New Pacific Metals Continues to Intersect Broad Zones of Silver-rich Mineralization at the Carangas Silver Project

All four drill holes, similarly to the initial two drill holes, intersected broad zones of silver-rich, polymetallic mineralization starting at or near-surface and continuing to depth (Table 1 and Figure 1 below). For details of the assay results from the initial two drill holes, please refer to the Company's news release dated September 8, 2021. Significant zones of higher-grade mineralization occur within several of the drill holes, in particular drill hole DCAr0005.

The Phase I discovery drill program commenced in early June 2021 (for details please refer to the Company's news release dated June 29, 2021). A total of 3,790 metres ("m") were completed in 13 drill holes (Figure 1 and Table 2) designed to test the depth extensions of the historically mined West and East Domes, as well the Central Valley target, below recent fluvial sediments (for details please refer to the Company's news releases dated April 12, 2021 and June 14, 2021).

All drill holes intersected thick intervals of predominantly structurally controlled (with or without disseminations) polymetallic mineralization, hosted within sub-horizontal volcanic breccia and/or dacitic tuff-host units.

Assay results of the first six drill holes, which tested the West Dome target have been received. Assays for the remaining seven drill holes, which tested the East Dome and Central Valley Targets are pending; however, in aggregate the drill holes appear to define a mineralized area approximately 1,000 m long by 700 m wide and up to 400 m in depth (Figure 1 and Table 2). Mineralization remains open in every direction, including at depth, beyond the current drill footprint. Many drill holes were terminated in mineralization due to drill rig constraints.

As a result, two additional drill rigs have been mobilized to site and an expanded discovery drill program (the "Phase II Drill Program") has been initiated to further define the extent of the emerging mineralized system. The Phase II Drill Program is expected to comprise approximately 7,500 m in 26 drill holes (Figure 1), and contingent on positive results, may be expanded (for details please refer to the Company's news release dated October 26, 2021).

Intercepted Broad Zones of Silver Mineralization Starting at Surface

Drill holes DCAr0003, DCAr0004 and DCAr0005 were collared near the center of West Dome and drilled in various directions to test the morphology and extensions of historically mined workings (Figure 1).

Drill hole DCAr0003 was drilled to the south-west and intercepted a 90.86 m interval at a grade of 50 g/t AgEq (35 g/t Ag and 0.49% Pb) from surface. Multiple intervals, totaling 10.43 m, did not recover core as a result of historical mining voids encountered down hole.

Drill hole DCAr0004 was drilled to the north-east and intercepted 163.53 m at a grade of 52 g/t AgEq (22 g/t Ag, 0.33% Pb and 0.60% Zn) from surface. The drill hole intercepted four historical mining voids with an aggregate total length of 6.40 m without core recovery.

Drill hole DCAr0005 was drilled to the south-east and intercepted multiple zones of high-grade, silver-rich, polymetallic mineralization within a broad interval of 228.30 m which returned 73 g/t AgEq (39 g/t Ag, 0.56% Pb and 0.50% Zn) from surface. The drill hole intercepted multiple historical mining voids and broken zones with an aggregate length of 15.86 m without core recovery.

Drill hole DCAr0006 was collared on the eastern slope of West Dome above the historic Orko Tunko Adit (Figure 1). It was drilled to the north-east to test the down dip extensions of structural-controlled mineralized zones exposed in the adit. It intercepted 182.50 m at 89 g/t AgEq (42 g/t Ag, 0.41% Pb and 1.01% Zn) from surface within which 37.20 m returned 249 g/t AgEq (107 g/t Ag, 0.98% and 328% Zn). The drill hole intercepted multiple historical mining voids without core recovery for a total length of 5.65 m.

Figure 1. Simplified geology plan map and drill holes of the Phase I discovery drill program at the Carangas Project.

QUALITY ASSURANCE AND QUALITY CONTROL

All samples in respect of the exploration program at the Carangas Project, conducted by the Company and discussed in this news release, are shipped in securely-sealed bags by New Pacific staff in the Company's vehicles, directly from the field to ALS Global in Oruro, Bolivia for preparation, and ALS Global in Lima, Peru for geochemical analysis. ALS Global is an ISO 17025 accredited laboratory independent from New Pacific. All samples are first analyzed by a multi-element ICP package (ALS code ME-MS41) with ore grade over specified limits for silver, lead and zinc further analyzed using ALS code OG46. Further silver samples over specified limits are analyzed by gravimetric analysis (ALS code of GRA21). Certified reference materials, various types of blank samples and duplicate samples are inserted to normal drill core sample sequences prior to delivery to laboratory for preparation and analysis. The overall ratio of quality control samples in sample sequences is around twenty percent.

QUALIFIED PERSON

The scientific and technical information contained in this news release has been reviewed and approved by Alex Zhang, P. Geo., Vice President of Exploration, who is a Qualified Person for the purposes of National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101"). The Qualified Person has verified the information disclosed herein, including the sampling, preparation, security and analytical procedures underlying such information, and is not aware of any significant risks and uncertainties that could be expected to affect the reliability or confidence in the information discussed herein.

ABOUT NEW PACIFIC

New Pacific is a Canadian exploration and development company with precious metal projects, including the flagship Silver Sand Project, the Silverstrike Project and the Carangas Project, all of which are located in Bolivia. The Company is focused on progressing the development of the Silver Sand Project, while growing its Mineral Resources through the exploration and acquisition of properties in the Americas.

For further information, please contact:
Stacey Pavlova, CFA
VP, Investor Relations and Corporate Communications
New Pacific Metals Corp.
Phone: (604) 633-1368
U.S. & Canada toll-free: 1-877-631-0593
E-mail: info@newpacificmetals.com
www.newpacificmetals.com

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CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this news release constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and "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. Such statements include, but are not limited to: statements regarding the anticipated timing, amount and completion of exploration, drilling, development, construction, and other activities or achievements of the Company; the Phase II Drill Program and anticipated outcomes therefrom; future economics of the Company's projects; timing of receipt of permits and regulatory approvals; estimates of the Company's revenues and capital expenditures; and other future plans, objectives or expectations of the Company.

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: global economic and social impact of COVID-19; fluctuating equity prices, bond prices, commodity prices; calculation of resources, reserves and mineralization, general economic conditions, foreign exchange risks, interest rate risk, foreign investment risk; loss of key personnel; conflicts of interest; dependence on management, uncertainties relating to the availability and costs of financing needed in the future, environmental risks, operations and political conditions, the regulatory environment in Bolivia and Canada; risks associated with community relations and corporate social responsibility, and other factors described under the heading "Risk Factors" in the Company's Annual Information Form and its other public filings.

This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements or information.

The forward-looking statements are necessarily based on a number of estimates, assumptions, beliefs, expectations and opinions of management as of the date of this news release that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. These estimates, assumptions, beliefs, expectations and options include, but are not limited to, those related to the Company's ability to carry on current and future operations, including: the duration and effects of COVID-19 on our operations and workforce; development and exploration activities; the timing, extent, duration and economic viability of such operations; the accuracy and reliability of estimates, projections, forecasts, studies and assessments; the Company's ability to meet or achieve estimates, projections and forecasts; the stabilization of the political climate in Bolivia; the Company's ability to obtain and maintain social license at its mineral properties; the availability and cost of inputs; the price and market for outputs; foreign exchange rates; taxation levels; the timely receipt of necessary approvals or permits, including the ratification and approval of the Mining Production Contract with COMIBOL by the Plurinational Legislative Assembly of Bolivia; the ability to meet current and future obligations; the ability to obtain timely financing on reasonable terms when required; the current and future social, economic and political conditions; and other assumptions and factors generally associated with the mining industry.

Although the forward-looking statements contained in this news release are based upon what management believes are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements. All forward-looking statements in this news release are qualified by these cautionary statements. Accordingly, readers should not place undue reliance on such statements. Other than specifically required by applicable laws, the Company is under no obligation and expressly disclaims any such obligation to update or alter the forward-looking statements whether as a result of new information, future events or otherwise except as may be required by law. These forward-looking statements are made as of the date of this news release.

CAUTIONARY NOTE TO US INVESTORS

This news release has been prepared in accordance with the requirements of NI 43-101 and the Canadian Institute of Mining, Metallurgy and Petroleum Definition Standards, which differ from the requirements of U.S. Securities laws. NI 43-101 is a rule developed by the Canadian Securities Administrators that establishes standards for all public disclosure an issuer makes of scientific and technical information concerning mineral projects.

SOURCE New Pacific Metals Corp.