Fortuna Silver Mines Inc. [FVI-TSX; FSM-NYSE] announced second quarter production figures from its two operating mines in Latin America, the San Jose Mine in Mexico and the Caylloma Mine in Peru. The company produced 1.6 million ounces of silver and 9,365 ounces of gold plus base metal by-products. Silver and gold production for the first six months of the year totaled 3.2 million and 18,629 ounces respectively; being 7% and 10% above the company’s mid-year projection. Fortuna’s production guidance for 2016 is 7.0 million ounces of silver and 42.8 thousand ounces of gold or 9.6 million ounces of Ag Eq.
Second Quarter Production Highlights:
- Silver production of 1,553,217 ounces; 7 % decrease over Q2 2015
- Gold production of 9,365 ounces; 4 % increase over Q2 2015
- Lead production of 8,825,104 pounds; 85 % increase over Q2 2015
- Zinc production of 11,201,688 pounds; 31 % increase over Q2 2015
* Ag Eq is calculated using silver to gold ratio of 60 to 1
San Jose Mine, Mexico
Silver and gold production for the second quarter were 2 % and 10 % above budget, respectively. Average head grades for silver and gold were 226 g/t and 1.70 g/t or 3 % below and 5 % above budget, respectively. Metallurgical recoveries for silver and gold were 91.99 % and 91.65 % or 2 % and 1 % above budget, respectively.
Caylloma Mine, Peru
Silver production for the second quarter was 7 % above budget with an average silver head grade of 89 g/t, in line with budget. Metallurgical recovery for silver was 85.55 % or 5 % above budget. Differences in lead and zinc produced compared to the second quarter of 2015 are due to an increase in production from levels 12 and 13 of the Animas Vein. Lead and zinc production was 22 % below and 2 % above the company’s mid-year projection, respectively, due to higher than expected grade variability.
Fortuna is a silver and base metal producer focused on mining opportunities in Latin America.