07:19 AM EDT, 06/29/2018 (MT Newswires) -- Sierra Metals Inc. (SMT.TO, NYSE American: SMTS) may dig out gains and move toward 52 week highs after saying Friday that the development program at the Cusi Mine has confirmed a wide, high grade silver stockwork zone located within the Santa Rosa de Lima vein complex.

Alonso Lujan, VP Exploration, in a statement said: "Today's press release demonstrates the existence of increased high grade silver mineralization at Cusi with the potential for further resource development, as this area remains open at depth and along strike. The increased potential resources defined today will allow the company to utilize the highly productive exploitation method of sublevel caving and help achieve its economic objectives at the Cusi Mine. This will be made possible given the morphological characteristics of the mineralized area, as well as the quality of the rock mass (RMR above 40). The mine design will utilize sublevel caving which is highly productive, as it substantially reduces the needs for special rock support techniques, such as steel sets and allows for greater flexibility in the usage of current existing mining equipment."

He continued, "Based on today's results management believes there is further potential to expand the SRL area but also the potential to expand resources in other areas such as the San Rafael Vein and the San Nicolas Vein. Management is very optimistic about the increased potential at the Cusi Mine and looks forward to further exploration there."

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