New Pacific Metals Positioned to Capitalize on Global Silver Supply-Demand Imbalance
TL;DR
New Pacific Metals offers investors a competitive edge with its Silver Sand project's robust economics, including a 37% IRR and two-year payback at current silver prices.
New Pacific's Silver Sand project in Bolivia has a 13-year mine life producing 12M oz silver annually, with AISC of $10.69/oz and NPV of $740M at $24/oz silver.
New Pacific's silver production supports global sustainability by supplying critical metals for solar panels and electric vehicles, advancing clean energy technologies worldwide.
New Pacific's Silver Sand project ranks among the world's most advanced silver developments, poised to become one of Bolivia's largest silver mines.
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New Pacific Metals Corp. is positioned to benefit from intensifying global silver demand driven by industrial applications including solar panels and electric vehicles, while supply remains constrained. The company's flagship Silver Sand project in Bolivia represents one of the most advanced silver developments currently underway, according to industry analysis available at https://ibn.fm/W5rDb. A preliminary feasibility study released in June 2024 outlines compelling economics for the Silver Sand project. The study projects a 13-year mine life with annual production of 12 million ounces of silver, increasing to 15 million ounces during initial years of operation.
At a silver price of US$24 per ounce, the project demonstrates a post-tax net present value of US$740 million and an impressive internal rate of return of 37%. The project's cost structure appears highly competitive, with all-in sustaining costs estimated at just US$10.69 per ounce. This cost efficiency contributes to an expected payback period of under two years, making the project particularly attractive in the current market environment. These strong financial metrics come at a time when silver demand continues to outpace supply, creating favorable conditions for new production.
Beyond the Silver Sand project, New Pacific maintains additional precious metal assets in Bolivia. The company is advancing its Carangas project, which contains robust silver-lead-zinc deposits with high-margin potential. Additionally, the company completed a discovery drill program at its Silverstrike property in 2022, further expanding its exploration footprint in the region. Investors can access the latest updates and news regarding New Pacific Metals through the company's newsroom at https://ibn.fm/NEWP.
The combination of strong project economics, favorable market conditions, and strategic positioning in Bolivia places New Pacific Metals in an advantageous position to capitalize on the structural supply-demand imbalance in the global silver market. The company's development timeline coincides with projected increases in industrial silver consumption, particularly from renewable energy and electric vehicle manufacturing sectors. This timing is critical as the global transition to clean energy technologies continues to drive unprecedented demand for silver, while existing mine production struggles to keep pace with consumption requirements.
Curated from InvestorBrandNetwork (IBN)
