Assay results released Monday are from the first drill hole of a discovery proam. It intersected broad gold mineralization starting near surface. The company said seven holes have been drilled since the program was launched in June 2022. Assay results from the remaining six holes are pending.
Highlights include drill hole DSSk0001, which intersected a broader interval of 195.05 metres from 10.22 metres to 205.27 metres grading 0.96 g/t gold and 0.6 g/t silver, including an interval of 111.39 metres (from 12.61 metres to 124 metres) grading 1.54 g/t gold and 8.0 g/t silver, and a higher grade near-surface sub-interval of 36.06 metres (from 12.61 metres to 48.67 metres) grading 3.97 g/t gold and 20 g/t silver.
New Pacific is a Canadian exploration and development company with a focus on silver in Bolivia, a landlocked South American country with a long history of mining, and a geological endowment that offers lots of potential for new discoveries.
New Pacific was previously working to develop its flagship Silver Sand Project in Bolovia’s Potosi Department with the support of its two largest shareholders Silvercorp Metals Inc. [SVM-TSX] and Pan American Silver Corp. [PAAS-TSX]. Silvercorp and Pan American own 28.8% and 9.7% of the company respectively.
The company was founded by Dr. Rui Feng, who is also the Chairman and CEO of Silvercorp, the largest primary silver producer in China. Feng beefed up his management team by recruiting Dr. Mark Cruise, the former CEO of Vancouver-based zinc producer Trevali Mining Corp. [TV-TSX, TREVF-OTCQX]. Cruise replaced Feng as CEO of New Pacfic Metals in April, 2020.
The flagship Silver Sand project is waiting for a new mineral resource estimate update and preliminary economic assessment (PEA) by the end of 2022. The recently discovered Caragas silver-gold project is undergoing a 40,000-metre drill program. The third project, Silverstrike, commenced a 6,000-metre discovery drill program in June, 2022.
The Silverstrike discovery marks another milestone following the company’s discoveries made at Silver Sand and Carangas, displaying the company’s capability of growing shareholder value through careful project identification, acquisition, thorough geological study and well-planned drilling.
New Pacific commenced a preliminary economic assessment (PEA) at Silver Sand after outlining a National Instrument 43-101 compliant mineral resource estimate for the project.
Using a 45 g/t silver cut-off grade, Silver Sand is thought to host a measured and indicated resource of 35.39 million tonnes at 137 g/t gold or 155.86 million ounces of silver. On top of that is an inferred resource of 9.84 million tonnes at 112 g/t silver or 35.55 million ounces.
On September 9, 2022, New Pacific shares closed at $3.72 and currently trade in a 52-week range of $5.58 and $3.07.