New Pacific Reports Financial Results for the Three and Nine Months Ended March 31, 2018
NEWS RE ELEASE
Trading S Symbol: TSX V Venture: NUA AG
NEW PA ACIFIC REPOR RTS FINANCIA AL RESULTS F FOR THE THRE EE AND NINE E MONTHS EN NDED MARCH H 31, 2018
VANCOU UVER, BRITIS SH COLUMBIA A – MAY 18, 2018: Ne ew Pacific M
Metals Corp. (“New Pacif fic” or the “Compan ny”) today an nnounced its unaudited condensed co onsolidated in nterim financ cial results for the three and nine months ende ed March 31, , 2018.
This earn nings release should be re nt Discussion & Analysis, ead in conjunc ction with the Company's Managemen eriod, which have been Financial Statements and Notes t to Financial Statements f for the corre esponding pe dar.com and are also available on the Company's posted u under the Com mpany’s prof file on SEDAR R at www.sed ressed in Canadian dollars website a at www.newp pacificmetals s.com. All figures are expr s (CAD) unless s otherwise stated.
FINANCIA ALS
Net loss a attributable to
- equity holde ers of the Com
mpany for the t three months ended March 31, 2018 was $258,719 or 466 or $0.02 per share). The $0.00 per r share (three m months ended d March 31, 20 017 ‐ net incom me of $1,570,4 e Company’s financial r results were m mainly impacte ed by the follo owing: (i) loss f from investme ents of $35,55 51 compared t to income of change loss of $153,676 in $2,420,12 22 in the prior year; (ii) forei ign exchange g gain of $474,4 432 compared to foreign exc the prior y year; and, (iii) operating exp penses of $748 8,893 compare ed to $698,410 0 in the prior y year.
For the ni ine months en nded March 31 1, 2018, net los ss attributable e to equity holders of the Co ompany was $2 2,906,517 or $0.02 per r share compared to net inco ome of $2,924 4,118 or $0.04 per share for nine months e ended March 3 31, 2017.
Loss from m investments
s for the three e months end ded March 31, , 2018 was $3 35,551 (three months ended d March 31, value change and interest 2017 ‐ inc come of $2,42 20,122). Withi in the loss from m investments s, loss of $76,9 987 from fair v earned on n bonds was p partially offset by gain of $40 0,235 on the Co ompany’s equ uity investment ts.
For the ni ine months en nded March 31 1, 2018, loss fr rom investments was $543,962 compared d to income of f $3,741,354 for the nine months end ded March 31, 2017.
months ended March 31, 20
Operating
g expenses fo or the three m 018 were $748,893 (three m months ended d March 31, 2017 ‐ $6 698,410). For the nine mon nths ended Ma arch 31, 2018, , operating ex xpenses were $2,487,090 (n nine months ended March 31, 2017 se in operating expenses was a result of the Company 7 ‐ $1,350,664). The increas y’s increased activity.
Foreign e exchange gain
n for the three e months ende ed March 31, 2018 was $47 74,432 (three months ended d March 31, 2017 ‐ fo oreign exchang ge loss of $15 53,676). The C Company hold ds a large por rtion of cash a and cash equi ivalents and bonds in US dollars wh hile the Comp pany’s functio onal currency is the Canadian dollar. The e fluctuation i in exchange rates betw ween the US d dollar and Can nadian dollar w will impact the e financial res sults of the Co ompany. Durin ng the three months ended March 31, 2018, the US dollar appreciated by 2.8% against Canadian dollar (from 1.2545 to 1.2894) while during the three months ended March 31, 2017 the US dollar depreciated by 0.8% against Canadian dollar (from 1.3427 to 1.3322).
For nine months ended March 31, 2018, foreign exchange loss was $64,763 (nine months ended March 31, 2017 – foreign exchange gain of $445,152).
SILVER SAND PROJECT
The Company started the preparation work for the planned exploration program after the acquisition of the Silver Sand Project. In October 2017, the Company successfully received exploration permits required by the relevant Bolivian government authorities and immediately commenced a 30,000 metre exploration drilling program on the property. For the three and nine months ended March 31, 2018, total expenditures of $2,292,123 and $3,646,522, respectively, were capitalized under the property. These expenditures were mainly related to the drilling program, site and camp preparation, maintaining a regional office in La Paz, and building a competent management team and workforce for the property.
ABOUT NEW PACIFIC
New Pacific Metals Corp. is a Canadian exploration and development company which owns the Silver Sand Project, in the Potosi Department of Bolivia, the Tagish Lake Gold Project in Yukon, Canada, and the RZY Project in Qinghai Province, China.
For further information, please contact:
New Pacific Metals Corp.
Investor Relations Phone: (604) 633‐1368 Fax: (604) 669‐9387 [email protected] www.newpacificmetals.com
CAUTIONARY NOTE REGARDING FORWARD‐LOOKING INFORMATION
Certain of the statements and information in this press release constitute “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.
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: fluctuating equity prices, bond prices, commodity prices; calculation of resources, reserves and mineralization, foreign exchange risks, interest rate risk, foreign investment risk; loss of key personnel; conflicts of interest; dependence on management and others.
This list is not exhaustive of the factors that may affect any of the Company’s forward‐looking statements or information. Forward‐looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward‐looking statements or information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Company’s Annual Information Form for the year ended June 30, 2017 under the heading “Risk Factors”. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended. Accordingly, readers should not place undue reliance on forward‐ looking statements or information.
The Company’s forward‐looking statements or information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward‐looking statements or information if circumstances or management’s assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward‐looking statements or information.