Vancouver, British Columbia – June 27, 2022 – Sierra Madre Gold and Silver Ltd. (TSXV: SM) (OTCQB: SMDRF) (“Sierra Madre” or the “Company”) is pleased to announce that it has entered into an agreement with Beacon Securities Limited and Canaccord Genuity Corp. on behalf of a syndicate of agents (collectively, the “Agents”), in connection with a “best efforts” private placement of up to 15,385,000 subscription receipts of the Company (the “Subscription Receipts”) at a price of $0.65 per Subscription Receipt (the “Issue Price”) for aggregate gross proceeds to the Company of up to $10,000,250 (the “Offering”). The Offering is being conducted in conjunction with the Company’s proposed acquisition (the “Proposed Acquisition”) of all of the issued and outstanding shares of La Guitarra Compania Minera S.A. de C.V. (“SubCo”), an indirect wholly-owned subsidiary of First Majestic Silver Corp. (“First Majestic”) incorporated under the laws of Mexico that holds a 100% interest in the La Guitarra silver-gold property (the “La Guitarra Property”), as previously announced on May 25, 2022. Each Subscription Receipt shall, upon satisfaction of the Escrow Release Conditions (as defined below) and without the payment of any additional consideration, automatically convert into one common share of the Company (a “Common Share”).