Sierra Metals Inc. on Jan. 18 posted the second-highest level of annual and quarterly metal production in the company's history.

The company produced 11.4 million silver equivalent ounces and 79.5 million copper equivalent pounds in 2016, both representing 4% year-over-year increases and achieving its full-year guidance.

Fourth-quarter silver equivalent output totaled 3.2 million ounces, while copper equivalent production came in at 21.2 million pounds, both representing increases of 31% over the fourth quarter of 2015.

The company attributed the increase to higher throughput, head grades and recoveries at the Yauricocha mine in Peru, which was partially offset by a decline in head grades and recoveries at the Bolivar mine, and the decrease in throughput, head grades and recoveries at the Cusi mine in Mexico.

Sierra Metals expects to produce 11.5 million to 13.5 million silver equivalent ounces in 2017 while copper equivalent output is expected to range between 98.6 million and 115.1 million pounds.

The forecasted range includes increased production and higher recoveries at Yauricocha and Bolivar and increased throughput at Cusi.

Additionally, the company has budgeted CapEx of US$49.0 million for 2017, including US$25.3 million for sustaining requirements and US$23.7 million for expansion, growth projects and exploration expenses.