Vancouver, British Columbia (December 3, 2010) – New Pacific Metals Corp. (TSXV: “NUX”) (“New Pacific”) is pleased to announce it has entered into an agreement with Salman Partners Inc. and Raymond James Ltd. (the “Agents”) to complete a best efforts brokered private placement (the “Brokered Placement”) of 10 million units at $1.35 per unit (each a “Unit”). Each Unit is comprised of one common share and one-half (1/2) of one share purchase warrant. Each whole warrant shall entitle the holder to purchase, at any time within 18 months from the Closing, one common share of New Pacific (the “Share”) at a price of $2.00. The Brokered Placement may be increased by an additional one million Units at the Agents’ discretion (the “Oversubscription”) in the event that subscriptions for Units are received for greater than $13.5 million. The closing of the Brokered Placement is expected on or about December 22, 2010 (the “Closing”) or such other date the Agents and New Pacific agree to. The securities comprising the Units will be subject to a four month hold period from Closing.

At Closing, New Pacific will pay a cash commission of 6% of the gross proceeds of the Brokered Placement in cash to the Agents and the Agents will receive transferable broker warrants (the “Broker Warrants”) equal in number to 3% of the aggregate number of Units sold pursuant to the Brokered Placement (including Units sold pursuant to the exercise of the Oversubscription option, if any). The Broker Warrants will be exercisable to purchase Shares at the Unit price for a period of 18 months from Closing.

Concurrent with the Brokered Placement, New Pacific intends to complete a non-brokered offering of 6 million Units (the “Non-brokered Placement”) at the same price and terms as the Brokered Placement. The Non-brokered Placement shall close concurrently with the Closing.

The net proceeds of both placements will be utilized to finance continuing exploration and development activities of New Pacific’s exploration projects and for its general working capital. The placements are subject to regulatory approval, including TSX Venture Exchange approval.

About New Pacific Metals

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

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

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