New Pacific Metals Corp. Completes $24.3 Million Private Placement
Dec 22, 2010
Vancouver, British Columbia (December 22, 2010) - New Pacific Metals
Corp. (TSX-V: "NUX") ("New Pacific"), announces that, further to its
press releases dated December 3, 2010 and December 6, 2010, New Pacific has
completed the brokered private placement (the "Brokered Private Placement") of
11,500,000 units ("Units") of New Pacific at a price of $1.35 per Unit and
non-brokered private placement (the "Non-Brokered Private Placement") of
6,500,000 Units of New Pacific at a price of $1.35 per Unit. The Brokered
Private Placement was conducted on a best efforts basis by Salman Partners Inc.
and Raymond James Ltd. (the "Agents"). The Agents fully exercised an
over-subscription option granted by New Pacific to place an additional 1,000,000
Units at $1.35 per Unit. Each Unit is comprised of one common share and one-half
of one common share purchase warrant. Each whole warrant is exercisable at $2.00
per common share for an 18 month period expiring June 22, 2012.
The
proceeds of both private placements will be used to finance continuing
exploration and development activities of New Pacific's exploration projects and
for its general working capital.
In connection with the Brokered Private
Placement, the Agents received a cash commission of 6% of the gross proceeds
raised under the Brokered Private Placement and that number of transferable
broker warrants equal to 3% of the aggregate number of Units sold under the
Brokered Private Placement.
All securities issued pursuant to the private
placements are subject to a four month hold period expiring on April 23,
2011.
About New Pacific Metals
New Pacific is
engaged in the exploration and development of mineral resources in Canada and
China. New Pacific's strategy is to focus on projects which it believes can be
developed in a relatively short time frame into high-margin operations with
reasonable development capital profiles. Its goal is to get projects into
production with sufficient initial resources, but before the full resource
potential of the properties are defined, so that later exploration and potential
development costs can be funded from the cash flows generated from early
operations.
For Further Information:
New Pacific Metals
Corp.
Investor Relations
Phone: +1 (604) 633-1368
Fax: +1
(604) 669-9387
Email: [email protected]
Website: www.newpacificmetals.com
Forward Looking
Information
This news release may contain forward-looking
statements (within the meaning of applicable securities laws) relating to New
Pacific. Forward-looking statements are identified by words such as "believe",
"anticipate", "expect", "intend", "plan", "will", "may" and other similar
expressions. This information involves known and unknown risks, uncertainties
and other factors that may cause actual results or events to differ materially
from those anticipated in such forward-looking information. Forward-looking
information in this news release includes, without limitation, statements made
in respect to the disclosed use of proceeds. All forward-looking statements in
this news release are qualified by these cautionary statements. Forward-looking
statements involve significant risks and uncertainties, should not be read as
guarantees of future performance or results, should not be unduly relied upon
and will not necessarily be accurate indications of whether or not such results
will be achieved. Forward-looking information is based on various material
factors or assumptions, which are based on information currently available to
the New Pacific. Although the forward-looking statements contained in this news
release are based upon what management believes are reasonable assumptions, New
Pacific cannot assure readers that actual results will be consistent with these
forward-looking statements. The forward-looking statements contained in this
news release are made as of the date of this news release and should not be
relied upon as representing the New Pacific's views as of any date subsequent to
the date of this news release. New Pacific assumes no obligation to update or
revise these forward-looking statements to reflect new information, events,
circumstances or otherwise, except as required by applicable law.
Neither TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this
release.
THIS PRESS RELEASE, REQUIRED BY APPLICABLE CANADIAN
LAWS, IS NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE
UNITED STATES, AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED
HEREIN. THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES
SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE
OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR
EXEMPT THEREFROM.