Sierra Madre Provides Positive Update To Test Mining And Processing

(MENAFN- Newsfile Corp) Vancouver, British Columbia--(Newsfile Corp. - September 5, 2024) - Sierra Madre Gold and Silver Ltd. (TSXV: SM) (OTCQX: SMDRF) (" Sierra Madre " or the " Company ") is pleased to give an update on the progress of test mining and processing at the Guitarra mine complex.

The testing of the flotation plant began on the 25th of June, 2024 and has been in continuous daily operation. A total of 20,401 tonnes of material containing economically interesting silver and gold mineralization has been processed as of August 31st for an average production rate of 300 tonnes per day since inception of test mining. Five (5) shipments totalling 335 dry metric tonnes of silver gold concentrate have been delivered to MRI Trading AG under the Company's 24-month contract. Provisional payment gold and silver concentrate grades ranged from 2,752 g/t to 3,442 g/t silver and 28.6 to 36 g/t gold. Final assay grades will be determined upon shipment to the smelters.

Test mining began with development mineralization from the Guitarra mine, transitioning to economically attractive in situ mined material from both long hole and shrinkage stopes in August. Production of back fill material ("retaques") from stopes mined in the 1990's and early 2000's was increased as planned. These retaques were derived from material below the 8 to 10 gram per-tonne gold equivalent cutoff used at the time, which had to be blasted in order to mine the above cut-off ore. Once emptied, these stopes are scheduled to receive tailings paste fill, for which the mine is fully permitted.

Chief Operating Officer, Greg Liller commented, "I am very pleased with the operating results to date. The Guitarra team is doing an excellent job of moving operations towards a sustained production rate of 350 tonnes per day, our next test production goal. Upon achieving 350 tonnes per day the team has an orderly plan in place to move towards 410 tonnes per day, then to the commercial mining and processing rate of 500 tonnes per day before year end".

About Sierra Madre

Sierra Madre Gold and Silver Ltd. (TSXV: SM),(OTCQX: SMDRF) is a precious metals development and exploration company focused on evaluating the potential of restarting the Guitarra mine in the Temascaltepec mining district, Mexico, and the exploration and development of its Tepic property in Nayarit, Mexico. The Guitarra mine is a permitted, past-producing underground mine, which includes a 500 t/d processing facility that operated until mid-2018.

The +2,600 ha Tepic Project hosts low-sulphidation epithermal gold and silver mineralization with an existing historic resource.

Sierra Madre's management team has played key roles in managing the exploration and development of more than 22Moz gold and 600Moz silver in combined mineral reserves and mineral resources. Sierra Madre's team of professionals has collectively raised over $1 billion for mining companies.

On behalf of the board of directors of Sierra Madre Gold and Silver Ltd.,

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