NEW PACIFIC REPORTS FINANCIAL RESULTS FOR THE THREE MONTH AND YEAR ENDED JUNE 30, 2024
VANCOUVER, BC, Sept. 9, 2024 /PRNewswire/ - New Pacific Metals Corp. ("New Pacific" or the "Company") reports its financial results for the three months and year ended June 30, 2024. All figures are expressed in US dollars unless otherwise stated.
FISCAL 2024 HIGHLIGHT
The Company filed its independent National Instrument 43-101, Standards of Disclosure for Mineral Projects ("NI 43-101") Pre-Feasibility Study for the Silver Sand Project (the "Silver Sand PFS Technical Report") on August 8, 2024. The Silver Sand PFS Technical Report shows an post-tax net present value ("NPV") at a 5% discount rate of $740 million with an internal rate of return ("IRR") of 37% at a base case price of $24.00 per ounce ("oz") of silver, underpinned by a production of approximately 157 million oz ("Moz") of silver over 13 years of mine life with average life of mine ("LOM") all-in sustaining cost ("AISC") of $10.69/oz silver.
The Company filed its inaugural NI 43-101 mineral resource estimate for its Carangas Project (the "Carangas MRE") on September 18, 2023. Total indicated mineral resources of 214.9 million tonnes ("Mt") containing 205.3 Moz of silver, 1,588.2 thousand oz ("Koz") of gold, 1,444.9 million pounds ("Mlbs") of lead, 2,653.7 Mlbs of zinc, and 112.6 Mlbs of copper; or collectively 559.8 Mozs silver equivalent ("AgEq"). Total inferred mineral resources are 45.0 Mt containing 47.7 Mozs of silver, 217.7 Kozs of gold, 297.9 Mlbs of lead, 533.7 Mlbs of zinc, and 16.8 Mlbs of copper; or collectively 109.8 Mozs AgEq.
Successfully closed a bought deal financing on September 29, 2023. A total of 13,208,000 common shares of the Company were sold under the bought deal financing at a price of $1.96 (CAD $2.65) per common share for total gross proceeds of approximately $25.9 million (CAD $35 million). The underwriter's fee and other issuance costs for the transaction were approximately $1.4 million.
FINANCIAL RESULTS
Net loss attributable to equity holders of the Company for the three months and year ended June 30, 2024 of $1.48 million and $6.02 million or $0.01 and $0.04 per share, respectively (three months and year ended June 30, 2023 – net loss of $1.86 million and $8.10 million or $0.01 per share and $0.05 per share, respectively). The Company's financial results were mainly impacted by the following items:
Operating expenses for the three months and year ended June 30, 2024 of $1.53 million and $6.94 million, respectively (three months and year ended June 30, 2023 - $1.89 million and $8.26 million, respectively).
Income from investments for the three months and year ended June 30, 2024 of $0.32 million and $1.06 million, respectively (three months and year ended June 30, 2023, $0.02 million and $0.18 million, respectively).
Gain on disposal of property, plant and equipment for the three months and year ended June 30, 2024 of $nil and $0.05 million, respectively (three months and year ended June 30, 2023, $nil and $nil, respectively).
Provision for credit loss for the three months and year ended June 30, 2024 of $0.27 million and $0.27 million, respectively (three months and year ended June 30, 2023, $nil and $nil, respectively).
Foreign exchange gain (loss) for the three months year ended June 30, 2024 of $(0.01) million and $0.08 million, respectively (three months and year ended June 30, 2023, $0.01 million and $(0.02) million, respectively).
Working Capital: As of June 30, 2024, the Company had working capital of $21.38 million.
PROJECT EXPENDITURE
The following schedule summarized the expenditure incurred by category for each of the Company's projects for relevant periods:
Cost
Silver Sand
Carangas
Silverstrike
Total
Balance, July 1, 2022
$ 79,594,886
$ 6,011,566
$ 3,324,120
88,930,572
Capitalized exploration expenditures
