pacific in 2017, Alcira has carried out extensive risk exploration drilling program on its 100% owned Silver Sand Project. During 2017-2018 discovery exploration drilling campaign, a total of 195 holes in 55,011.8 metres (“m”) of drilling were completed.  During the 2019 drilling campaign, a total of 191 drill holes in 42,607.25m of drilling were completed.  From 2017 to the end of 2019, Alcira has completed 97,619.05m of drilling in 386 drill holes.

As silver mineralization was discovered on its 100% owned Silver Sand Project through extensive 2017-2019 drilling, Alcira sought to expand its property through agreements and acquisition in the areas surrounding the Silver Sand Project.

Agreement with COMIBOL through Mining Production Contract (the “MPC”)

On July 25, 2018，New Pacific announced that Alcira signed a memorandum of understanding  (the “MOU”) with Corporación Minera de Bolivia (“COMIBOL”), allowing Alcira to explore and develop 38 Special Temporary Authorizations (“ATEs”) adjoining south and west to Alcira’s Silver Sand Project.  The open signing of the MOU occurred at the Silver Sand Project site attended by then Minister of Bolivia’s Ministry of Mining and Metallurgy, then Vice Minister of Bolivia’s Ministry of Development and Planning, then President of COMIBOL, official from Autoridad Jurisdiccional Administrativa Minera (“AJAM”), and representatives of the local communities.