Sierra Metals Inc. (TSX: SMT | OTCQX: SMTSF) ("Sierra
Metals" or "the Company") is pleased to provide the
following letter to shareholders.
Dear Fellow Shareholders,
2023 proved to be a pivotal year for Sierra Metals. With a new
management team in place and armed with tremendous support from our
Board of Directors, we developed and successfully implemented a
strategy this year that not only stabilized all aspects of our
business, but also put in place a foundation for long-term
growth.
Let me provide a few highlights of this year’s turn around:
Operations
Safety: we continue to make great
strides in our safety performance. It is no coincidence that our
improved safety record has resulted in enhanced operations. Safety
is, and will always be, a priority at Sierra Metals.
Production: it was a tremendous year
at our two core mines: Bolivar and Yauricocha. We are very pleased
to see Bolivar achieve record production levels while establishing
a plan to get Yauricocha back on course to achieving and
potentially surpassing, historical production levels. With
increased production levels and lower costs, our operations are
once again cash flow positive.
Resources growth: just as important as
the production improvements, the future of our operations is
through growing our mineral resources. At Bolivar and Yauricocha,
we replaced our mined ore by 108% and 104%, respectively. We
continue to be active on site with further drilling and exploration
works taking place at both mine sites.
Community Relations: just like safety, one of our pillars
for success is to invest and partner within our local communities.
Throughout 2023, we conducted various important initiatives that
included health workshops, water awareness campaigns and
scholarships. We have been able to see higher levels of engagement
with local communities.
Corporate
Debt refinancing: our banking partners
worked with us to refinance our existing loans to provide relief as
we worked on improving operations. We look forward to continued
productive discussions as we look to grow our business
together.
OTCQX Best Market: we uplisted to the
OTCQX this year in an effort to increase visibility and
accessibility for our current and prospective U.S. and
international investors.
Operational Focus: the Cusi silver
mine in Mexico was placed on care and maintenance allowing
management to direct full effort and resources to optimize the
Company’s two core assets at Yauricocha and Bolivar.
Private Placement: as a major vote of
confidence, we raised C$16 million this year mainly from insiders
and existing shareholders. The financing shows us that our key
shareholders, management and board believe in our vision for Sierra
Metals. Management participated with almost 10% of the
placement.
Share Price: throughout 2023, Sierra’s
share price increased by more than 210%, moving from C$0.24 to
C$0.75.
Permitting: management commenced the
process to obtain the permit required to operate below the 1120
level in Yauricocha.
In summary, in 2023 we’ve built a team that has been able to
stabilize and create value across our very strong base of assets by
generating positive cash flow from the operations, increasing
production, lowering costs, and growing mineral resources – all in
a safe and responsible manner.
I want to thank all the various stakeholders – including local
communities, contractors, lenders, and others -- that have
supported us throughout the year, our employees for their
dedication, our board for its guidance, and our shareholders for
their continued support as we all move Sierra Metals forward.
For the present year, we see Sierra Metals operating both
Yauricocha and Bolivar under the highest safety standards. On the
operational side, we expect to see Yauricocha ramping up its
production as we are able to access better zones in the underground
mine, and we expect Bolivar to maintain production at steady levels
of ~5,000 tons per day. Furthermore, Sierra Metals will continue to
improve its balance sheet and be more efficient in every aspect of
our business.
As always, feel free to call (1-866-721-7437) or email
(info@sierrametals.com) should you want to talk about Sierra
Metals.
Sincerely,
Ernesto Balarezo CEO and Director
For all our News, click HERE. For our latest presentation, click
HERE. For our latest video presentation, click HERE.
About Sierra Metals
Sierra Metals is a Canadian mining company focused on copper
production with additional base and precious metals by-product
credits at its Yauricocha Mine in Peru and Bolivar Mine in Mexico.
The Company is intent on safely 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 in Peru and Mexico that are within close
proximity to the existing mines. Additionally, the Company has
large land packages at each of its mines with several prospective
regional targets providing longer-term exploration upside and
mineral resource growth potential.
For further information regarding Sierra Metals, please visit
www.sierrametals.com or contact:
Forward-Looking
Statements
This news release contains forward-looking information within
the meaning of Canadian securities legislation. Forward-looking
information relates to future events or the anticipated performance
of Sierra Metals and reflects management's expectations or beliefs
regarding such future events and anticipated performance based on
an assumed set of economic conditions and courses of action
including the accuracy of the Company's current mineral resource
estimates, that the Company's activities will be conducted in
accordance with the Company's public statements and stated goals,
and that there will be no material adverse change affecting the
Company, its properties or its production estimates, the expected
trends in mineral prices, inflation and currency exchange rates,
that all required approvals will be obtained for the Company's
business operations on acceptable terms, and that there will be no
significant disruptions affecting the Company's operations. In
certain cases, statements that contain forward-looking information
can be identified by the use of words such as "plans", "expects",
"is expected", "budget", "scheduled", "estimates", "forecasts",
"intends", "anticipates", "believes" or variations of such words
and phrases or statements that certain actions, events or results
"may", "could", "would", "might", or "will be taken", "occur" or
"be achieved" or the negative of these words or comparable
terminology. Forward-looking statements include statements with
respect to investor relations programs. By its very nature
forward-looking information involves known and unknown risks,
uncertainties and other factors that may cause actual performance
of Sierra Metals to be materially different from any anticipated
performance expressed or implied by such forward-looking
information.
Forward-looking information is subject to a variety of risks and
uncertainties, which could cause actual events or results to differ
from those reflected in the forward-looking information, including,
without limitation, the risks described under the heading "Risk
Factors" in the Company's annual information form dated March 28,
2023 for its fiscal year ended December 31, 2022 and other risks
identified in the Company's filings with Canadian securities
regulators, which filings are available at www.sedarplus.ca.
The risk factors referred to above are not an exhaustive list of
the factors that may affect any of the Company's forward-looking
information. Forward-looking information includes statements about
the future and is inherently uncertain, and the Company's actual
achievements or other future events or conditions may differ
materially from those reflected in the forward-looking information
due to a variety of risks, uncertainties and other factors. The
Company's statements containing forward-looking information are
based on the beliefs, expectations, and opinions of management on
the date the statements are made, and the Company does not assume
any obligation to update such forward-looking information if
circumstances or management's beliefs, expectations or opinions
should change, other than as required by applicable law. For the
reasons set forth above, one should not place undue reliance on
forward-looking information.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240123446282/en/
Investor Relations Sierra Metals Inc. 1-866-721-7437
info@sierrametals.com
Grafico Azioni Sierra Metals (TSX:SMT)
Storico
Da Feb 2025 a Mar 2025
Grafico Azioni Sierra Metals (TSX:SMT)
Storico
Da Mar 2024 a Mar 2025
