Reports Solid Second Quarter 2021 Results
Sierra Metals Inc. (TSX:SMT) (BVL:SMT) has reported positive second-quarter 2021 production results, as the company continues to deal with the effect of the COVID-19 pandemic at its operations in Latin America.
Results are from Sierra Metals’ three underground mines in Latin America: The Yauricocha polymetallic mine in Peru, and the Bolivar copper and Cusi silver Mines in Mexico.
Second Quarter 2021 Production Highlights
- Copper production of 9.5 million pounds; a 2% decrease from Q2 2020
- Silver production of 1.0 million ounces; a 67% increase from Q2 2020
- Gold production of 2,812 ounces; a 2% increase from Q2 2020
- Zinc production of 21.1 million pounds; a 54% increase from Q2 2020
- Lead production of 8.0 million pounds; a 24% increase from Q2 2020
- Copper equivalent production of 24.8 million pounds; a 9% increase from Q2 2020
The company achieved 62% and 25% increase in throughput as compared to Q2 2020, at its Yauricocha and Bolivar mines respectively. The Yauricocha mine achieved 328,909 tonnes during the quarter at an average rate of 3,759 tpd. Earlier during the quarter, the Company announced receipt of permit to build and operate an expansion of its capacity to 3,600 tpd plus an allowance for up to an additional 5%.
Consolidated copper production decreased 2% to 9.5 million pounds, silver increased 67% to 1.0 million ounces, zinc increased 54% to 21.1 million pounds, lead increased 24% to 8.0 million pounds, and gold increased 2% to 2,812 ounces compared to Q2 2020.
President, and CEO, Luis Marchese, said that despite the challenges the company faced due to the Covid-19 Pandemic, he was pleased with the relatively solid production performance in Q2 2021.
“The company continues to face operational difficulties related to COVID-19 at all mines but particularly in Peru. We expect that we will continue to be impacted for the remainder of the year and as such we are reviewing our production guidance and may revise it as part of our Q2-2021 consolidated financial results,” he said.
“Looking ahead to the second half of 2021, we anticipate seeing an improvement in production results over the first half of the year as we continue to manage the implications of COVID-19 using best practices.
“Our goal continues to be avoiding any mine closures while ensuring that strict protocols remain in place to protect the wellbeing of our employees as well as the local communities. Additionally, we have commenced implementation on a 500,000 tonne per year magnetite concentrate plant at Bolivar which is expected to be operational early next year.
“We also received the final permit required for the construction and operation of the expansion of throughput at Yauricocha to 3,600 tonnes per day. We continue to work on the completion of Preliminary Feasibility Studies for all three mines to support planned expansions at all mines starting in 2024.
“Brownfield and greenfield exploration programmes continue and we continue to strive to optimise and improve operations with an aim of reducing costs where possible in this challenging environment.”
For further information please visit: https://www.sierrametals.com
