DRILLING COMMENCES ON EL CRESTON

Symbol:-TSXV.NAA

VANCOUVER, June 27, 2011 /PRNewswire/ - Sierra Iron Ore Corp (the "Company") is pleased to announce that it has entered into an agreement with Lange DE Mexico, S.A De C.V. based in Hermosillo, Mexico to provide the drilling equipment and services for the El Creston property. The first drill has been mobilized and is currently onsite at the El Creston property and has commenced the first stage, 2000 meter drill program to test the known mineral zones identified in the company's previous ongoing exploration programs.

"This commencement of the drill program is a very exciting milestone for the company and brings us one step closer to testing the mineralization and economic feasibility of the El Creston property", Wally Boguski, President of Sierra Iron Corp. "We expect to announce the initial results from the drill program in the 3^rd quarter of this year."

About Sierra Iron Ore

Sierra Iron Ore is a growth focused mineral exploration company creating value through the exploration and development of the El Creston property located in the Sinaloa State of Mexico.  The company has a continual fieldwork program at the El Creston Property that is comprised of mapping, sampling and planning for further property development. Roads are being built and upgraded. As well, equipment is being purchased in preparation for further developing the known mineral zones identified by recent exploration work.

On behalf of The Board of Directors of Sierra Iron Ore Corporation.

Paul Lee, Director

This news release contains certain forward looking statements which involve known and unknown risks, delays, and uncertainties not under the control of Sierra Iron Ore Corp. which may cause actual results, performance or achievements of Sierra Iron Ore Corporation to be materially different from the results, performance or expectation implied by these forward looking statements. Neither 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 press release, which has been prepared by management.

SOURCE Sierra Iron Ore Corporation