Sierra Metals Inc. (TSX:SMT)(BVL:SMT) (“Sierra Metals” or the “Company”) today reported revenue of $134.1 million and an adjusted EBITDA of $32.3 million on throughput of 1.9 million tonnes and metal production of 10.9 million silver equivalent ounces or 73.0 million copper equivalent pounds for the year ended December 31, 2015.
The Company continues the restructuring process of its mining operations at the Yauricocha Mine which has continued to suppress throughput and head grades, resulting in significantly lower production of all metals during the second half of 2015. The decrease in production was primarily due to lower ore grades being mined and interruptions to throughput caused by water control issues, development and infrastructure shortfalls. The Company continues to focus on the improvement of mine sequencing, safety, implementation of water drainage programs, as well as the design and introduction of mechanized mining methods in mine operations. The benefits of these implementations will be most visible in the second half of the year and will enable the Company to benefit from best practices with the expectation of increased production in the future.