New Pacific Metals Corp. (TSX: NUAG) (NYSE American: NEWP), a Canadian exploration and development company, has reported its financial results for the fiscal year ended June 30, 2026, and provided an update on its Carangas Silver-Gold Project in Bolivia. The company reported a net loss attributable to equity holders of $990,000, or $0.01 per share, for the quarter and $4.19 million, or $0.02 per share, for the year. As of June 30, New Pacific had working capital of $37.76 million.
Subsequent to the fiscal year-end, New Pacific signed 30-year Administrative Mining Contracts covering approximately 39 square kilometers of the Carangas Project. These contracts will be submitted to the Plurinational Legislative Assembly of Bolivia for ratification and approval. The company also filed an updated preliminary economic assessment (PEA) for Carangas, which outlines a post-tax net present value at a 5% discount rate of $2.65 billion and an internal rate of return of 35.9% at stated base-case metal prices. The assessment details a 19-year mine life, excluding two years of pre-production, initial capital costs of $644.5 million, and a post-tax payback period of 2.4 years.
The signing of the 30-year mining contracts represents a critical step toward development, providing long-term security and a clear path to production. The PEA's robust economics underscore the project's potential to generate substantial value. For New Pacific, these advancements could transform the company from an explorer to a producer, enhancing its portfolio alongside its Silver Sand project in Potosí, which has the potential to become one of the world's largest silver mines. The Carangas project in Oruro adds scale and regional exploration potential, positioning New Pacific as a significant player in Bolivia's mining sector.
For the local and regional economy, the development of Carangas could bring investment, job creation, and infrastructure improvements. Bolivia's mining industry stands to benefit from increased foreign investment and technical expertise. The project's approval by the Plurinational Legislative Assembly will be a key milestone to watch, as it will determine the timeline for construction and operation.
New Pacific has nearly a decade of operating experience in Bolivia, which has helped it earn the confidence of stakeholders and shareholders. The company's ability to navigate the regulatory environment and secure long-term contracts demonstrates its commitment to responsible development. As the global demand for silver and gold continues, projects like Carangas could play a role in meeting future supply needs.
Investors and industry observers can find more details in the full press release available at https://ibn.fm/j1PNI. The latest news and updates relating to NEWP are available in the company's newsroom at http://ibn.fm/NEWP. Additionally, Rocks & Stocks, a specialized communications platform delivering insights into the mining industry, provides further information at https://RocksAndStocks.news, with terms of use and disclaimers at https://RocksAndStocks.news/Disclaimer.
The implications of New Pacific's progress extend beyond the company. Successful development of Carangas could attract further investment to Bolivia's mining sector, fostering economic growth and demonstrating the viability of large-scale projects in the region. As the project moves through permitting and toward potential construction, it will be closely watched by stakeholders and competitors alike.
