Sierra Madre Reports Record Monthly Production from the Guitarra Mine Complex

Rhea-AI Summary

Sierra Madre Gold and Silver has announced record production figures from its Guitarra Mine Complex for January 2025, marking its first month of full commercial production. The facility is operating at its current capacity of 500 wet metric tonnes per day.

Key production metrics for January 2025 include:

• 349.48 dry metric tonnes of concentrate shipped
• 45.81 tonnes of concentrate in inventory
• Provisional weighted average silver grade of 2,429 grams per tonne
• Average gold grade of 32.124 grams per tonne

The company plans to release year-end financials in April 2025 and Q1 2025 interim financials in May 2025, which will reflect their first quarter of commercial production.

Positive

• Achieved full commercial production on January 1, 2025
• Operating at full capacity of 500 wet metric tonnes per day
• Strong concentrate grades: 2,429 g/t silver and 32.124 g/t gold
• Substantial production with 349.48 dry metric tonnes shipped plus 45.81 tonnes in inventory

Negative

• None.

Vancouver, British Columbia--(Newsfile Corp. - February 10, 2025) - Sierra Madre Gold and Silver Ltd. (TSXV: SM) (OTCQX: SMDRF) ("Sierra Madre" or the "Company") is pleased to announce record production numbers for the month of January 2025; a record since restarting the 100% owned Guitarra Mine Complex located in Estado de Mexico, Mexico. The mine and processing plant continue to run at the current capacity of 500 wet metric tonnes per day; full commercial production at the Complex was achieved January 1, 2025. Weekly gold and silver concentrate deliveries continue.

Operational numbers for January 2025:

• A total of 349.48 dry metric tonnes of concentrate were shipped in January with an additional 45.81 tonnes in inventory.

Provisional weighted average silver grade of the concentrate shipments was 2,429 grams per tonne, gold averaged 32.124 grams per tonne.

The Company looks forward to sharing detailed financial and production numbers moving forward on a steady quarterly basis. Year end financials are expected to be released in April 2025 and Quarter 1 2025 interim financials - reflecting Sierra Madre's first quarter of commercial production - are expected in May 2025.

Qualified Person

Mr. Gregory Smith, P. Geo, Director of Sierra Madre, is a Qualified Person as defined by NI 43-101, and has reviewed and approved the technical data and information contained in this news release. Mr. Smith has verified the technical and scientific data disclosed herein.

About Sierra Madre

Sierra Madre Gold and Silver Ltd. (TSXV: SM) (OTCQX: SMDRF) is a precious metals development and exploration company focused on 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 underground mine, which includes a 500 t/d processing facility that operated until mid-2018 and restarted commercial production in January 2025.

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.,

"Alexander Langer"
Alexander Langer
President, Chief Executive Officer and Director
778-820-1189

Contact:
investor@sierramadregoldandsilver.com

Cautionary Note Regarding Production Decisions

The Company's decision to place the mine into commercial production, expand a mine, make other production related decisions, or otherwise carry out mining and processing operations, is largely based on internal non-public Company data and reports from previous operations and the results of test mining and processing. The Company is not basing any production decisions on NI 43-101 compliant reserve estimates, preliminary economic assessments or feasibility studies and, as a result, there is greater risk and uncertainty as to future economic results from the Guitarra Mine Complex, including increased uncertainty of achieving any particular level of recovery of minerals or the cost of such recovery, including increased risks associated with developing a commercially mineable deposit, and a higher technical risk of failure than would be the case if a feasibility study were completed and relied upon to make a production decision.

Cautionary Note Regarding Forward-Looking Information

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

This press release contains "forward-looking information" and "forward-looking statements" within the meaning of applicable securities legislation. The forward-looking statements herein are made as of the date of this press release only, and the Company does not assume any obligation to update or revise them to reflect new information, estimates or opinions, future events or results or otherwise, except as required by applicable law. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budgets", "scheduled", "estimates", "forecasts", "predicts", "projects", "intends", "targets", "aims", "anticipates" or "believes" or variations (including negative variations) of such words and phrases or may be identified by statements to the effect that certain actions "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements include, without limitation, statements regarding discussions of future plans, including the expected timing of concentrate shipments; the Company increasing production; the Company receiving revenues on a weekly basis and such revenues allowing the Company to comfortably expand to without further capital needs; production and the expected timing and production levels thereof.

The forward-looking statements involve numerous risks and uncertainties, and actual results might differ materially from results suggested in any forward-looking statements. These risks and uncertainties include, among other things, that predicted production levels will be achieved and that existing production levels will be maintained.

In making the forward-looking statements in this news release, the Company has applied certain material assumptions, including without limitation, that the Company will be able to execute its future plans as intended, that predicted production levels will be achieved and that existing production levels will be maintained.

Although management of the Company has attempted identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes.

SOURCE: Sierra Madre Gold and Silver Ltd.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/240159

FAQ

What was Sierra Madre's (SMDRF) concentrate production in January 2025?

Sierra Madre produced 395.29 dry metric tonnes of concentrate in January 2025, with 349.48 tonnes shipped and 45.81 tonnes in inventory.

What are the gold and silver grades in SMDRF's January 2025 concentrate shipments?

The concentrate shipments had a provisional weighted average of 2,429 grams per tonne silver and 32.124 grams per tonne gold.

When did Sierra Madre (SMDRF) achieve full commercial production at Guitarra Mine Complex?

Sierra Madre achieved full commercial production at the Guitarra Mine Complex on January 1, 2025.

What is the current daily processing capacity at SMDRF's Guitarra Mine Complex?

The Guitarra Mine Complex is operating at a capacity of 500 wet metric tonnes per day.

When will Sierra Madre (SMDRF) release its first commercial production financial results?

Sierra Madre will release Q1 2025 interim financials in May 2025, which will reflect its first quarter of commercial production.