An anonymous director reports

SIERRA METALS ACKNOWLEDGES PRESS RELEASE FROM ALPAYANA REGARDING INTENTION TO REVISE BID AND ADVISES SHAREHOLDERS TO TAKE NO ACTION

Sierra Metals Inc. acknowledges the press release issued yesterday on behalf of Alpayana SAC confirming an intention to update its previously announced unsolicited all-cash takeover bid to acquire all of the issued and outstanding common shares of Sierra. Sierra advises shareholders to take no action at this time.

Sierra continues to be committed to its long-term strategy of ensuring the Company delivers superior long-term value to all its shareholders and stakeholders. Also, as previously disclosed, Sierra continues to actively pursue negotiations with third parties that are in the process of reviewing Sierra's confidential information with a view to surfacing additional alternatives.

The company advises shareholders to take no action at this time until the board of directors makes a recommendation as to the merits of the amended hostile bid.

About Sierra Metals Inc.

Sierra Metals is a Canadian mining company focused on copper production with additional base and precious metals byproduct 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.

We seek Safe Harbor.