New Pacific Enters Into Agreement To Acquire Majority Interest In RZY Silver-Lead-Zinc Project In Qinghai Province, China

VANCOUVER, BRITISH COLUMBIA â€" December 21, 2012: New Pacific Metals Corp. (“New Pacific” or the “Company”) is pleased to announce it has signed a binding letter of agreement (the “Agreement”) with Silvercorp Metals Inc. (“Silvercorp”) to acquire majority interest in its wholly owned subsidiary, Fortress Mining Inc. (“FMI”).  Pursuant to the terms of the Agreement, the Company will pay US$3.5 million to acquire an 80% interest of FMI, with an option to acquire the remaining 20% within two years for US$5 million after the Company has spent US$15.9 million on the project. Since the Transaction is a related party transaction it is subject to approval from the Toronto Stock Exchange.

In 2007 FMI and the Qinghai Geological Survey Institute (“QGSI”) established a Sino-Foreign Co-Operative Company; Qinghai Found Mining (“QFM”), with a term of 30 years. FMI owns an 82% interest and QGSI owns an 18% carried interest in QFM.  Currently, QFM’s assets consist of approximately US$2.0 million in net cash and a 67% interest in the RZY exploration project (the “Project”).

In April 2011, QFM entered into an exploration agreement with its shareholder, QGSI to jointly explore its RZY project, an early stage exploration project located in Qinghai Province, China (collectively, the “Exploration Agreement”).  The major terms of the agreement are:

  • The RZY project exploration permit is held by QGSI. QFM has a 67% interest in the RZY project by funding exploration and drilling in 2012.
  • The exploration permit will be transferred to QFM when one of two events occur (1) QFM completes funding of RMB30 million (US$4.8 million) on RZY project exploration or capital expenditures; or (2) the RZY project matures to a development stage project. Once transferred; QFM will have a 100% interest in the RZY project, giving FMI an 82% interest in the project.
  • QFM, funded 100% by FMI; is then committed to invest an additional RMB170 million (US$27.2 million) on RZY project exploration and capital expenditures to have a total investment of RMB200 million (US$32.0 million) in exploration and capital expenditures on the RZY project.
  • If QFM does not fund the required exploration and capital expenditures, the Exploration Agreement will be terminated while QFM maintains its interest in the Project.

To date, pursuant to the Exploration Agreement, FMI has invested US$3.5 million in QFM and QFM has spent US$1.5 million on exploration and development expenditures in the RZY Project. Â

RZY Project Location, Background, and Geological Exploration

The RZY Project is an early stage silver-lead-zinc exploration project, situated on a high plateau with an average elevation of 5,000 metres above sea level. The Project is located approximately 237 kilometres via paved and gravel roads from the capital city of Yushu Tibetan Autonomous Prefecture, or 820 kilometres via paved highway from Qinghai Province’s capital city of Xining.  Regular commercial flights are available from Xining to Yushu.

Known mineralization is silver-lead-zinc veins controlled by altered structure zones developed in the lower Permian marine clastic sediments. Two silver-lead-zinc mineralized zones, MI-1 and MI-2 with a strike extent of 6.5 kilometres and width of 25 to 100 metres have been identified by historical surface work conducted by QGSI including trenching, pitting, geology mapping and geophysics surveying. The geochemical profile indicated that the silver-lead-zinc mineralization is likely in situ, not floats of dispersion from sources in the surrounding mountainous area. The soil geochemical anomaly also indicated there could be another mineralized zone to the north in a flat area about one kilometre from the mountains.Â

In 2006, Silvercorp retained Golder Associates Ltd. (“Golder”) to complete a National Instrument 43-101 (“NI 43-101”) report on the RZY Project and Golder conducted a site visit between October 15 and 25, 2006. Â Samples taken by Golder from trenches and shallow pits are listed in Table 1 below. Â The results indicate that silver-lead-zinc mineralization exists at RZY.

Table 1 Assay Results of Check Samples by Golder


Sample #
Location Ag (g/t) Pb (%) Zn (%) Description
ZDTC1-1 E95.35148 N33.26569 327 5.28 1.33 grab sample, disseminated sulphides
ZDTC1-1 E95.35148 N33.26569   grab sample, wallrock
RZY001 TC1 836 17.18 15.33 grab sample, disseminated sulphides
RZY002 QJ2 105 2.2 4.5 grab sample, wallrock
RZY003 TC2 3,015 17.64 11.93 grab sample, disseminated sulphides
RZY004 QJ1 723 1.49 0.29 grab sample, wallrock

Exploration 2011-2012

In 2011 Silvercorp, through QFM and QGSI, conducted surface geology mapping and an induced polarization (“IP”) geophysical survey program. The IP survey commenced along the western portion of the 6.5 kilometre long mineralized zone and was completed in 2012. The survey results indicate the existence of an area of high polarization to the north of the alteration break zone, and a separate minor zone of high polarization to the south. These high polarization areas may be related to mineralized alteration zones at depth.

Trenching

In 2012, seven trenches were completed by QFM. Â Lead-zinc-silver mineralization was identified in all trenches. The mineralization is characterized by lead-zinc sulphides and pyrite as well as oxides such as litharge and limonite. The galena is blocky or massive and is associated with quartz-carbonate veins. The width of lead-zinc mineralization exposed in trenches ranges from a few metres to more than 10 metres with individual galena-quartz veins of a few centimeters to half a meter wide. Assay results from the trenches completed in 2012 confirmed the presence of high grade silver-lead-zinc mineralization as indicated by historical results (see Table 2 below). The assay results of the new trenches are shown together with the historical results in Table 2. Â High grade silver is mostly associated with high grade lead and zinc which is the case of blocky or massive lead-zinc sulphides with quartz veins, but some high grade silver intervals contain relatively low values of lead and zinc, which may mean there are multiple distinct variations of mineralization.

Table 2 Assay Intervals of Trenches and Pits


Section
Trench/Pit No.
Interval (m)
Ag (g/t)
Pb (%)
Zn (%)
Note
0
TC16
0.60
42.10
1.22
1.06
Historical
TC17
3.80
1,337.54
1.13
1.53
Historical
2012TC5
19.20
72.25
1.93
0.33
Silvercorp
2012TC5
11.50
30.59
0.71
0.58
Silvercorp
2012TC5
1.40
126.00
0.11
0.18
Silvercorp
16
2012TC6
7.8
30.15
0.138
0.085
Silvercorp
2012TC6
4.5
82.95
0.355
0.187
Silvercorp
2012TC6
4.5
12.42
0.135
0.384
Silvercorp
2012TC6
19.7
201.37
2.696
0.254
Silvercorp
23
TC15
1.50
22.80
0.048
0.094
Historical
TC15
3.00
33.00
0.35
0.1
Historical
QJ5
4.45
58.20
0.92
0.13
Historical
24
TC6
6.00
132.55
2.57
1.16
Historical
QJ3
5.00
130.32
2.98
2.43
Historical
2012TC7
3.00
14.05
0.05
0.2
Silvercorp
2012TC7
8.60
66.90
0.57
0.74
Silvercorp
2012TC7
2.20
405.61
5.02
2.55
Silvercorp
35
TC1
21.80
70.75
0.88
0.84
Historical
QJ2
5.00
217.28
3.57
8.07
Historical
2012TC3
20.80
50.21
1.24
0.79
Silvercorp
40
TC7
7.50
259.34
5.91
0.58
Historical
QJ4
5.50
1,276.66
21.31
0.93
Historical
2012TC8
3.50
14.87
0.13
0.36
Silvercorp
2012TC8
9.00
201.27
3.69
0.66
Silvercorp
51
TC2
16.50
349.57
1.38
0.53
Historical
QJ1
8.00
2,025.84
6.58
3.00
Historical
2012TC2
31.50
76.62
0.6
0.17
Silvercorp
56
TC12
4.2
51.61
0.035
0.883
Historical
  • “QJ”- shallow pit
  • Historical assay results were analyzed by the Qinghai Geological Central Laboratory
  • Silvercorp’s historical assay results were analyzed by SGS labs in Tianjin, China

Drilling

To test the depth potential of the mineralization exposed by surface workings, over 890 metres in five drill holes were drilled in 2012. Â Multiple altered structure zones with narrow galena-quartz veins were hit in holes, but no massive or blocky lead-zinc sulphide quartz veins, as observed in the trenches on surface, were intercepted. Â Although assay results of drill cores indicated the mineralization occurs in the major east-west structural zones in the Permian clastic sediments and is continuing at depth (see Table 3 below), the width and grades of drill intercepts are inferior to the results of the surface trenches and pits. Drill hole ZK2401 did not hit any significant mineralization as exposed by the surface trenches. However, given the strike extent of the mineralization, and the high-grade nature of the silver-lead-zinc mineralization indicated by samples from the trenches and pits, New Pacific believes there is enough evidence to support the transaction and justify continued drilling at the Project in 2013.

Table 3 RZY Drill Intercepts 2012


Section
Hole_Id
From (m)
To (m)
Interval (m)
Ag (g/t)
Pb (%)
Zn (%)
35
ZK3501
67.2
68.7
1.5
116
2.03
0.81
ZK3502
12.2
13.7
1.5
198
1.02
0.64
58.9
60.4
1.5
704
1.09
0.47
91.1
92.1
1
202
3.23
1.98
51
ZK5101
59.1
60.6
1.5
103
0.27
0.49
117.6
119.1
1.5
107
1.06
1.96
ZK5102
75.4
76.9
1.5
205
3.53
1.84
79.9
84.4
4.5
94
0.89
1.64
87.4
88.9
1.5
31
0.51
1.81
124.8
125.3
0.5
99
0.08
1.64
24
ZK2401
no significant results
note: assay results were analyzed by SGS labs in Tianjin, China

All intervals are reported as downhole lengths and are not corrected to true widths for the mineralized intervals as drill holes typically cut mineralization at variable angles and geometries of mineralized zones remain speculative until further drilling is completed.

Alex Zhang, P.Geo., is the Qualified Person on the project as defined under National Instrument 43-101. He has reviewed and approved the contents of this news release.

Sample Preparation and Assay Results

QFM employed standard QA/QC procedures to monitor and control assay quality by regular insertion of standard reference materials, blank samples and duplicate samples prior to shipment for preparation and analysis. Drill cores are halved with diamond saw on site. Half core and trench channel samples are shipped from site by security courier to the preparation facilities of SGS, Xi’an, China for preparation. Sample preparation includes the typical process of drying, crushing, splitting and pulverizing. Pulp samples then are delivered by security courier to the analytical laboratory of SGS, Tianjin, China for analysis. Analytical method is 4-acid digestion with ICP-AES finish with the over limits going to AAS finish. Routine QA/QC procedures are also carried out at the lab by itself to monitor the quality of sample preparation and analysis.Â

The trenching and drilling results set out in this news release, including the assays that were analyzed by SGS labs in 2012, were completed for Silvercorp Metals Inc. and QGSI, and as such, pursuant to NI 43-101 are historical. The Company has not verified the historical assay results and they should not be relied upon. The only NI 43-101 technical report completed to date was the Golder technical report in October 2006. The Company intends to complete updated technical reports as exploration continues.

About New Pacific

New Pacific is a Canadian gold and silver exploration and development company which owns the Tagish Lake gold project in Yukon, Canada.

For further information, contact:

New Pacific Metals Corp.,
Investor Relations
Phone: (604) 633-1368
Fax: (604) 669-9387
info@newpacificmetals.com
www.newpacificmetals.com

 

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this press release constitute “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. Forward-looking statements or information relate to, among other things: the price of silver and other metals; the accuracy of mineral resource and mineral reserve estimates at the Company’s material properties; the sufficiency of the Company’s capital to finance the Company’s operations; estimates of the Company’s revenues and capital expenditures; timing of receipt of permits and regulatory approvals; availability of funds from production to finance the Company’s operations; and access to and availability of funding for future construction, use of proceeds from any financing and development of the Company’s properties.

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: fluctuating commodity prices; calculation of resources, reserves and mineralization and precious and base metal recovery; interpretations and assumptions of mineral resource and mineral reserve estimates; exploration and development programs; feasibility and engineering reports; permits and licenses; title to properties; First Nations title claims and rights; property interests; joint venture partners; acquisition of commercially mineable mineral rights; financing; recent market events and conditions; economic factors affecting the Company; timing, estimated amount, capital and operating expenditures and economic returns of future production; integration of future acquisitions into the Company’s existing operations; competition; operations and political conditions; regulatory environment in Canada; environmental risks; insurance; risks and hazards of mining operations; key personnel; conflicts of interest; dependence on management.

This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information. Forward-looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements or information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Company’s Annual Information Form for the year ended June 30, 2012 under the heading “Risk Factors”. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information.

The Company’s forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management’s assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.

New Pacific Announces Results For The Period Ended September 30, 2012

VANCOUVER, BRITISH COLUMBIA â€" November 14, 2012: New Pacific Metals Corp. (“New Pacific” or the “Company”) today announced its unaudited consolidated financial results for the three months ended September 30, 2012.  All figures are expressed in Canadian Dollars (CAD$) unless otherwise stated.

FIRST QUARTER FINANCIAL HIGHLIGHTS

For the quarter ended September 30, 2012, the Company incurred a net loss of $1,159,293 or $0.02 per share compared to a net income of $884,175 or $0.01 per share in the same prior year period.Â

The net loss is mainly due to effect of foreign exchange loss of $736,782 in the current quarter compared to foreign exchange gain of $1,556,985 in the same prior year period. Excluding effects from foreign exchange, the Company recorded total expenses of $456,675 in the current quarter compared to $678,375 in the same prior year period. The reduction in expenses was due to less general expenses as the project remained in care and maintenance in the quarter.

The Company’s Unaudited Condensed Consolidated Financial Statements and Management’s Discussion and Analysis are available for review on our website at www.newpacificmetals.com and through SEDAR at www.sedar.com.

About New Pacific

New Pacific is a Canadian gold and silver exploration and development company which owns the Tagish Lake gold project in Yukon, Canada.

For further information, contact:

New Pacific Metals Corp.,
Investor Relations
Phone: (604) 633-1368
Fax: (604) 669-9387
info@newpacificmetals.com
www.newpacificmetals.com

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this press release constitute “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. Forward-looking statements or information relate to, among other things: the price of silver and other metals; the accuracy of mineral resource and mineral reserve estimates at the Company’s material properties; the sufficiency of the Company’s capital to finance the Company’s operations; estimates of the Company’s revenues and capital expenditures; timing of receipt of permits and regulatory approvals; availability of funds from production to finance the Company’s operations; and access to and availability of funding for future construction, use of proceeds from any financing and development of the Company’s properties.

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: fluctuating commodity prices; calculation of resources, reserves and mineralization and precious and base metal recovery; interpretations and assumptions of mineral resource and mineral reserve estimates; exploration and development programs; feasibility and engineering reports; permits and licences; title to properties; First Nations title claims and rights; property interests; joint venture partners; acquisition of commercially mineable mineral rights; financing; recent market events and conditions; economic factors affecting the Company; timing, estimated amount, capital and operating expenditures and economic returns of future production; integration of future acquisitions into the Company’s existing operations; competition; operations and political conditions; regulatory environment in Canada; environmental risks; insurance; risks and hazards of mining operations; key personnel; conflicts of interest; dependence on management.

This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information. Forward-looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements or information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Company’s Annual Information Form for the year ended June 30, 2012 under the heading “Risk Factors”. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information.

The Company’s forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management’s assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.

New Pacific Metals Corp. Announces Financial Results For The Year Ended June 30, 2012

VANCOUVER, BRITISH COLUMBIA â€" September 21, 2012 - New Pacific Metals Corp. (“New Pacific” or the “Company”) (TSX: NUX) today announced its audited consolidated financial results for year ended June 30, 2012.  All figures are expressed in Canadian Dollars unless otherwise stated.

FISCAL 2012 FINANCIAL HIGHLIGHTS

For the year ended June 30, 2012 (“F2012”), the Company recorded a loss of $1,243,496 or $0.02 per share compared to net income of $13,460,557 or $0.25 per share for the year ended June 30, 2011 (“F2011”).Â

Significant highlights are as follows:

  • Excluding a foreign exchange gain, the Company incurred total operating expenses of $2,313,917, a decrease of $1,549,506 or 40 percent compared to $3,863,423 in F2011.Â
  • Incurred capitalized exploration and development expenditures of $6,319,527 at the Tagish Lake Gold Property in F2012.

As at June 30, 2012, the Company had $30,872,465 in cash, cash equivalents and short-term investments compared to $39,134,894 as at June 30, 2011. Net working capital as at June 30, 2012 was $29,997,684 compared to $37,232,868 as at June 30, 2011.Â

With its current working capital, the Company is well positioned financially to continue exploration and development of the Tagish Lake Gold Property once the Company and the government regulatory authorities in the Yukon have finalized the determination and account of security for reclamation (please review the news release of September 17, 2012 for further details on this matter).

FOURTH QUARTER FINANCIAL HIGHLIGHTS

For the quarter ended June 30, 2012, the Company incurred a net loss of $169,378 or $0.003 per share compared to a net loss of $160,349 or $0.011 per share for the quarter ended June 30, 2011. During the quarter, the Company recorded total expenses of $14,583, a decrease of $839,432 compared to $824,849 in the same period last year. The reduction in expenses was due to a foreign exchange gain of $416,030 and a reduction in salaries and general expenses following the Company’s decision to put the project on care and maintenance until the determination and account of security for reclamation has been finalized and the Company can resume exploration and development activities.

The Company’s AuditedConsolidated Financial Statements and Management’s Discussion and Analysis are available for review on our website at www.newpacificmetals.com and through SEDAR at www.sedar.com.

About New Pacific

New Pacific is a Canadian gold and silver exploration and development company which owns the Tagish Lake gold project in Yukon, Canada.

For further information, contact:

New Pacific Metals Corp.
Investor Relations
Phone: (604) 633-1368
Fax: (604) 669-9387
info@newpacificmetals.com
www.newpacificmetals.com

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this press release constitute “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. Forward-looking statements or information relate to, among other things: the price of silver and other metals; the accuracy of mineral resource and mineral reserve estimates at the Company’s material properties; the sufficiency of the Company’s capital to finance the Company’s operations; estimates of the Company’s revenues and capital expenditures; timing of receipt of permits and regulatory approvals; availability of funds from production to finance the Company’s operations; and access to and availability of funding for future construction, use of proceeds from any financing and development of the Company’s properties.

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: fluctuating commodity prices; calculation of resources, reserves and mineralization and precious and base metal recovery; interpretations and assumptions of mineral resource and mineral reserve estimates; exploration and development programs; feasibility and engineering reports; permits and licences; title to properties; First Nations title claims and rights; property interests; joint venture partners; acquisition of commercially mineable mineral rights; financing; recent market events and conditions; economic factors affecting the Company; timing, estimated amount, capital and operating expenditures and economic returns of future production; integration of future acquisitions into the Company’s existing operations; competition; operations and political conditions; regulatory environment in Canada; environmental risks; insurance; risks and hazards of mining operations; key personnel; conflicts of interest; dependence on management.

This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information. Forward-looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements or information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Company’s Annual Information Form for the year ended June 30, 2011 under the heading “Risk Factors”. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information.

The Company’s forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management’s assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.

New Pacific Provides Update On The Tagish Lake Project And Corporate Development Activities

VANCOUVER, British Columbia â€" September 17, 2012 â€" New Pacific Metals Corp. ("New Pacific" or the "Company") (TSX: NUX) today provided an update on the status of its exploration permit for the Tagish Lake project ("Tagish Lake") and recent corporate development activities.

Tagish Lake Exploration Permit

Earlier this year New Pacific announced that it had received a five year exploration permit for Tagish Lake, valid from February 23, 2012 to February 22, 2017 (see news release dated February 27, 2012). The permit is subject to the Company adhering to Mining Land Use Operational Guidelines, Quartz Mining Act Operating Conditions, as well as the determination and account of security for reclamation.

At present, the Company and government regulatory authorities in the Yukon are working together to finalize the determination and account of security for reclamation. Until this matter is settled, no exploration can take place at the Tagish Lake project.  New Pacific is hopeful that a resolution between the Company and government regulatory authorities will be arrived at by the end of 2012 so that the Company may begin planning to recommence exploration activities at Tagish Lake in 2013. While this matter is progressing, the Company has also retained external financial advisors in Canada and China to examine strategic alternatives to Tagish Lake.

Corporate Development

On February 28, 2012 the Company advised via news release that it had entered into an arm’s length non-binding Memorandum of Understanding ("MOU") with Fujian Henyuan Mining Co., Ltd. ("Fujian Henyuan") to acquire a 75% interest in the LMC silver-gold-lead-zinc property located in Fujian Province, China. New Pacific wishes to report that the MOU between the Company and Fujian Henyan has been terminated. The Company will continue to look for other exploration projects in China.

About New Pacific

New Pacific is a Canadian gold and silver exploration and development company which owns the Tagish Lake gold project in Yukon, Canada.

For further information, contact:

New Pacific Metals Corp.,
Investor Relations
Phone: (604) 633-1368
Fax: (604) 669-9387
info@newpacificmetals.com
www.newpacificmetals.com

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this press release constitute "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. Forward-looking statements or information relate to, among other things: the price of silver and other metals; the accuracy of mineral resource and mineral reserve estimates at the Company’s material properties; the sufficiency of the Company’s capital to finance the Company’s operations; estimates of the Company’s revenues and capital expenditures; timing of receipt of permits and regulatory approvals; availability of funds from production to finance the Company’s operations; and access to and availability of funding for future construction, use of proceeds from any financing and development of the Company’s properties.

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: fluctuating commodity prices; calculation of resources, reserves and mineralization and precious and base metal recovery; interpretations and assumptions of mineral resource and mineral reserve estimates; exploration and development programs; feasibility and engineering reports; permits and licences; title to properties; First Nations title claims and rights; property interests;Â joint venture partners; acquisition of commercially mineable mineral rights; financing; recent market events and conditions; economic factors affecting the Company; timing, estimated amount, capital and operating expenditures and economic returns of future production; integration of future acquisitions into the Company’s existing operations;Â competition;Â operations and political conditions; regulatory environment in Canada;Â environmental risks; insurance; risks and hazards of mining operations; key personnel; conflicts of interest; dependence on management.

This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information. Forward-looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements or information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Company’s Annual Information Form for the year ended June 30, 2011 under the heading "Risk Factors". Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information.Â

The Company’s forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management’s assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.

New Pacific Reports New Technical Report For Skukum Project

VANCOUVER, British Columbia â€" September 14, 2012 â€" New Pacific Metals Corp. (“New Pacific” or the “Company”) is pleased to announce the results of a Technical Report entitled “Technical Report Skukum Gold-Silver Project Whitehorse Mining District, Yukon Territory, Canada” with effective date of July 16, 2012and includes new independent resource estimates on the Mt. Skukum (Lake Zone), Skukum Creek and Goddell Gully deposits on the Company’s Skukum Gold-Silver Project (the “Project”) in southern Yukon Territory, Canada. The Technical Report was undertaken for the Company by Christopher O. Naas, P.Geo. of CME Consultants Inc. (“CME”) and Ronald G. Simpson, P.Geo. of GeoSim Services, Inc. (“GeoSim”).  Both Mr. Naas and Mr. Simpson are independent of New Pacific pursuant to National Instrument 43-101 (“NI 43-101”). Mr. Simpson is the Qualified Person with respect to the resource estimates and Mr. Naas is the Qualified Person with respect to all other aspects of the Technical Report. The Technical Report will be made available for review on the SEDAR at www.sedar.com and on the company’s website at http://www.newpacificmetals.com/ in due course. Â

CME personnel conducted a property visit and acquired core samples as part of a sample assay verification program prior to, and in support of, the resource estimation. Results of the verification sampling, confirmed the presence of gold and silver mineralization with comparable grades to those reported historically for Mt Skukum (Lake Zone) and for samples collected by New Pacific during the 2011 diamond drilling exploration of the Lake Zone, Skukum Creek and Goddell Gully deposits.Â

Mineral Resource (1) Estimates
Resource estimates were undertaken on three of the targets within the Project area: Mt. Skukum (Lake Zone); Skukum Creek (comprising the Rainbow Zone, Kuhn Zone, Berg Zone, and Rainbow2 Zone); and Goddell Gully. The resource estimates were carried out using all available exploration data up to, and including, the results of New Pacific’s 2011 exploration program.

Each of the deposits were modeled as veins in Leapfrog3d software using a minimum horizontal width of 1.5 metres. The Mt. Skukum (Lake Zone) deposit was modeled as a single continuous vein, the Skukum Creek deposit was modeled as four separate vein zones: Rainbow, Rainbow 2, Berg and Kuhn, and the Goddell Gully deposit was modeled as two sub-parallel vein structures: the Southern Vein and the Northern Vein. Gold and silver values were used in the grade estimates of the Mt. Skukum and Skukum Creek deposits to create a gold-equivalent value. Only gold values were used in the estimation of the Goddell Gully deposit due to incomplete silver assaying on the samples used.

Best fit downhole sample assay composites of gold and silver (for the Mt. Skukum and Skukum Creek deposits) and gold only (for the Goddell Gully deposit) were generated using a nominal 1 metre interval within the zone domains. Samples were capped at established levels prior to compositing, and bulk densities used in the calculations were generated using density measurements made on diamond drill core sampled from the 2011 exploration program.

A rotated block model for each deposit was then created in Gemcom-Surpac Vision© software using a block sizing as follows:

  • Mt. Skukum deposit: 5 x 5 x 3 metres with sub-blocking enabled to 2.5 x 2.5 x 1.5 metres;
  • Skukum Creek deposit: 5 x 1.5 x 5 metres with sub-blocking enabled to 2.5 x 0.75 x 2.5 metres; and,
  • Goddell Gully deposit: 5 x 1.5 x 5 metres with sub-blocking enabled to 2.5 x 0.75 x 2.5 metres.

Gold and silver grades within the vein domain(s) were estimated in three passes using the inverse distance weighting method to the third power (ID3). A single pass nearest neighbour estimate was also carried out for use in model validation. Verification of the generated model was then carried out by visual comparison of blocks and sample grades in plan and section views.

For all targets, a base case cut-off grade of 3.0 g/t gold or gold equivalent was selected and is considered to be generally consistent with the economic cut-off for other mineral deposits of similar characteristics, scale, and location. The current resource estimates of the targets using the 3.0 g/t gold or gold equivalent cut-offs are:

  • Mt. Skukum (Lake Zone): Inferred Mineral Resources of 90,500 tonnes at 9.51 g/t Au equivalent;
  • Skukum Creek: Indicated Mineral Resource of 1,086,800 tonnes at 8.72 g/t Au equivalent and Inferred Mineral Resource of 586,000 tonnes at 6.83 g/t Au equivalent; and,
  • Goddell Gully: Indicated Mineral Resource of 329,700 tonnes at 8.13 g/t Au and Inferred Mineral Resource of 483,900 tonnes at 7.13 g/t Au

The mineral resource inventory for the Project, by category, are provided below in Tables 1 and 2:

Table 1: Indicated Mineral Resources


Deposit
Cut-off Grade g/t (2)
Tonnes
Au
g/t
Ag
g/t
Au EQ
g/t
Total contained oz Au
Total contained oz Ag
Total contained oz Au EQ
Skukum Creek
3.0
1,086,800
5.54
159
8.72
193,700
5,547,600
304,600
Goddell Gully
3.0
329,700
8.13
-
8.13
86,210
-
86,210
Total Indicated
3.0
1,416,500
6.14
-
8.58
279,910
5,547,600
390,810

Table 2: Inferred Mineral Resources


Deposit
Cut-off Grade g/t (2)
Tonnes
Au
g/t
Ag
g/t
Au EQ
g/t
Total contained oz Au
Total contained oz Ag
Total contained oz Au EQ
Mt. Skukum
3.0
90,500
9.25
13
9.51
26,900
37,800
27,656
Skukum Creek
3.0
586,000
4.74
105
6.83
89,200
1,972,700
128,700
Goddell Gully
3.0
483,900
7.13
-
7.13
110,867
-
110,867
Total Inferred
3.0
1,160,400
6.09
-
7.16
226,967
2,010,500
267,223

Notes:
(1) By prescribed definition, "Mineral Resources" do not have demonstrated economic viability. An Inferred Mineral Resource is that part of a mineral resource for which quantity and grade can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified, geological and grade continuity.
(2) Cut-off grade is 3.0 g/t Au equivalent (AuEQ) for Mt Skukum and Skukum Creek, 3 g/t Au for Goddell Gully. Metal prices were assumed $US1300/oz Au and US$26/oz Ag. The AuEQ formula is as follows: Au + (Ag *0.02) = Au EQ

The Qualified Persons, Christopher O. Naas, P.Geo. and Ronald G. Simpson, P.Geo., have reviewed and approved the contents of this news release.

About New Pacific Metals Corp.

New Pacific Metals Corp. is a Canadian near-term gold and silver production mining company engaged in the exploration and development of gold polymetallic properties in Yukon, Canada. The Company's current project is the Tagish Lake Gold Property in Yukon. With experienced management and sufficient technical and financial resources, the Company is well positioned to build shareholder value through discovery, exploration and resource development.

For more information about New Pacific Metals Corp., see www.newpacificmetals.com or contact investor relations, New Pacific Metals Corp., Phone: (604) 669-9397, Fax: (604) 669-9387 or send inquires to info@newpacificmetals.com.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this press release constitute “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. Forward-looking statements or information relate to, among other things: the price of silver and other metals; the accuracy of mineral resource and mineral reserve estimates at the Company’s material properties; the sufficiency of the Company’s capital to finance the Company’s operations; estimates of the Company’s revenues and capital expenditures; timing of receipt of permits and regulatory approvals; availability of funds from production to finance the Company’s operations; and access to and availability of funding for future construction, use of proceeds from any financing and development of the Company’s properties.

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: fluctuating commodity prices; calculation of resources, reserves and mineralization and precious and base metal recovery; interpretations and assumptions of mineral resource and mineral reserve estimates; exploration and development programs; feasibility and engineering reports; permits and licences; title to properties; First Nations title claims and rights; property interests;Â joint venture partners; acquisition of commercially mineable mineral rights; financing; recent market events and conditions; economic factors affecting the Company; timing, estimated amount, capital and operating expenditures and economic returns of future production; integration of future acquisitions into the Company’s existing operations;Â competition;Â operations and political conditions; regulatory environment in Canada;Â environmental risks; insurance; risks and hazards of mining operations; key personnel; conflicts of interest; dependence on management.

This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information. Forward-looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements or information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Company’s Annual Information Form for the year ended June 30, 2011 under the heading “Risk Factors”. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information.Â

The Company’s forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management’s assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.

New Pacific Metals Corp. Announces Share Repurchase Program

VANCOUVER, British Columbia â€" June 25, 2012 â€" New Pacific Metals Corp. (“New Pacific” or the “Company”) intends to commence a Normal Course Issuer Bid to acquire up to 5,000,000 million common shares from June 27, 2012 to June 26, 2013, representing 7.4% of the Company’s 67,369,203 common shares currently issued and outstanding. The Company is taking this action because it believes that prevailing market conditions have resulted in its shares being undervalued relative to the immediate and long term value of the Company’s property in Canada.

Purchases will be made at the discretion of the Company directors at prevailing market prices through the facilities of the TSX or other Canadian market places in compliance with regulatory requirements. There can be no assurance as to the precise number of shares that will be repurchased under the share repurchase program. The Company may discontinue its purchases at any time, subject to compliance with applicable regulatory requirements. The Company intends to hold all shares acquired under the issuer bid for cancellation. The Normal Course Issuer Bid is subject to regulatory approval.

Directors and senior officers of the Company are not aware of any previously undisclosed material changes or plans or proposals for material changes in the affairs of the Company, nor do any of them have the present intention to sell shares of the Company during the Normal Course Issuer Bid.

The maximum number of shares that may be purchased on the TSX during any trading day may not exceed 25% of the average daily trading volume on the TSX for a daily total of 7,418 common shares. This limit, for which there are permitted exceptions, is determined in accordance with TSX regulatory requirements.

About New Pacific Metals Corp.

New Pacific Metals Corp. is a Canadian near-term gold and silver production mining company engaged in the exploration and development of gold poly-metallic properties in Yukon, Canada. The Company's current project is the Tagish Lake Gold Property in Yukon. With experienced management and sufficient technical and financial resources, the Company is well positioned to build shareholder value through discovery, exploration and resource development.

For more information about New Pacific Metals Corp., see www.newpacificmetals.com or contact Peter Torn, Corporate Secretary, New Pacific Metals Corp., Phone: (604) 669-9397, Fax: (604) 669-9387, or New Pacific Investor Relations at 604-633-1368 or send inquires to info@newpacificmetals.com.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION
Certain of the statements and information in this press release constitute “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. Forward-looking statements or information relate to, among other things: the price of silver and other metals; the accuracy of mineral resource and mineral reserve estimates at the Company’s material properties; the sufficiency of the Company’s capital to finance the Company’s operations; estimates of the Company’s revenues and capital expenditures; timing of receipt of permits and regulatory approvals; availability of funds from production to finance the Company’s operations; and access to and availability of funding for future construction, use of proceeds from any financing and development of the Company’s properties.

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: fluctuating commodity prices; calculation of resources, reserves and mineralization and precious and base metal recovery; interpretations and assumptions of mineral resource and mineral reserve estimates; exploration and development programs; feasibility and engineering reports; permits and licences; title to properties; First Nations title claims and rights; property interests;Â joint venture partners; acquisition of commercially mineable mineral rights; financing; recent market events and conditions; economic factors affecting the Company; timing, estimated amount, capital and operating expenditures and economic returns of future production; integration of future acquisitions into the Company’s existing operations;Â competition;Â operations and political conditions; regulatory environment in Canada;Â environmental risks; insurance; risks and hazards of mining operations; key personnel; conflicts of interest; dependence on management.

This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information. Forward-looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements or information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Company’s Annual Information Form for the year ended June 30, 2011 under the heading “Risk Factors”. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information.Â

The Company’s forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management’s assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.

New Pacific Metals Corp. Announces Results For The Third Quarter Ended March 31, 2012

VANCOUVER, BRITISH COLUMBIA â€" MAY 11, 2012: New Pacific Metals Corp. (the “Company”) announces its unaudited consolidated financial results for the third quarter ended March 31, 2012.  All figures are expressed in Canadian Dollars (CAD$) unless otherwise stated.

THIRD QUARTER FINANCIAL HIGHLIGHTS

For the quarter ended March 31, 2012 (“Q3 2012”), the Company recorded loss of $922,170 or $0.014 per share compared to net income of $15,437,565 or $0.235 per share for the quarter ended March 31, 2011 (“Q3 2011”).Â

Significant highlights of the quarter are as follows:

  • Excluding foreign exchange loss, the Company incurred total operating expenses of $584,293, a decrease of $81,201 or 12% compared to $665,494 in Q3 2011.Â
  • Incurred capitalized exploration and development expenditures of $441,435 at the Tagish Lake Gold Property as the project was on care and maintenance in the winter.

As of March 31, 2012, the Company has a working capital position of $30,290,259 (June 30, 2011 - $37,232,868). Cash and cash equivalents amounted to $21,738,175 (June 30, 2011 - $20,625,672). With a strong working capital, the Company is well positioned financially to continue development of the Tagish Lake Gold Property.

The Company’s unaudited Condensed Consolidated Interim Financial Statements and Management’s Discussion and Analysis are available for review on our website at www.newpacificmetals.com and through SEDAR at www.sedar.com.

About New Pacific Metals Corp.

New Pacific Metals Corp. is a Canadian near-term gold and silver production mining company engaged in the exploration and development of gold poly-metallic properties in Yukon, Canada. The Company's current project is the Tagish Lake Gold Property in Yukon. With experienced management and sufficient technical and financial resources, the Company is well positioned to build shareholder value through discovery, exploration and resource development.

For more information about New Pacific Metals Corp., see www.newpacificmetals.com or contact Jason Nickel, Vice President, Mining, New Pacific Metals Corp., Phone: (604) 669-9397, Fax: (604) 669-9387, or New Pacific Investor Relations at 604-633-1368 or send inquires to info@newpacificmetals.com.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this press release constitute “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. Forward-looking statements or information relate to, among other things: the price of silver and other metals; the accuracy of mineral resource and mineral reserve estimates at the Company’s material properties; the sufficiency of the Company’s capital to finance the Company’s operations; estimates of the Company’s revenues and capital expenditures; timing of receipt of permits and regulatory approvals; availability of funds from production to finance the Company’s operations; and access to and availability of funding for future construction, use of proceeds from any financing and development of the Company’s properties.

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: fluctuating commodity prices; calculation of resources, reserves and mineralization and precious and base metal recovery; interpretations and assumptions of mineral resource and mineral reserve estimates; exploration and development programs; feasibility and engineering reports; permits and licences; title to properties; First Nations title claims and rights; property interests;Â joint venture partners; acquisition of commercially mineable mineral rights; financing; recent market events and conditions; economic factors affecting the Company; timing, estimated amount, capital and operating expenditures and economic returns of future production; integration of future acquisitions into the Company’s existing operations;Â competition;Â operations and political conditions; regulatory environment in Canada;Â environmental risks; insurance; risks and hazards of mining operations; key personnel; conflicts of interest; dependence on management.

This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information. Forward-looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements or information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Company’s Annual Information Form for the year ended June 30, 2011 under the heading “Risk Factors”. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information.Â

The Company’s forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management’s assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.

Correction to Memorandum of Understanding News Release

VANCOUVER, BRITISH COLUMBIA (February 28, 2012) â€"New Pacific Metals Corp. (TSX:NUX) (the "Company") announces a correction to its press release dated February 28, 2012 in regards of the Memorandum of Understanding; the correct disclosure is 4.83 million tonnes of mineralized material instead of the originally stated 483 million tonnes.

About New Pacific Metals Corp.

New Pacific Metals Corp. is a Canadian near-term gold and silver production mining company engaged in the exploration and development of gold poly-metallic properties in the Yukon, Canada. The Company's current material project is the Tagish Lake Gold Property in Yukon Territory. With experienced management and sufficient technical and financial resources, the Company is well positioned to build shareholder value through discovery, exploration and resource development.

For more information about New Pacific, visit New Pacific’s website at www.newpacificmetals.com or contract New Pacific Metals Corp., Jason Nickel, Vice President Engineering, Phone: (604) 669-9397, Fax: (604) 669-9387, or New Pacific Investor Relations at 604-633-1368 or send inquires to info@newpacificmetals.com Website: www.newpacificmetals.com

CAUTIONARY NOTE REGARDING FORWARD LOOKING INFORMATION

Certain of the statements and information in this press release constitute “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. Forward-looking statements or information relate to, among other things: the price of metals; the accuracy of mineral resource estimates at the Company’s material properties; the sufficiency of the Company’s capital to finance the Company’s operations; estimates of the Company’s capital expenditures; and timing of receipt of permits and other regulatory approvals.

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: exploration and development risks associated with our mineral operations; permitting matters; calculations of mineral resources and corresponding grades; fluctuation in commodity prices; reliance on key personnel; government regulations; risks associated with acquisitions; environmental liability claims and insurance; the need for additional financing; title matters; the volatility of our common share price and volume; dilution; the absence of dividends; competition; and the potential for conflicts of interests among certain officers, directors or promoters with certain other projects. This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information. Forward-looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements or information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Company’s Annual Information Form for the year ended June 30, 2011 under the heading “Risk Factorsâ€�. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information. Â

The Company’s forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this news release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management’s assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.

Tagish Lake Gold Project Receives Five Year Permit to Continue Exploration and Development in Yukon Territory

VANCOUVER, BRITISH COLUMBIA (February 27, 2012) - New Pacific Metals Corp. (TSX: NUX) (the "Company") is pleased to announce that it’s solely owned subsidiary Tagish Lake Gold Corp.  has received a five year exploration permit for its Tagish Lake Gold Project (the “Project”) valid from February 23, 2012 to February 22, 2017 known as a “Mining Land Use Approval,” under the Quartz Mining Act, Yukon, Canada. The approval is subject to adhering to Mining Land Use Operational Guidelines, Quartz Mining Act Operating Conditions, as well as the determination and account of security for reclamation.

The exploration permits allows the following activities:

  • up to 60,000 metres of surface and underground drilling;
  • up to 9,600m3 of sampling and trenching;
  • up to the 200,000 tonnes of rock excavation during the period, of which 100,000 tonnes may be mined in any single year;
  • construction of 10 kilometres of new single lane surface roads and an additional nine kilometres of drill trails; and
  • up to a 50 person camp operating year round.

The Project is currently on winter shutdown; however the Company has plans to activate the Project site this spring.  For 2012, the Company plans surface drilling to “step-out” and “step-down” the known resource zones in the inferred and indicated categories to get a better understanding of the overall resource.

About New Pacific Metals Corp.
New Pacific Metals Corp. is a Canadian near-term gold and silver production mining company engaged in the exploration and development of gold and silver poly-metallic properties in the Yukon, Canada. The Company's current project is the Tagish Lake Gold Property in Yukon Territory.  With experienced management and sufficient technical and financial resources, the Company is well positioned to build shareholder value through discovery, exploration and resource development.

For more information about New Pacific, visit New Pacific’s website at www.newpacificmetals.com or contract New Pacific Metals Corp., Jason Nickel, Vice President Engineering, Phone: (604) 669-9397, Fax: (604) 669-9387, or  New Pacific Investor Relations at 604-633-1368 or send inquires to info@newpacificmetals.com Website: www.newpacificmetals.com

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS

Certain of the statements and information in this press release constitute “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.  Forward-looking statements or information relate to, among other things: the price of silver and other metals; the accuracy of mineral resource and mineral reserve estimates at the Company’s material properties; the sufficiency of the Company’s capital to finance the Company’s operations; estimates of the Company’s revenues and capital expenditures; timing of receipt of permits and regulatory approvals; availability of funds from production to finance the Company’s operations; and access to and availability of funding for future construction, use of proceeds from any financing and development of the Company’s properties.

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: fluctuating commodity prices; calculation of resources, reserves and mineralization and precious and base metal recovery; interpretations and assumptions of mineral resource and mineral reserve estimates; exploration and development programs; feasibility and engineering reports; permits and licences; title to properties; First Nations title claims and rights; property interests;  joint venture partners; acquisition of commercially mineable mineral rights; financing; recent market events and conditions; economic factors affecting the Company; timing, estimated amount, capital and operating expenditures and economic returns of future production; integration of future acquisitions into the Company’s existing operations;  competition;  operations and political conditions; regulatory environment in Canada;  environmental risks; insurance; risks and hazards of mining operations; key personnel; conflicts of interest; dependence on management.

This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements or information. Forward-looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements or information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Company’s Annual Information Form for the year ended June 30, 2011 under the heading “Risk Factors”.  Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended.  Accordingly, readers should not place undue reliance on forward-looking statements or information.  

The Company’s forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management’s assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.