Sierra Madre Announces Nazareno Silver and Gold Mine Preparing for Production

Core Insights - Sierra Madre Gold and Silver Ltd. has commenced underground development at the Nazareno silver and gold mine within the La Guitarra complex in Mexico, with over 700 tonnes of mineralized material already delivered to the processing plant [1][2] - The company anticipates that Nazareno will significantly contribute to silver and gold production, with plans to more than double processing capacity from 500 tonnes per day by Q3 2027 [2] - Recent development blasting has revealed multiple silver and gold-bearing veins merging into a zone up to 8 meters wide, indicating potential for increased resource extraction [2][7] Mineral Resource Estimate - The 2023 Mineral Resource Estimate for Nazareno includes: - Indicated: 309,877 tonnes with 257.3 g/t AgEq, 214.9 g/t Ag, and 0.55 g/t Au, totaling 2,564,000 AgEq ounces - Inferred: 753,784 tonnes with 251.5 g/t AgEq, 229.2 g/t Ag, and 0.29 g/t Au, totaling 6,096,000 AgEq ounces [4][6] Production Grades - A reconciliation of the silver-gold material produced from development blasting shows that production silver grades are 40% higher and gold grades are 30% higher than those in the 2023 resource model [3][4] Development Plans - Initial development work at Nazareno will involve blasting to fully expose the mineralized zone and assessing the feasibility of long hole mining [7] - The company has acquired a new Ingertrol Sandy 50 drill rig to enhance drilling capabilities, which will reduce development costs by allowing for shorter drilling from a single drive [10][11] Marketing and Social Media Engagement - Sierra Madre has engaged Capital Analytica for marketing and social media services for an initial six-month term at a fee of $120,000 (U.S.), subject to TSX-V approval [12]