New Pacific Metals Corp. (TSX: NUAG) (NYSE American: NEWP) has signed a Framework Agreement for Cooperation and Coordination with the Carangas community regarding its Carangas silver-gold project in Bolivia's Oruro Department. The agreement establishes terms for transparency, mutual benefit and long-term collaboration as the project advances toward production, addressing critical aspects of social license and community relations in mining development.
The framework outlines commitments to responsible development, environmental compliance, community investment and resettlement planning. In return, the community has agreed to support consultation processes, permitting activities and project access. This bilateral agreement represents a formalization of the relationship between the company and local stakeholders, which is essential for advancing mining projects in regions where community consent and cooperation are paramount.
With the framework in place, New Pacific expects to complete the formal prior consultation process required by Bolivian regulations. The company will then seek conversion of exploration licenses to mining permits, a critical administrative step. Upon permit approval, New Pacific plans to commence a feasibility study and a 2026 drilling campaign of more than 30,000 meters targeting resource expansion and new mineralized zones at the Carangas project.
The Carangas Silver-Gold Project strengthens New Pacific's portfolio through scale, robust economics and regional exploration potential. The company's other major project in Bolivia is the Silver Sand project in Potosí, which has the potential to become one of the world's largest silver mines. New Pacific has over a decade of operating experience in Bolivia and has earned the confidence of its stakeholders and shareholders through its approach to community engagement and responsible development.
This agreement is significant because it demonstrates how mining companies can establish formal mechanisms for community collaboration early in project development. The framework addresses potential conflicts before they arise by establishing clear expectations for environmental compliance, community investment and transparent communication. For investors, the agreement reduces regulatory and social risks associated with the project's advancement toward production. The company's latest news and updates are available in its newsroom at http://ibn.fm/NEWP, while the full press release can be viewed at https://ibn.fm/WzP7f.
The mining industry globally faces increasing scrutiny regarding community relations and environmental stewardship, making agreements like this increasingly important for project viability. In Bolivia, where mining represents a significant portion of the economy, such frameworks help balance economic development with social and environmental considerations. The Carangas project's advancement could contribute to Bolivia's position in the global silver market while establishing a model for community-company collaboration in resource development.
