Sierra Metals holds one of the largest land packages in the Cusi Silver mining district with over 230,000 hectares of property in the region. A brief summary of the principle exploration properties in the region has been provided below.
This project contains three exploration prospects. The La Verde prospect is a 25 square kilometre, low to medium sulphidation gold prospect that is currently undergoing preliminary exploration activities, including stream-sediment and rock-chip channel sampling, to define drill targets on this large anomaly. The Company began reconnaissance exploration work on this project during its 2011 field season results, with encouraging results. The Corralitos prospect is a molybdenum-copper deposit that was partially drilled by a previous owner in 1997 and drilled by Dia Bras in 2011 with encouraging results. Work on this property is on hold while the Company focuses on near-mine exploration at its Cusi and Bolivar projects.
The Maguarichic Property hosts epithermal hot spring gold prospects. . In November 2010, Fresnillo, Plc. (“Fresnillo”), and the Company reached an amicable agreement whereby Fresnillo gave up its 30% interest in all of Maguarichic, and the Company transferred approximately 30% of the land concessions it held in the western section of the concessions to Fresnillo. The Company now holds 100% direct interest in its remaining Maguarichic Property. Work on this property is on hold while the Company focuses on near-mine exploration at its Cusi and Bolivar projects.
The Moris Property is one of the Company’s precious metals projects, and is being evaluated for near term small-scale production. The Moris Property is a low sulphidation epithermal gold and silver prospect that incorporates several historic mines.
The Oribo property hosts a skarn anomaly prospective for copper-gold mineralization. Work on this property is on hold while the company focuses on near-mine exploration at its Cusi and Bolivar projects.
Dia Bras has identified a target at San Patricio within the Bacerac property, an area of old (artisanal) workings. Confirmation sampling by Dia Bras over an interval of 8.3 m during the exploration program yielded weighted averages of 2.3 g/t gold and 1,722 g/t silver, along with significant sampled values of copper and lead. The Company’s geologists have sampled, trenched and mapped the San Patricio area.. The results were reported earlier and include a 23.5 m trench length averaging 0.59 g/t Au and 200.2 g/t Ag.