Analysts from three financial firms visited New Pacific Metals Corp.'s two Bolivian mining projects in October and came away with increased optimism, with BMO Capital Markets raising its price target on the company to $12 from $8.82. The visits highlight the development potential of the Silver Sands and Carangas projects as Bolivia's new government courts foreign investment and global silver demand continues to outstrip supply.
New Pacific Metals, a Vancouver-based exploration and development company listed on the NYSE and TSX, is advancing Silver Sands through a Pre-Feasibility Study. The project has the potential to produce between 12 million and 15 million ounces of silver annually, according to the company. Carangas, meanwhile, features an updated Preliminary Economic Assessment indicating potential production of up to 15.5 million ounces of silver annually during its initial high-grade phase. A 30,000-metre drill campaign is currently underway at Carangas.
BMO analyst Kevin O'Halloran pointed to a framework agreement with the local community at Carangas signed earlier this year and Administrative Mining Contracts that the government is expected to sign by year-end. At Silver Sands, he cited continued progress with the community to advance development. "New Pacific's two flagship projects have made meaningful progress over the past two years, coinciding with a political shift in the country that appears significantly more receptive to private investment in natural resources projects," O'Halloran wrote. "Together, these projects represent meaningful silver production of over 27Mozpa, and we see valuation upside for NUAG shares as they are advanced."
Roth Capital Partners analyst Joe Reagor, who visited both mines with a team, suggested further catalysts could be ahead. "There appears to be significant regional exploration potential that could provide positive catalysts for New Pacific in the quarters ahead," Reagor wrote. He noted that New Pacific has identified exploration targets outside the existing resource at Carangas and that three drills were operating during the visit. Roth has a buy rating on the stock.
ATB Cormark Capital Markets analysts said the site visits reinforced their conviction that the two projects are among the "best undeveloped silver deposits globally." They cited the removal of widespread roadblocks from citizen protests earlier this year and anticipated positive headlines related to permitting and political developments. "Combined, New Pacific Metals' projects could produce nearly 20 million ounces per year of silver, enough to move the needle for any large primary-silver producer," the analysts wrote, adding that the combined production potential makes New Pacific a clear takeout target if the projects are advanced through permitting.
The bullish commentary comes as silver demand from electric vehicles, AI data centers, and green energy continues to outpace supply, with 2025 marking the fifth consecutive year of a supply/demand imbalance. Bolivia holds vast undeveloped silver and gold resources, and the new government has restructured the Ministry of Mining and Metallurgy and is drafting new regulations aimed at attracting foreign capital. The government has also shown interest in prioritizing tier-1 silver projects, which favors New Pacific.
For readers interested in learning more about New Pacific Metals and its two Bolivian mining projects, the company's website provides click here. The original content was published on Benzinga, and disclosures are available here. The release was distributed by NEWMEDIAWIRE.
