New Pacific Metals touts nearly C$70M on hand to advance silver projects in Bolivia in 3Q results

New Pacific Metals Corp (CVE:NUAG) (OTCQX:NUPMF) (FRA:3N7) reported third-quarter financial results after the bell Wednesday, revealing C$68.9 million in cash-on-hand to advance its Silver Sand and Silverstrike projects in Bolivia. 

During the quarter, New Pacific continued to expand the Snake Hole zone at Silver Sand, intersecting 30.9 meters (m) at levels of 159 grams per ton (g/t) of silver, including 12.2m at 354 g/t silver. 

The company also commenced field work on the Silverstrike project, and the results have indicated good to excellent potential for both high-grade and near-surface bulk-tonnage silver-rich polymetallic mineralization at the Silverstrike North area.

READ: New Pacific Metals extends broad areas of silver mineralization at its Silverstrike project in Bolivia

For the three months ended September 30, New Pacific posted a loss of C$1.51 million or C$0.01 per share, compared to net income of C$1.29 million or C$0.01 per share, in the same period in 2019.

It attributed the results to the decline in income from investments to C$840,000 from C$2.1 million and a rise in operating expenses to C$2 million from $1 million. A foreign exchange shift to C$320,000 from a C$180,000 also had an impact.

New Pacific holds a large portion of cash and cash equivalents and bonds in US dollars while its functional currency is the Canadian dollar. The fluctuation in exchange rates between the US dollar and the Canadian dollar will impact its financial results of the, the company said. During the three months ended September 30, 2020, the US dollar depreciated 2.1% against the Canadian dollar, while in the prior-year quarter, the US dollar appreciated 1.2%.

Also in the quarter, New Pacific graduated from the TSX Venture Exchange to the Toronto Stock Exchange and was added to the VanEck Vectors Junior Gold Miners ETF.

Looking ahead, New Pacific’s exploration team is currently completing mapping and sampling of the Silverstrike Central and South areas summary results. After integrating the geochemical sample results, the company will generate drill targets for testing. It will then work on getting the necessary drill permits that are tentatively expected to come through in the fourth quarter.

Contact Andrew Kessel at [email protected]

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Story by ProactiveInvestors