Sierra Madre Receives Permit to Start East District Exploration Drilling

About this update from Sierra Madre Gold & Silver Ltd.

Vancouver, British Columbia--(Newsfile Corp. - July 14, 2026) - Sierra Madre Gold and Silver Ltd. (TSXV: SM) (OTCQX: SMDRF) ("Sierra Madre" or the "Company") is pleased to announce that it has received SEMARNAT (Secretaría del Medio Ambiente y Recursos Naturales, the federal Mexican regulatory agency in charge of environmental permitting) approval for drilling in the East District of the Guitarra Mine silver-gold complex. The approval is for 22 drill pads from which multiple holes can be drilled. Based on detailed surface mapping, exposures in the accessible old workings along with historic data and maps, a 3D model of the East District vein systems has been developed. The drilling will test up to 30 different mapped vein systems and will be the first phase of a fully budgeted 30,000 metre drill program. The Company is currently receiving bids from multiple drill contractors for phase one of the drilling program. Once a contractor has been selected, the Company expects drilling to start within 60 days. Greg Liller, Chief Operating Officer, commented, "The exploration team has done a very thorough job of surface and underground mapping, locating and compiling old reports, maps and sections and developing a structural model. We were aware of multiple vein systems from the initial round of surface mapping in the East District, and now have a better understanding of the complex structural systems controlling mineralization. This information has allowed us to build a 3D model, which will be used to guide the upcoming drill program. The 2023 NI 43-101 La Guitarra report1 contains an exploration potential estimate for the East District of 0.77 to 1.54 million tonnes grading 2.4 to 3.6 g/t gold and 440 to 670 g/t silver. This estimate is only for five of the vein systems in the East District and covers a combined strike length of just 7.7 km. Our systematic work and modelling to date have defined numerous additional vein systems over a much broader area, many of which contain significant historic workings. We acquired La Guitarra in part because of our belief that the East District was one of the best exploration opportunities in Mexico. I am very excited to begin a drilling campaign to test that idea." Exploration Potential: The 2023 NI 43-101 report contains an estimate of the exploration potential for the East District. See quote from section 9.6 of the r...

View stock analysis, news, and events for Sierra Madre Gold & Silver Ltd.