VANCOUVER, BC, Nov. 21,
2022 /PRNewswire/ - New Pacific Metals Corp.
("New Pacific" or the "Company") (TSX: NUAG)
(NYSE American: NEWP),
together with its local Bolivian partner, are
pleased to report the preliminary metallurgical testwork results of
the five variability samples from its Carangas Silver-Gold Project
in Oruro Department, Bolivia (the
"Carangas Project" or the "Project"). This ongoing metallurgical
testwork program consists of scoping-level cyanide leach and
flotation testing and is carried out by Bureau Veritas's
Metallurgical Division in Richmond,
British Columbia, Canada.
Mineralized materials sampled from rejects of selected Carangas
drill cores with assays were composited to five samples based on
the type of mineralization and degree of oxidization. Host
rock sample is altered volcanoclastic rocks of dacitic-rhyolitic
composition.
HIGHLIGHTS
Cyanide leach tests for the fresh gold samples for the sample
with less than 1% sulfur content have achieved 98.8% gold recovery
and the second gold sample with approximately 3% sulfur content
achieved 98.5% gold recovery.
The near surface, overlying oxidized, oxidized to semi-oxidized,
and fresh silver-lead-zinc samples were tested with cyanide
leaching and flotation. The cyanide leach tests achieved silver
recoveries of 84.1%, 85% and 74.3%, respectively. Whole
ore flotation tests achieved silver recoveries of 72-77%, 90-94%
and 99%, respectively. Flotation tests for oxidized to
semi-oxidized samples also achieved zinc recoveries of 93-95%.
Furthermore, 98-99% lead and 96-97% zinc flotation recoveries were
achieved for the fresh silver-lead-zinc sample.
These preliminary test results clearly demonstrate that high
recovery rates can be expected for gold using cyanide leaching and
for silver, lead, and zinc through conventional cyanide leaching
and flotation for silver-lead-zinc mineralized materials. The
results of testwork are summarized below in Table 1.
Table 1 Summary of scoping level metallurgy tests of Carangas
Project
Whole Ore Cyanide
Leach
|
Sample
#
|
Mineralization
|
Degree of
Oxidization
|
Recovery
|
1
|
Silver-Lead
|
Oxidized
|
84.1% silver
recovery
|
2
|
Silver-Lead-Zinc
|
Oxidized to Semi-
Oxidized
|
85.0% silver
recovery
|
3
|
Silver-Lead-Zinc
|
Fresh
|
74.3% silver
recovery
|
4
|
Gold
|
Fresh
(sulfur<1%)
|
98.8% gold
recovery
|
5
|
Gold
|
Fresh (sulfur
~3%)
|
98.5% gold
recovery
|
Rougher
Flotation
|
Sample
#
|
Mineralization
|
Degree of
Oxidization
|
Recovery
|
1
|
Silver-Lead
|
Oxidized
|
72 -77% silver recovery
into silver/lead concentrate
|
2
|
Silver-Lead-Zinc
|
Oxidized to Semi-
Oxidized
|
90-94% silver recovery
and 93-95% zinc recovery into
combined silver/lead and zinc concentrates
|
3
|
Silver-Lead-Zinc
|
Fresh
|
99% silver recovery,
98-99% lead recovery and 96-97% zinc
recovery into combined silver/lead and zinc concentrates
|
Detailed Description
Sample 1
Sample 1 was an oxidized composite silver-lead sample consisting
of drill core rejects from shallow depth (25-66 m) with head grades of 183 g/t silver and
1.20% lead. Zinc content was negligible. The majority of the lead
was present in an oxidized form.
Initial whole ore cyanide leach testing showed that silver
dissolved rapidly in cyanide solution with 84.1% silver recovery.
Further cyanide leach tests along with gravity concentration will
be carried out to improve silver recovery.
Early flotation testing indicated that silver recovery during
rougher flotation was modest in the 72-77% range, and lead recovery
was very poor. Further improvement work is in progress.
Sample 2
Sample 2 was an oxidized to semi-oxidized composite
silver-lead-zinc sample consisting of core rejects from shallow
depth (9-46 m) with head grades of
106 g/t silver, 0.86% lead and 0.47% zinc. A portion of the lead
was present in an oxidized form.
Silver in this sample also dissolved rapidly in cyanide
solution, and silver recovery was 85.0% based on a single cyanide
leach test. Silver recovery is expected to improve further
with additional cyanide leach testing.
Sequential selective flotation was applied to Sample 2 to
produce a silver/lead concentrate and a zinc concentrate. Initial
flotation testing demonstrated promising recoveries for silver
(90-94%) and for zinc (93-95%) into the combined silver/lead and
zinc rougher concentrates. Lead recovery was relatively poor due to
partially oxidized lead minerals. Based on what has been learned
from Sample 1, lead recovery of Sample 2 is expected to increase
considerably when the same approaches are applied.
Sample 3
Sample 3 was a fresh composite silver-lead-zinc sample
consisting of core rejects from 110-172
m depths with head grades of 151 g/t silver, 0.85% lead and
1.28% zinc. Oxidation has not occurred in this sample.
Silver in Sample 3 dissolved very slowly in cyanide solution.
After 72 hours, silver dissolution was still incomplete. Silver
recovery was only 74.3% based on a single cyanide leach test. A
number of options are available to increase silver recovery and
will be explored in future testwork.
As with Sample 2, sequential selective flotation was applied to
Sample 3 to produce separate silver/lead and zinc concentrates.
Initial flotation testing showed excellent flotation performance
for silver, lead and zinc. When silver/lead concentrate and zinc
concentrate are combined, total recoveries were 99% for silver,
98-99% for lead and 96-97% for zinc.
Sample 4
Sample 4 was a fresh composite gold sample consisting of core
rejects with low sulfur content from 425-754
m depths and a head grade of 2.5 g/t gold and 0.62% sulfur.
Contents of silver, lead and zinc were very low. Preliminary
cyanide leach testing demonstrated exceptionally high gold
recoveries in a range of 98.2-99.2%. Gold recovery was very
robust and dropped only by 1.0% after grind size was coarsened from
80% passing 50 µm to 80% passing 150 µm, and cyanide concentration
was reduced from 1.0 g/L NaCN to 0.50 g/L NaCN and oxygen sparging
was replaced with air sparging. Sample 4 did not show any
preg-robbing issue.
Sample 5
Sample 5 was a fresh composite gold sample consisting of core
rejects with high sulfur content from 430-746 m depths and a head grade of 3.88 g/t gold
and 3.07% sulfur. Contents of silver, lead and zinc were also
insignificant. As with Sample 4, exceptionally high gold recoveries
(97.2-99.0%) were achieved from initial cyanide leach tests. Gold
recovery dropped only by 1.8% after grind size was coarsened from
80% passing 50 µm to 80% passing 150 µm, cyanide concentration was
reduced from 1.0 g/L NaCN to 0.50 g/L NaCN and oxygen sparging was
replaced with air sparging. Sample 5 also did not show any
preg-robbing issue.
Preliminary Conclusion
Based on the preliminary metallurgical test results, the
following recommendations can be made with respect to the selection
of flowsheet for the future process plan:
For gold materials represented by Sample 4 and Sample 5, a
simple process based on cyanide leach and carbon-in-pulp (CIP) can
potentially achieve an average of 98.6% gold recovery. A
gravity concentration may be included to reduce gold lockup in the
circuit. Gold dore will be the final product.
For silver-lead-zinc materials represented by Sample 2 and
Sample 3, separate silver/lead concentrate and zinc concentrate
will be produced by sequential selective flotation. The silver/lead
concentrate may further be treated by cyanide leach to enable
silver dore production at the mine site. The residue after cyanide
leach can still be sold as silver/lead concentrate, although with
significantly lower silver content.
For silver-lead-zinc materials represented by Sample 1, if lead
can be effectively concentrated via flotation, the silver/lead
concentrate will be produced first via bulk flotation. Gravity
concentration may be included to increase silver and lead
recoveries. The resultant silver/lead concentrate may also be
treated by cyanide leach to enable silver dore production at the
mine site. The residue from cyanide leach will be sold as
silver/lead concentrate. If the residue from cyanide leach
cannot be sold as silver/lead concentrate, a fallback option for
the materials similar to Sample 1 is the whole ore cyanide leach
for silver dore production.
QUALIFIED PERSON
This metallurgy test program was designed and supervised by Dr.
Jinxing Ji who is an internationally
recognized metallurgist with more than 25 years experience in
working for senior Canadian mining companies related to gold,
silver, copper, zinc and lead recovery, including
mineral/metallurgical research and test work, development of
process flowsheet and process design criteria, scoping study,
pre-feasibility study, feasibility study, engineering design, plant
commissioning and plant operational support/optimization for
projects/mines in Turkey,
Greece, Canada, China, Romania, Brazil and Papua New
Guinea. Dr. Ji was the Director, of Metallurgical Services
for Eldorado Gold Corp. for 15 years and the Consulting/Research
Metallurgist for Placer Dome Inc. for 10 years.
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 in Bolivia. The Company's flagship Project, the
Silver Sand Silver Project, is expected to deliver a new Mineral
Resource Estimate Update and a PEA by the end of 2022. The recently
discovered Carangas Silver-Gold Project is undergoing a
40,000 m drill program. The third
project, the Silverstrike Silver-Gold Project, commenced a
6,000 m discovery drill program in
June 2022 and a near surface broad
gold zone was discovered its first drill hole.
For further information, please contact:
New Pacific Metals Corp.
Phone: (604) 633-1368
U.S. & Canada toll-free:
1-877-631-0593
E-mail: invest@newpacificmetals.com
For additional information and to receive company news by e-mail,
please register using New Pacific's website at
www.newpacificmetals.com.
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 anticipated exploration, drilling,
development, construction, and other activities or achievements of
the Company; timing of receipt of permits and regulatory approvals;
timing and content of the PEA, and 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 for the year ended
June 30, 2021 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
of the Company's Bolivian partner to convert the exploration
licenses at the Carangas Project to AMC; 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 the securities laws in effect in Canada which differ from the
requirements of United States
securities laws. The technical and scientific information
contained herein has been prepared in accordance with
NI 43-101, which differs from the standards adopted by the U.S.
Securities and Exchange Commission (the "SEC").
Accordingly, the technical and scientific information contained
herein, including any estimates of mineral reserves and
mineral resources, may not be comparable to similar information
disclosed by U.S. companies subject to the disclosure
requirements of the SEC.
Additional information relating to the Company, including the
Company's Annual Information Form, can be
obtained under the Company's profile on SEDAR at
www.sedar.com, on EDGAR at www.sec.gov, and on the Company's
website at www.newpacificmetals.com.
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SOURCE New Pacific Metals Corp.