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Sierra Metals says COVID-19 challenges impacted its Q1 2021 production

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(Kitco News) - Sierra Metals (TSX: SMT) (BVL: SMT) (NYSE AMERICAN: SMTS) announced Friday that its Q1 2021 copper equivalent production of 25.5 million pounds was 18% lower compared to Q1 2020 (31.2 million pounds).

The company’s silver production was 1.0 million ounces, a 1% increase from Q1 2020; copper production was 7.9 million pounds, a 33% decrease from Q1 2020 mainly due to a temporary shift from copper-rich zones to lower grade polymetallic areas at Yauricocha caused by temporary operational challenges; lead production was 9.0 million pounds, a 1% decrease from Q1 2020; zinc production was 24.1 million pounds, an 11% increase from Q1 2020; gold production was 2,636 ounces, a 28% decrease from Q1 2020.

CEO Luis Marchese commented, "Facing ongoing operational difficulties due to Covid-19 in Peru and México, the company performed relatively well during the first quarter with a 4.5% increase in consolidated throughout as well as record quarterly throughput at Yauricocha. These results were despite of other additional challenges, including a power failure at the Cusi mine resulting from the large scale power outage originating in Texas. Additionally, at Yauricocha we experienced some operational issues at the Esperanza Zone which provides most of the copper ore for the mine. However, these have since been resolved and normal operations have resumed. Furthermore, the annual production guidance previously provided remains in place without any changes.”

Sierra Metals is a diversified Canadian mining company focused on the production and development of precious and base metals from its polymetallic Yauricocha mine in Peru, and Bolivar and Cusi mines in Mexico.

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