Toronto, ON – September 20, 2023 – Sierra Metals Inc. (TSX: SMT; OTC: SMTSF)
(“Sierra Metals” or the “Company”) announced today that it has placed the Cusi silver
mine in Mexico on care and maintenance and initiated a process to sell the mine.
Ernesto Balarezo Valdez, Sierra Metals’ CEO, stated, “Earlier this year, the Company
deemed the Cusi silver mine a non-core asset and given current market conditions has
made the difficult decision to put the mine on care and maintenance. In efforts to crystalize
value for shareholders we have a process underway to sell Cusi. Sierra is transitioning to
become a copper-focused mining company, and the planned divestiture of Cusi will allow
us to focus on our two key mines, Yauricocha in Peru and Bolivar in Mexico, where we
have significant potential to continue growing our copper production.”
SCP Resource Finance is acting as financial advisor for the Cusi mine sale process. There
can be no assurance that this process will result in the sale of the Cusi mine. The
Company will provide further updates at such time the Board deems it necessary or
appropriate.
About Cusi
The Cusi Mine is located in Chihuahua State, Mexico, approximately 135 kilometres from
Chihuahua City. The Property encompasses 73 concessions covering 11,665 hectares
over a range of elevation of 2,000 to 2,500 meters above sea level in the Sierra Madre
Occidental Mountain Range. Cusi has the capacity to produce 1,200 tonnes per day and
its processing plant includes a conventional ball mill and flotation plants fed from a
crushing circuit. The flotation circuit has the ability to produce silver, lead and zinc
concentrates.
Exploration at Cusi was focused on the Cusi Fault and the Santa Rosa de Lima vein
complex. The Cusi Fault extends on the Company’s property for a length of 12 kilometers.
The Cusi Mine lies within the Sierra Madre Occidental Mountain Range. Additionally,
there are numerous satellite exploration targets which are the subject of drilling and
exploration drifts. More on Cusi can be found HERE.
All permits for the Cusi mine and surrounding exploration properties are in good standing.
About Sierra Metals
Sierra Metals is a Canadian mining company focused on copper production with
additional base and precious metals by-product credits at its Yauricocha Mine in Peru
and Bolivar Mine in Mexico. The Company is intent on safely increasing production
volume and growing mineral resources. Sierra Metals has recently had several new key
discoveries and still has many more exciting brownfield exploration opportunities in Peru
TSX: SMT | OTC: SMTSF
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and Mexico that are within close proximity to the existing mines. Additionally, the
Company has large land packages at each of its mines with several prospective regional
targets providing longer-term exploration upside and mineral resource growth potential.
For further information regarding Sierra metals, please visit www.sierrametals.com