Sierra Madre Secures Key Land-Use Permit at Tlacotal

Sierra Madre Gold and Silver has secured regulatory approval to modify the land-use designation at its Tlacotal site, part of the eastern zone of the La Guitarra silver-gold project in the State of Mexico. Alongside the authorization, the company finalized purchase agreements for the Tlacotal footprint and an additional 33.1ha of neighboring land.

"Receiving authorization for the Tlacotal land use change provides us with optionality for future mine development pathways in the East District. The land purchase agreements over the López Expansion Area are also conducive to starting a permitting process for an expansion of the current tailings facility," said Sierra Madre CEO Alex Langer.

Located near active infrastructure, the company also signed an option agreement to acquire privately owned parcels positioned southwest of the existing tailings storage facility, as well as the land beneath the current facility known as the López Extension.

COO and Chair Greg Liller noted that both the zoning approval and the expanded land position align with Sierra Madre’s plan to establish a larger operating hub in the East District. He confirmed that drilling is expected to begin in the second half of 2026, with a program of approximately 20,000m to 25,000m.

Tlacotal Land-Use Approval

The Tlacotal site received a federal change-in-land-use authorization, reclassifying 34.7ha from agricultural and forestry purposes to mining use. This designation allows the area to function as a logistical base for near-term exploration while also positioning it for potential future production infrastructure tied to the Mina de Aqua–Santa Ana vein system.

According to the company’s 2023 NI 43-101 estimate, the Santa Ana structure hosts both indicated and inferred silver-gold resources, supporting continued exploration and long-term development potential in the East District. The permitted zone may also provide access for underground development toward the Magdalena–Candelaria trend, a historically productive mining corridor, as well as the Quebradeas and other vein targets considered economically promising.

Tlacotal is controlled through a 30-year lease, with the purchase option to be exercised once ownership documentation is finalized.

The López purchase option includes the land supporting the current tailings storage facility and adjacent parcels to the south. At the same time, Sierra Madre extended the underlying land lease for the existing facility by another 30 years.

Management is assessing the potential to permit an expanded tailings footprint between the active storage area and the utility corridor. Areas southeast of the easement are also under review for use as a new mine access point and employee parking, which would optimize space around core operational zones.

Government Pushes Faster Mining Permits

Mexico’s federal government plans to speed up mining authorizations starting in 2026. Minister of Economy Marcelo Ebrard said at the XXXVI International Mining Convention 2025 that the administration will reactivate large-scale exploration and promote investment to strengthen supply chains in a challenging geopolitical environment. 

Fernando Aboitiz, Head, Extractive Activities Coordination Unit at the Ministry of Economy, added that the Sheinbaum administration is addressing the permitting backlog left by previous years. Of the 176 stalled projects inherited at the start of the term, 110 have already been cleared, with 66 still under review. Authorities expect normal permitting operations by mid-2026.

As a recent example, Masivo Silver moved Cerro Colorado in Sonora forward by submitting environmental permit applications to SEMARNAT for exploration activities covering drilling, access works, and basic infrastructure. Subject to approval, the company expects to launch its initial drilling phase in January 2026.