New Pacific Metals Secures Long-Term Mining Contracts for Carangas Silver Project

New Pacific Metals has secured 30-year Administrative Mining Contracts for its Carangas silver project in Bolivia, which is expected to reduce uncertainty around tenure and give the team room to de-risk the asset through resource upgrades and technical work.

The company's focus on advancing Carangas and Silver Sand comes at a time when silver demand from electric vehicles, AI data centers, and green energy is increasing. This places extra focus on large undeveloped deposits like those in Bolivia.

The new contracts are seen as a significant milestone for New Pacific Metals, which currently has zero revenue and ongoing losses. The company's share price has lifted following the news, but analysts still have some concerns around execution, capital intensity, and timing of funding large-scale development in a higher-risk jurisdiction.