Mr. Igor Gonzales reports

SIERRA METALS RECEIVES APPROVAL FOR YAURICOCHA MINE ENVIRONMENTAL IMPACT ASSESSMENT FOR THE EXPANSION OF THE TAILINGS DEPOSITION FACILITY

Sierra Metals Inc.'s subsidiary in Peru (Sociedad Minera Corona SA) has received approval from SENACE (National Environmental Certification Service), which is the agency responsible for the evaluation of natural resources and production projects in Peru, with respect to its recent environmental impact assessment (EIA) study for the expansion of the tailings deposition facility at the Yauricocha mine.

Igor Gonzales, president and chief executive officer of Sierra Metals, commented: "Having now received approval for the EIA study at Yauricocha, we can now proceed to obtain a construction permit for the next phase of the tailings deposition facility, and to commence planning for an expanded waste rock facility. Once those steps have been completed, we would then be able to complete a final submission of an ITS document, which is required for any potential expansion of the mine. The company remains committed to strict compliance with regulatory permits in Peru and Mexico in the development and organic growth of all its operating mines."

About Sierra Metals Inc.

Sierra Metals is a Canada-based 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.

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