New Pacific Metals Corp. has signed a Framework Agreement for Cooperation and Coordination with the Carangas community regarding its Carangas silver-gold project in Bolivia's Oruro Department. This agreement establishes foundational terms for transparency, mutual benefit, and long-term collaboration as the project progresses toward potential production.
The framework outlines the company's commitments to responsible development, environmental compliance, community investment, and resettlement planning. In return, the Carangas community has agreed to support consultation processes, permitting activities, and project access. This bilateral agreement represents a critical step in securing the social license to operate, which is essential for mining projects in regions with significant indigenous populations.
With this framework in place, New Pacific expects to complete the formal prior consultation process required by Bolivian regulations. Following this, the company plans to seek conversion of its exploration licenses to mining permits. Upon permit approval, the company intends to commence a feasibility study and initiate a 2026 drilling campaign exceeding 30,000 metres. This drilling program aims to expand known resources and identify new mineralized zones within the project area.
The Carangas project strengthens New Pacific's portfolio through its scale, robust economics, and regional exploration potential. The company's other major Bolivian asset, the Silver Sand project in Potosí, has the potential to become one of the world's largest silver mines. New Pacific has over a decade of operating experience in Bolivia, which has helped build stakeholder and shareholder confidence.
This development is significant because it demonstrates a model for advancing mining projects through structured community engagement rather than confrontation. The mining industry faces increasing scrutiny regarding its social and environmental impacts, particularly in developing nations. Agreements like this framework can help mitigate conflicts, reduce project delays, and create more sustainable development outcomes that benefit both companies and local populations.
The full details of the agreement are available in the company's official press release at https://ibn.fm/WzP7f. Additional information about New Pacific Metals and its projects can be found in the company's newsroom at http://ibn.fm/NEWP. The announcement was disseminated through MiningNewsWire, a specialized communications platform focused on the global mining and resources sectors.
For investors and industry observers, this agreement represents a de-risking event for the Carangas project. Community opposition has derailed numerous mining projects worldwide, particularly in South America. By establishing formal cooperation terms early in the development process, New Pacific reduces political and social risks that could otherwise delay or prevent project advancement. The framework also signals the company's commitment to Bolivian regulatory requirements and sustainable development principles, which may improve its standing with both local authorities and international stakeholders.
The successful implementation of this agreement could serve as a template for other mining companies operating in similar contexts. As global demand for silver and gold continues, particularly for technological and renewable energy applications, responsible development of resources in politically stable jurisdictions becomes increasingly important. Bolivia represents a significant mining jurisdiction with substantial mineral potential, and agreements that balance economic development with community interests are essential for long-term industry sustainability.
