Sierra Metals Inc. is one of the largest property holders in the Cusihuiriachic (“Cusi”) mining district with land package of over 230,000 hectares. The Company’s most important asset in Mexico is the Bolivar mine located in the Piedras Verdes mining district. The Bolivar mine is a low cost copper-zinc-silver producing asset that achieved commercial production in November 2011. The Company completed an updated NI 43-101 compliant resource in the Fall of 2012 and has recently expanded the Piedras Verde mill to 2,000 tpd .
The Company also owns a substantial base of advanced exploration properties in Chihuahua, Mexico. The Cusi project encompasses 60 concessions covering 11,319 ha that include 12 inactive mines and is located within 40 km of the Company’s Malpaso Mill. Commercial production at Cusi was declared in January 2013. Development ore from Cusi is currently being processed at the Malpaso Mill to generate revenues and advance the property towards becoming important silver producing mine. A NI 43-101 was completed in July 2013 and an aggressive exploration and development programme is underway at Cusi with plans to complete an updated NI 43-101 compliant resource estimate and a prefeasibility study in 2014.
The Company is dedicated to maintaining a steady project pipeline that will continue to increase value in the future. In addition to Bolivar and Cusi Sierra Metals continues advancing highly prospective exploration properties towards development and production.