New Pacific Metals Corp. announced an updated Mineral Resource Estimate for the Silver Sand Project, which is part of the on-going Preliminary Economic Assessment ("PEA") study of the Project. The PEA study is on track to be completed by the end of 2022.

The Mineral Resource is reported in accordance with National Instrument 43-101 ("NI 43-101") for its 100% owned Silver Sand Project, Bolivia. The estimate was completed by AMC Mining Consultants (Canada) Ltd. Mineral Resources are stated at a 30 g/t silver cut-off grade and the model is depleted for historical mining activities: CIM Definition Standards (2014) were used for reporting the Mineral Resources. The Qualified Person is Dinara Nussipakynova, P.Geo.

of AMC Mining Consultants (Canada) Ltd. Mineral Resources are constrained by optimized pit shells at a metal price of USD 22.50/oz Ag, recovery of 91% Ag and cut-off grade of 30 g/t Ag. Drilling results up to 25 July 2022. The numbers may not compute exactly due to rounding.

Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. The Mineral Resource Estimate is based on a geological model that included assay results received by New Pacific for the Silver Sand deposit to 25 July 2022. Mineralization wireframes were constructed by New Pacific with LeapFrog© software.

The 131 domains were reviewed by the independent Qualified Person ("QP") and were accepted for estimation purposes. Over 82% of the volume was contained in the two largest domains. AMC completed an ordinary kriging ("OK") estimate on the four largest domains and inverse distance squared ("ID2") was used in the other domains.

Prior to estimation, drill hole data were composited to an average of 1.2 m samples and were capped for all variables within each domain where required. Capping value for silver was 2,000 g/t Ag for all domains. In addition to the estimate completed inside the domains, a background OK estimate was also completed outside of mineralization wireframes.

For the mineralized domains the parent block size was 2.5 mE x 5 mN x 2.5 mRL with sub-blocking employed. Sub-blocking resulted in minimum cell dimensions of 1.25 mE x 0.5 mN x 1.25 mRL. The background mineralization (outside the mineralization domains) was estimated with a parent block dimension of 5 mE x 10 mN x 5 mRL.

As mineralization is hosted in one rock type, the QP assigned bulk density measurements to the block model based on the mean bulk density. Density values of 2.54 tonnes/m3 was assigned to both blocks inside and outside of the mineralized domains. Mineral Resource classification was completed using an assessment of geological and mineralization continuity, data quality and data density.

Estimation passes were used as an initial guide for classification. Wireframes were then generated manually to build coherent volumes for the different classes. The block model was classified as Measured, Indicated, and Inferred Mineral Resources as appropriate.

HQ-size drill core samples from altered and mineralized intervals are split into halves by diamond saw, with an average sample length of between one to one and a half metres at the Company's core processing facility located in Betanzos, a small town located 20 kilometres from the project site. Half core samples are stored in a secure storage facility in Betanzos for future reference, with the other half shipped in securely sealed bags to ALS Global in Oruro, Bolivia for preparation, and ALS Global in Lima, Peru for geochemical analysis. All samples are first analyzed by a multi-element ICP package (ALS code ME-MS41) with ore grade over limits for silver, lead and zinc further analyzed using ALS code OG46.

Further silver over limits are analyzed by gravimetric analysis (ALS code of GRA21). A standard quality assurance and quality control ("QA/QC") protocol is employed to monitor the quality of sample preparation and analysis. Standards of certified reference materials and blanks are inserted into the normal core sample sequences prior to shipping to the lab at a ratio of 20:1 (i.e., every 20 samples contain at least one standard sample and one blank sample).

Duplicate samples of coarse rejects at a ratio of 20:1 are sent to a second internationally accredited lab for check analysis. The assay results of QA/QC samples of standards and blanks do not show any significant bias of analysis or contamination during sample preparation. The QP, Dinara Nussipakynova, P.Geo.

considers sample preparation, analytical, and security protocols employed by New Pacific to be acceptable. The QP has reviewed the QA/QC procedures used by New Pacific including the use of certified reference materials, blank, duplicate, and umpire data, and considers the assay database to be adequate for Mineral Resource estimation.