VANCOUVER, March 12, 2015 /CNW/ - Sierra Metals Inc. (TSX:SMT)(BVL:SMT) ("Sierra Metals" or the "Company") is pleased to announce that on Tuesday, March 11th at 5:20 pm the Agua Caliente power substation connected to the new 115kw line was activated and by 8:12 pm the Piedras Verdes ore processing plant was running off of the 33kw line from the substation.
The Bolivar Mine was in commercial production since 2012 using a less reliable grid connection, supplemented with diesel generators, which was prone to shutdowns and disruptions. The current interconnection should eliminate these problems. Bolivar is a copper-silver-zinc mine and the property comprises of 12 mining concessions covering approximately 6,616 hectares within the municipality of Urique, in the Piedras Verdes mining district of Chihuahua State, Mexico. The Bolivar Mine is a contiguous portion of the 15,217 hectare Bolívar property land package.
Audra Walsh, President and CEO commented: "This is a significant milestone for Sierra Metals which will provide the power infrastructure for efficiency improvements, lower costs and open the possibility for further expansions. We are very pleased to have been able to work together with the Comisión Federal de Electricidad ("CFE") to be part of the planning and construction of this important new regional development initiative. We thank them and our Mexican team for their continued efforts."
"Our Bolivar Mine has a strong track record of output expansion. We succesfully expanded the mine ore throughput from approximately 1,000 Tonnes Per Day (TPD) in 2012 to 2,000 TPD. In 2015, we plan to increase the ore throughput to 2,500 TPD and with the new power line another expansion in the future should be possible as well, enhancing our operation efficiency and unit costs." added Audra Walsh.
About Sierra Metals
Sierra Metals Inc. is a Canadian mining company focused on precious and base metals from its Yauricocha Mine in Peru, its Bolivar Mine and Cusi Mine in Mexico. In addition, Sierra Metals is exploring several precious and base metal targets in Peru and Mexico. Projects in Peru include Adrico (gold), Victoria (copper-silver) and Ipillo (polymetallic) at the Yauricocha property in the province of Yauyos and the San Miguelito gold properties in Northern Peru. Projects in Mexico include Bacerac (silver) in the state of Sonora, and La Verde (gold) at the Batopilas property in the state of Chihuahua.
The Company's shares trade on the Bolsa de Valores de Lima and the Toronto Stock Exchange under the symbol "SMT".
For further information regarding Sierra Metals, please visit www.sierrametals.com or contact:
Except for statements of historical fact contained herein, the information in this press release may constitute "forward-looking information" within the meaning of Canadian securities law. Statements containing forward-looking information express, as at the date of this news release, the Company's plans, estimates, forecasts, projections, expectations or beliefs as to future events or results. These statements reflect the Company's current views with respect to future events and are necessarily based upon a number of assumptions and estimates that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Actual results might differ materially from results suggested in any forward-looking statements. The Company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements unless and until required by securities laws applicable to the Company. Additional information identifying risks and uncertainties is contained in filings by the Company with the Canadian securities regulators, which filings are available at www.sedar.com.
SOURCE Sierra Metals Inc.
For further information: Audra Walsh, President & CEO, Sierra Metals Inc., 1 (866) 493-9646; Victoria Vargas, Vice President - Investor Relations, Sierra Metals Inc., 1 (866) 493-9646, [email protected]