Sierra Metals Reports Positive Drilling Results from the High-grade Bolivar West Zone at the Bolivar Copper Mine, Mexico
Toronto, ON – September 5, 2017 – Sierra Metals Inc. (TSX: SMT) (BVL: SMT) (NYSE AMERICAN: SMTS) (“Sierra Metals” or “the Company” - https://www.commodity-tv.net/c/mid,22908,Market_Analysis_und_Research/?v=297824) today announced assay results from a recently completed definition drilling program at the Bolivar West zone which is located adjacent to the current operations at the Bolivar Mine. The highlight of this program is that at completion the drill information will be included in a future resource update for the Bolivar Mine located in Urique, Chihuahua state, Mexico.
Our exploration programs have identified skarn ore deposits in the form of mantos in the area extending for eight kilometers. The brownfield drilling program completed had been designed with a target of increasing the grades being mined at the Bolivar Mine and defining further mineral resources. Drilling results have been summarized in Table 1 below.
Alonso Lujan, Vice President Exploration at Sierra Metals stated: “The assay results have positively confirmed the existence of higher grade copper mineralization with an average copper equivalent grade of 2.55%. This will help to increase head grades at the mill when this material is included in the future mine plans. The assay results have also provided the necessary data needed to update our current resource base for the Bolivar mine. The update is planned for completion in Q4 2017 He continued, “We believe the Bolivar mining district has an attractive potential for further exploration success”
“This is an important advance for the uncovering of the asset value of our Bolivar Copper Mine.” stated Igor Gonzales, President and CEO of Sierra Metals. Today’s results confirm the existence of higher copper grades and an additional deposit which may support potential future throughput expansions. We are excited by the potential shown by these results, and how it will help to positively transform current operations and future cashflows at Bolivar.” He continued, “Finding higher grade areas at Bolivar has been a strategic focus for our exploration team in order to increase cashflows generated from our operations. Historically, Bolivar has mined high grade copper/zinc/silver zones and we think the current exploration programs have the potential to identify additional resources with similar grades as the current drilling results demonstrate.
He concluded, “Brownfield exploration has played a very important role to drive a potential expansion of mineral resources at all three Sierra Metals mines. The drill results announced in our recent press releases for all the mines have demonstrated this. We expect that their upcoming technical reports should confirm the potential for future expansions. The continued brownfield drilling of high-value targets at all mines into 2018 is likely to continue producing potential mineral resource growth to support the company’s growth plan in the medium term.”
Bolivar Mine Geology
The Bolivar mine district encompasses 15,217 hectares over range of elevation of 1,950 to 700 meters above sea level in the Sierra Madre Occidental Mountain Range. It is the result of one of largest volcanic events in the world that occurred between the Cretaceous and the Tertiary periods. The Sierra Madre Occidental is formed by two volcanic groups. Upper Volcanic Complex and Lower Volcanic Complex. Within the sedimentary-vulcan sequence of the upper cretaceous in the Lower Volcanic Group the replacement deposits are developed in form of mantles.
The Sierra Madre Occidental is one of the largest known epithermal precious metal metallogenic provinces and is host to well-known gold and silver producing mining districts, including: Concheño, Ocampo, Bacis, Tayoltita, Topia, Guanacevi, La Cienega, Mulatos El Sauzal and Pinos Altos.
The mineralization at Bolivar West zone is located approximately 450 meters below the surface, and can occasionally be observed alterations at surface.
Table 1.1 Results from the drill program
Samples were dried, crushed and pulverized by ALS Chemex in Chihuahua City, samples pulp were shipped by ALS Chemex to their laboratory in Vancouver, Canada.
The technical content of this news release has been reviewed and approved by Gordon Babcock P.Eng., Chief Operating Officer and a Qualified Person under National Instrument 43-101 Standards of Disclosure for Mineral Projects.
Americo Zuzunaga, MAusIMM CP(Geologist by Mining Engineer) and Vice President of Corporate Planning is a qualified person and chartered professional qualifying as a competent person under the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.
Augusto Chung, FAusIMM CP(Metallurgist) and Consultant to Sierra Metals is a qualified person and chartered professional qualifying as a competent person under the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.
About Sierra Metals
Sierra Metals Inc. is Canadian based growing polymetallic mining company with production from its Yauricocha Mine in Peru, and its Bolivar and Cusi Mines in Mexico. The Company is focused on 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 at all three Mines in Peru and Mexico that are within close proximity to the existing mines. Additionally, the Company also has large land packages at all three mines with several prospective regional targets providing longer term exploration upside and mineral resource growth potential.
The Company’s Common Shares trade on the Bolsa de Valores de Lima and on the Toronto Stock Exchange under the symbol “SMT” and on the NYSE American Exchange under the symbol “SMTS”.
For further information regarding Sierra Metals, please visit www.sierrametals.com or contact:
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This press release contains “forward-looking information” and “forward-looking statements” within the meaning of Canadian and U.S. securities laws related to the Company (collectively, “forward-looking information”). Forward-looking information includes, but is not limited to, statements with respect to the Company’s operations, including anticipated developments in the Company’s operations in future periods, the Company’s planned exploration activities, the adequacy of the Company’s financial resources, and other events or conditions that may occur in the future. Statements concerning mineral reserve and resource estimates may also be considered to constitute forward-looking statements to the extent that they involve estimates of the mineralization that will be encountered if and when the properties are developed or further developed. These statements relate to analyses and other information that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects”, “anticipates”, “plans”, “projects”, “estimates”, “assumes”, “intends”, “strategy”, “goals”, “objectives”, “potential” or variations thereof, or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking information.
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