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Discovery Drill Hole Intercepts 72.4 Metre Mineralization Grading 279 Grams PER Tonne Silver, Including 33 Metre Mineralization Grading 517 Grams PER Tonne Silver at the Snake Hole Prospect, Silver SAND Project

Drill Results

NEWS RELEASE

Trading Symbol: TSX-V: NUAG

OTCQX: NUPMF

DISCOVERY DRILL HOLE INTERCEPTS 72.4 METRE MINERALIZATION GRADING 279 GRAMS PER TONNE

SILVER, INCLUDING 33 METRE MINERALIZATION GRADING 517 GRAMS PER TONNE SILVER

AT THE SNAKE HOLE PROSPECT, SILVER SAND PROJECT

Vancouver, British Columbia – January 13, 2020 – New Pacific Metals Corp. (TSX-V: NUAG) (OTCQX:

NUPMF) (“New Pacific” or the “Company”) is pleased to announce the assay results of the first 19 holes

of the initial 24 hole, 6,000 metres, exploration d rill program at the Snake Hole prospect, Silver San d

Project, Bolivia. Snake Hole is one of nine high p riority silver targets identified by the Company an d is

located approximately 600 metres east of the core a rea of the Silver Sand Project. Fifteen of the

nineteen drillholes returned significant results de fining structurally controlled, sandstone-hosted, s ilver

mineralization similar to the main Silver Sand area. Drill highlights are as follows:

• DSS5218 - 72.44m @ 279g/t Ag from 60.5m to 132.94m including 32.96m @ 517g/t Ag from

84.95m to 117.9m;

• DSS525020 - 38.4m @ 143g/t Ag from 29.9m to 68.3m including 6.2m @ 749g/t Ag from 36.8m

to 43.0m; and

• DSS5217 - 11.12m @ 761g/t Ag from 149.48m to 160.

Details of drill intercepts are provided in Table-1, and drill location, azimuth and dip of holes provided in

Table-2.

SNAKE HOLE

The prospect consists of artisanal underground work ings on structures that trend NNW-SSE. The

workings and associated surface mine dumps were sta rted in the Spanish colonial era and have

continued sporadically to recent times. The workin gs are developed in altered (bleached) quartz

sandstones and are traceable over more than 1,000 metres strike length with widths varying from a few

metres up to 100 metres extent. Geochemical sampli ng of the workings and mine dumps returned

encouraging results typically ranging from 100g/t Ag to 300g/t Ag.

Surface mapping suggests that the mineralized fracture zone remains open to north where it potentially

trends undercover towards the Company’s Jisas prosp ect located approximately two kilometres to the

northwest.

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EXPLORATION DRILLING

Exploration drilling commenced in late August 2019 and a total of 24 drill holes were completed by

December for approximately 6,000 metres. The drill holes are predominantly oriented north 60 degrees

east with dips varying from 45 degrees to 80 degree s. This initial campaign has provided a drill test of

circa 750 metres of the structural zone with the re sults released covering approximately 400 metres of

the southern portion of the Snake Hole structural trend as currently defined.

The majority of the drill holes have intersected si lver mineralization as characterized by coarse grains of

sulfosalts (freibergite) in fractures of bleached s andstones with associated disseminated pyrite. Gra de

and thickness of mineralization increases to the north. Results from the five remaining holes which t est

the northern portion of the trend are pending and will be released upon receipt.

QUALITY ASSURANCE AND QUALITY CONTROL

HQ-size drill core samples from altered and mineralized intervals were split into halves by diamond saw,

with an average sample length of between one to one and half metres at the Company’s core processing

facility located in Betanzos, a small town located 20 kilometres from the project site. Half core sam ples

are stored in a secure core storage facility in Bet anzos for future reference, and the other half core

samples are 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 limi ts 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 (“QAQC”) protocol was employed to monitor the quality

of sample preparation and analysis. Standards of certified reference materials and blanks were inserted

in normal core sample sequences prior to shipment t o 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 pulp rejects at a ratio

of 20:1 will be sent to a second internationally ac credited lab for check analysis. The assay results of

QAQC samples of standards and blanks did not show a ny significant bias of analysis or contamination

during sample preparation.

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 NI 43-101.

ABOUT NEW PACIFIC

New Pacific is a Canadian exploration and developme nt company which owns the Silver Sand Project in

Potosí Department, Bolivia and the Tagish Lake gold project in Yukon, Canada.

For further information, contact:

New Pacific Metals Corp.

Gordon Neal

President

Phone: (604) 633-1368

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Fax: (604) 669-9387

[email protected]

www.newpacificmetals.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the p olicies of the

TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements and information in this n ews release constitute “forward-looking information ” within the

meaning of applicable Canadian provincial securitie s laws. Any statements or information that express or involve

discussions with respect to predictions, expectatio ns, beliefs, plans, projections, objectives, assump tions or future

events or performance (often, but not always, using words or phrases such as “expects”, “is expected”, “anticipates”,

“believes”, “plans”, “projects”, “estimates”, “assu mes”, “intends”, “strategies”, “targets”, “goals”, “forecasts”,

“objectives”, “budgets”, “schedules”, “potential” o r variations thereof or stating that certain action s, 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 o f historical fact and may be forward-looking statem ents or

information.

Forward-looking statements or information are subje ct to a variety of known and unknown risks, uncerta inties and

other factors that could cause actual events or res ults to differ from those reflected in the forward- looking

statements or information, including, without limit ation, risks relating to: fluctuating equity prices , bond prices,

commodity prices; calculation of resources, reserve s and mineralization, foreign exchange risks, inter est 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 statem ents or

information. Forward-looking statements or informat ion are statements about the future and are inheren tly

uncertain, and actual achievements of the Company o r other future events or conditions may differ mate rially from

those reflected in the forward-looking statements o r information due to a variety of risks, uncertaint ies and other

factors, including, without limitation, those refer red to in the Company’s Annual Information Form for the year

ended June 30, 2019 under the heading “Risk Factors ”. Although the Company has attempted to identify i mportant

factors that could cause actual results to differ materially, there may be other factors that cause re sults not to be as

anticipated, estimated, described or intended. Acco rdingly, readers should not place undue reliance on forward-

looking statements or information.

The Company’s forward-looking statements or informa tion are based on the assumptions, beliefs, expecta tions and

opinions of management as of the date of this news release, and other than as required by applicable s ecurities

laws, the Company does not assume any obligation to update forward-looking statements or information i f

circumstances or management’s assumptions, beliefs, expectations or opinions should change, or changes in any

other events affecting such statements or informati on. For the reasons set forth above, investors shou ld not place

undue reliance on forward-looking statements or information.

CAUTIONARY NOTE TO US INVESTORS

This news release has been prepared in accordance w ith the requirements of NI 43-101 and the Canadian Institute

of Mining, Metallurgy and Petroleum Definition Stan dards, which differ from the requirements of U.S. S ecurities

laws. NI 43-101 is a rule developed by the Canadia n Securities Administrators that establishes standa rds for all

public disclosure an issuer makes of scientific and technical information concerning mineral projects.

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Table 1 – Composited Drill Intersections of Mineralization

Hole_id Section Mineralized Intervals

From (m) To (m) Length (m) Ag_g/t Pb_% Zn_% note

DSS5015 50 126.76 132.21 5.45 67 0.05 0.05

DSS505016 5050 110.75 132.95 22.20 38 0.09 0.09

incl. 110.75 112.15 1.40 311 0.09 0.06

DSS505017 5050 No Significant Results

DSS5216 52 59.68 60.75 1.07 116 0.01 0.00

100.62 101.77 1.15 109 0.03 0.01

130.70 133.00 2.30 41 0.09 1.06

DSS5217 52 149.48 160.60 11.12 761 0.20 0.05

DSS5218 52 60.50 132.94 72.44 279 0.06 0.04

incl. 84.95 117.91 32.96 517 0.10 0.06

DSS5219 52 No Significant Results

DSS5221 52 No Significant Results

DSS525020 5250 29.90 68.30 38.40 143 0.03 0.01

incl. 36.80 43.00 6.20 749 0.09 0.03

104.00 133.82 29.82 49 0.06 0.06

DSS5419 54 35.30 36.77 1.47 212 0.07 0.00

114.84 116.00 1.16 122 0.03 0.56

125.47 126.97 1.50 405 0.24 0.31

DSS5420 54 30.28 32.75 2.47 37 0.00 0.00

DSS545012 5450 47.86 54.93 7.07 233 0.03 0.00

DSS5609 56 110.30 116.13 5.83 50 0.01 0.00

130.80 134.00 3.20 158 0.06 0.01

DSS565004 5650 42.28 44.50 2.22 313 0.08 0.00

104.12 113.50 9.38 35 0.00 0.00

DSS5809 58 No Significant Results

DSS5810 58 17.50 21.00 3.50 74 0.01 0.01

DSS5811 58 11.70 21.00 9.30 30 0.06 0.00

DSS5812 58 27.04 28.33 1.29 134 0.08 0.00

108.38 119.00 10.62 62 0.00 0.00 1.65m mined out

DSS5813 58 57.87 59.10 1.23 92 0.04 0.01

Notes: g/t = grams per metric tonne.

The table above is intended to show highlights of t he drilling program only. The intercepts

shown are a weighted average of the sample lengths and grades of all of the samples within that

intercept and may include some samples with grades less than 30 g/t silver.

Intersections may contain samples less than 30 g/t silver between higher grade subintervals.

Intervals are drill core length in meters. True wi dth of mineralization zones is unknown at this

point but estimated from 50% to 80% of drill interv als based on current understanding of

mineralized structures.

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Table 2– Location, Azimuth and Dip of Drill Holes

Hole_id Easting Northing Elevation Depth (m) Azimuth (°) Dip (°)

DSS5015 235,531.80 7,857,081.46 3,814.70 292.25 60 -45

DSS505016 235,564.09 7,857,039.71 3,805.84 287.30 60 -45

DSS505017 235,562.28 7,857,038.76 3,805.82 224.70 60 -80

DSS5216 235,594.50 7,857,002.24 3,797.39 263.30 60 -45

DSS5217 235,592.52 7,857,001.39 3,797.46 287.70 60 -80

DSS5218 235,592.95 7,857,001.73 3,797.49 230.60 60 -64

DSS5219 235,593.55 7,857,002.16 3,797.55 224.70 240 -80

DSS5221 235,593.08 7,857,001.84 3,797.60 251.6 240 -65

DSS525020 235,613.00 7,856,960.05 3,795.01 260.30 60 -45

DSS5419 235,634.12 7,856,915.86 3,792.87 248.30 60 -45

DSS5420 235,631.59 7,856,912.69 3,792.83 254.10 240 -40

DSS545012 235,654.97 7,856,865.25 3,794.96 236.30 65 -45

DSS5609 235,678.73 7,856,819.46 3,796.09 197.30 60 -45

DSS565004 235,707.19 7,856,777.10 3,801.70 206.30 60 -50

DSS5809 235,840.47 7,856,810.03 3,715.87 200.10 240 -40

DSS5810 235,840.45 7,856,811.46 3,715.71 116.10 195 -40

DSS5811 235,839.48 7,856,811.93 3,715.72 164.10 285 -40

DSS5812 235,734.31 7,856,735.69 3,809.59 236.30 60 -52

DSS5813 235,730.69 7,856,733.81 3,809.74 260.10 240 -40

Notes: coordinate system is WGS84, UTM20 South