New Pacific Holdings Crop.

 

News

New Pacific Metals Corp. Announces Updated Resource Estimate

VANCOUVER, BRITISH COLUMBIA - (JUNE 3, 2010) - New Pacific Metals Corp. (TSX-V: NUX) is pleased to announce an estimate of the mineral resources on the HNK Gold project ("HNK Property") located in the Guangdong Province, Southern China. An "inferred resource" estimate is outlined in a National Instrument 43-101 compliant technical report entitled "Technical Update of the HNK Gold Project, Guangning County, Guangdong Province, People's Republic of China" dated April 23, 2010 (the "Report"). Peter G. Folk, P. Eng., an independent Qualified Person, as defined by NI 43-101, authored the report which will be available for review on the SEDAR system and on the Company's website (www.newpacificmetals.com).

Located in Guangdong Province, Southern China, the HNK property consists of a series of quartz veins within Cambrian sedimentary rocks near Cretaceous granodiorite intrusions. There are at least 18 gold-bearing quartz veins on the property with the northeast-southwest trending V9 shear vein being of primary interest. The V9 vein has been traced 820 m along strike (open to the southwest) and has been explored by diamond drilling to depths of almost 400 m (open to depth). The vein has a true thickness up to 3.4 m. Mineralization includes Pb-Zn sulphides and pyrite with variable amounts of gold and silver. A preliminary metallurgical test completed in 2009 confirmed that floatation processes are suitable for this type of mineralization. Metal recoveries were 92% for gold, 91% for silver, 96% for lead, and 92% for zinc.

Exploration work carried out by New Pacific Metals Corp. has consisted of 14,925 m of NQ diamond drilling in 51 holes and the excavation of 3,485 m of underground workings. Over 35.6 km of detailed soil geochemistry and 9.65 km of IP survey have also been conducted since 2007 to delineate additional mineralized veins. The result from the exploration work continues to be encouraging.

The inferred resource** estimate utilized polygons and an elliptical search on a vertical longitudinal section of the V9 vein.

Resource Category

Cut-off Grade

Tonnes

Gold (g/t)

Contained
Gold (g)

Contained
Gold (oz)

Inferred

1 g/t Au

778,898

6.5

5,051,091

162,396

**By definition an inferred resource can not form the basis of any type of economic evaluation of the property

Peter G. Folk, P. Eng., an Independent Qualified Person as defined by NI 43-101, has reviewed and has given consent to this press release disclosing the resource and has confirmed that this press release fairly and accurately represents the information in the technical report.

About New Pacific Metals Corp.

New Pacific Metals Corp. is an exploration stage company engaged in the acquisition and exploration of mineral properties. The Company is actively seeking out acquisition projects in China and other jurisdictions, while exploring for gold-poly-metallic projects in China.


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


CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS

Statements in this press release other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company's business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on such statements. The Company does not undertake any obligation to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the release.