NASDAQ OMX

Fortuna provides update and sets construction milestones for its Lindero gold Project in Argentina

Dela

VANCOUVER, British Columbia, Dec. 21, 2017 (GLOBE NEWSWIRE) -- Fortuna Silver Mines Inc. (NYSE:FSM) (TSX:FVI) is pleased to provide an update on construction activities at its 100 % owned Lindero gold Project located in Salta, Argentina.

Jorge A. Ganoza, President, CEO and Director, commented, "The start of construction activities for a new mine is always an energizing event for an organization." Mr. Ganoza continued, "We are fully funded, key positions in the project team are in place and the Company feels very welcome in the Province of Salta." Mr. Ganoza concluded, "We are looking forward to building and commissioning on time and within budget the first modern large scale precious metals mine in Salta."

In September 2017, the Company announced a positive construction decision for Lindero with commissioning expected in the second quarter of 2019 (see Fortuna news release dated September 21, 2017).  Lindero has been designed as an 18,750 tpd1 owner operated open pit mine with a pit life of 13 years based on existing reserves. Crushed ore will be placed on a leach pad with the pregnant solution pumped to SART2 and ADR3 plants prior to electrowining and refining where gold will be poured to doré bars. The technical report of the Lindero Project is available on the Company's website at https://fortunasilver.com/site/assets/files/4098/lindero-project-technical-report-effective-date-31-oct-2017.pdf

With Lindero in its first year of full production, Fortuna's consolidated precious metals annual production is expected to increase to 190,000 ounces of gold and 9 million ounces of silver or 340,000 gold equivalent4ounces.

Note:

  1. Tonnes per day
  2. Sulphidization-Acidification-Recycle-Thickening
  3. Adsorption, Desorption and Recovery
  4. Gold equivalent is calculated using a gold to silver ratio of 1 to 60 and does not include lead nor zinc

Project Update 

In September 2017, the commencement of construction at Lindero was officially launched. As of the end of November, initial contracts have been awarded for approximately US$14 million or 6 percent of the project's capital expenditure.

Detailed Engineering

Engineering, procurement, and construction management (EPCM) was awarded in October 2017 to SAXUM Ingeniería, an Argentinian company with international experience in infrastructure and mining. Detailed engineering work has been launched, procurement packages are being prepared and the bidding process initiated.  

Advanced basic engineering of the SART plant is being completed by Kestrel Engineering, an American firm that will work under the direction of Mr. Mike Botz, a qualified engineer with extensive experience of the SART process.

The construction of the leach pad, a critical path of the project, is in the bidding process. Mass earth moving activities are scheduled to commence in February 2018 and are estimated to conclude with the commissioning of the pad in March 2019. Detailed engineering and construction supervision has been awarded to Anddes Argentina, a company specialized in geotechnical engineering and leach pad design and construction.

Mine Equipment

Mine fleet and other heavy equipment are in the process of being awarded. The principal components of the initial mine fleet include six 100 ton trucks, two 17 cubic yard wheel loaders, two bulldozers and two drill rigs.

The Company is evaluating a non-recourse vendor financing of US$15 million for the purchase of mining equipment.

Initial Site Activities

The project requires the upgrading of the existing exploration camp in order to host the initial workforce who will be responsible for building the temporary construction camp. On site activities commenced in November and the temporary facilities will be ready to host the inflow of construction personnel in January 2018. The construction workforce who will build the permanent facilities is estimated to gradually increase and peak at 600 people. The permanent camp facilities will accommodate 320 people.

The Company is in the process of obtaining municipal approval from the town of Tolar Grande for the start of construction activities on new infrastructure. Formal authorization is expected in January 2018.

Project Funding and Financing

The estimated fully scoped capital cost for the construction of Lindero is US$239 million. Capital expenditures are estimated at US$200 million for 2018, and US$36.5 million for 2019; amounts do not include VAT which is expected to be recovered in the first 24 months from the start of mining operations.

The Company plans to fund the construction from a combination of existing cash reserves, projected cash flow generation and an upsized US$120 million credit facility.

Project Construction Milestones

The Company is providing the following selected milestones from the project construction schedule:

2018

  • February: Start mass earthworks
  • April: First concrete for permanent installations
  • August: Start of equipment installation, including HPGR tertiary crusher
  • November: Construction of roads and platforms in preparation for initiation of mining activities

2019

  • January: Commissioning of power plant
  • March: Placing of first ore on the leach pad
  • May: First doré poured as part of commissioning

Construction updates will be provided on a regular basis throughout the development of Lindero.

Qualified Person

Eric N. Chapman, Vice President of Technical Services of Fortuna, is the Qualified Person for Fortuna Silver Mines Inc. as defined by National Instrument 43-101. Mr. Chapman is a Professional Geoscientist of the Association of Professional Engineers and Geoscientists of the Province of British Columbia (Registration Number 36328) and is responsible for ensuring that the information contained in this news release is an accurate summary of the original reports and data provided to or developed by Fortuna Silver Mines.

About Fortuna  Silver  Mines Inc.

Fortuna is a growth oriented, precious metal producer with its primary assets being the Caylloma silver mine in southern Peru, the San Jose silver-gold mine in Mexico and the Lindero gold Project in Argentina.  The company is selectively pursuing acquisition opportunities throughout the Americas and in select other areas.  For more information, please visit its website at www.fortunasilver.com.

ON BEHALF OF THE BOARD

Jorge A. Ganoza 
President, CEO and Director
Fortuna Silver Mines Inc.

Trading symbols: NYSE: FSM | TSX: FVI

Investor Relations:

Carlos Baca
T (Peru): +51.1.616.6060, ext. 0

Forward looking Statements

This news release contains forward looking statements which constitute "forward looking information" within the meaning of applicable Canadian securities legislation and "forward looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995 (collectively, "Forward looking Statements"). All statements included herein, other than statements of historical fact, are Forward looking Statements and are subject to a variety of known and unknown risks and uncertainties which could cause actual events or results to differ materially from those reflected in the Forward looking Statements. The Forward looking Statements in this news release may include, without limitation, statements about the Company's plans for its mines and mineral properties, including the Lindero gold Project; the Company's business strategy, plans and outlook; the merit of the Company's mines and mineral properties; mineral resource and reserve estimates; timelines; the future financial or operating performance of the Company; expenditures; approvals and other matters. Often, but not always, these Forward looking Statements can be identified by the use of words such as "estimated", "potential", "open", "future", "assumed", "projected", "used", "detailed", "has been", "gain", "planned", "reflecting", "will",  "containing", "remaining", "to be", or statements that events, "could" or "should" occur or be achieved and similar expressions, including negative variations.

Forward looking Statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any results, performance or achievements expressed or implied by the Forward looking Statements. Such uncertainties and factors include, among others, whether the Company's activities at the Lindero gold Project will proceed as planned; changes in general economic conditions and financial markets; changes in prices for silver and other metals; technological and operational hazards in Fortuna's mining and mine development activities; risks inherent in mineral exploration; uncertainties inherent in the estimation of mineral reserves, mineral resources, and metal recoveries; governmental and other approvals; political unrest or instability in countries where Fortuna is active; labor relations issues; as well as those factors discussed under "Risk Factors" in the Company's Annual Information Form. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in Forward looking Statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended.

Forward looking Statements contained herein are based on the assumptions, beliefs, expectations and opinions of management, including but not limited to: that the Company's activities at the Lindero gold Project will proceed as planned; expectations regarding mine production costs; expected trends in mineral prices and currency exchange rates; the accuracy of the Company's current mineral resource and reserve estimates; that the Company's activities will be in accordance with the Company's public statements and stated goals; that there will be no material adverse change affecting the Company or its properties; that all required approvals will be obtained; that there will be no significant disruptions affecting operations and such other assumptions as set out herein. Forward looking Statements are made as of the date hereof and the Company disclaims any obligation to update any Forward looking Statements, whether as a result of new information, future events or results or otherwise, except as required by law. There can be no assurance that Forward looking Statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, investors should not place undue reliance on Forward looking Statements.




This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Fortuna Silver Mines Inc. via Globenewswire

Om

NASDAQ OMX
NASDAQ OMX



Följ NASDAQ OMX

Abonnera på våra pressmeddelanden.

Senaste pressmeddelandena från NASDAQ OMX

PayByPhone appoints Andreas Gruber as new President and CEO20.4.2018 00:19Pressmeddelande

VANCOUVER, British Columbia, April 19, 2018 (GLOBE NEWSWIRE) -- PayByPhone, the global leader in mobile parking payments, today announced that it will appoint Andreas Gruber as president and Chief Executive Officer effective June 1st, 2018. Francis Dupuis, the former President and CEO, will take over a position in Germany with parent company Volkswagen Financial Services AG. To provide additional impetus to the PayByPhone board, two new board positions have been created and as a result Maggie Clay (CFO) and Catherine Scott (Legal Counsel) will be appointed effective June 1st, 2018. During his time at PayByPhone, Francis led the business through significant growth and organizational change and leaves the company well positioned for continued success. "We would like to thank Francis for his strong leadership and look forward to building on his experience within Volkswagen Financial Services," Gerd Künne, Vice-President of mobility unit at Volkswagen Financial Services, said. Francis is e

Progress and Potential for Achieving Cleaner Air on a Global Basis20.4.2018 00:09Pressmeddelande

Adoption of New Generation Diesel Technology Delivers Rapid Clean Air Benefits New understanding of global air quality highlights the need for technologies like new-generation diesel engines, which are capable of accelerating emissions reductions WASHINGTON, April 19, 2018 (GLOBE NEWSWIRE) -- Recent reports highlighting air quality conditions in the United States (State of the Air) and globally (State of Global Air 2018) celebrate the progress made in developed and developing countries, but also emphasize significant disparities in progress toward reducing levels of key pollutants such as particulate matter and ozone. "Achieving continued clean air progress while also sustaining economic growth is possible. Cities and countries must move to proven cleaner engines and fuels," said Allen Schaeffer, executive director of the Diesel Technology Forum. "We can and should bring the tremendous benefits of new technology diesel engines to communities and countries large and small around the wor

SD-WAN for Office 365: Aryaka Helps eLearning company, City & Guilds Group, Improve Office 365 Application Response Time19.4.2018 18:54Pressmeddelande

Aryaka's Global SD-WAN reduces time for global users to open SharePoint files from 10 to 0.05 seconds; Outlook performance improves 9x worldwide LONDON, April 19, 2018 (GLOBE NEWSWIRE) -- Aryaka®, the leading global SD-WAN provider, announced today its SD-WAN technology has enabled City & Guilds Group, a worldwide leader in workplace skills, eLearning, and executive coaching, to achieve faster Office 365 application response times leading to an increase in productivity and better collaboration between users in Europe and Asia-Pacific. Headquartered in London, the City & Guilds Group works with education providers, governments and major corporations to help shape and support skills development for employers in over 100 countries. Team members of the company are similarly scattered around the world and primarily collaborate using Microsoft Office 365 applications, but many remote users were struggling to access the group's instance of Office 365 hosted in Dublin. For example, it could ta

Canacol Energy Ltd. Announces Private Offering of Senior Notes19.4.2018 16:23Pressmeddelande

CALGARY, Alberta, April 19, 2018 (GLOBE NEWSWIRE) -- Canacol Energy Ltd. ("Canacol" or the "Corporation") (TSX:CNE) (OTCQX:CNNEF) (BVC:CNEC) is pleased to announce that it intends, subject to market and other conditions, to offer senior unsecured notes (the "Notes") in a private placement to qualified institutional buyers in the United States pursuant to Rule 144A under the Securities Act of 1933, as amended (the "Securities Act"), to non-U.S. persons in transactions outside the United States pursuant to Regulation S under the Securities Act and pursuant to certain prospectus exemptions in Canada (the "Offering"). The Notes will be fully and unconditionally guaranteed by certain subsidiaries of Canacol. The interest rate, redemption prices and other terms of the Notes are to be determined upon pricing of the Offering. Canacol intends to use the net proceeds from the Offering: (i) to repay the outstanding amounts borrowed under its credit facility; (ii) to pay fees and expenses of the O

FinancialForce Extends Professional Services Automation Leadership With its Spring 2018 Release19.4.2018 14:00Pressmeddelande

New features empower services organizations to run their businesses with greater predictability, assign best-fit resources at scale, and forecast projects with 360-degree insight. SAN FRANCISCO, April 19, 2018 (GLOBE NEWSWIRE) -- FinancialForce, the number one customer-centric ERP cloud vendor built on the Salesforce Platform, announced the availability of its latest version of Professional Services Automation, the highest customer-rated PSA solution for enterprise organizations. The Spring 2018 Release of PSA brings new functional capabilities to accelerate project staffing speed and accuracy; unify people and project data; enable better forecasting decisions; and enhance the overall user experience using the Salesforce Lightning framework. Fast, Accurate Resource Mapping With the Spring 2018 Release of PSA, project and resource managers can identify and assign best-fit resources with greater speed and accuracy. Through advanced skills filtering and search capabilities, including part

SpeeDx receives FDA clearance for Mycoplasma genitalium product19.4.2018 14:00Pressmeddelande

SYDNEY, Australia, April 19, 2018 (GLOBE NEWSWIRE) -- SpeeDx's Resistance Plus ® MG Positive Control kit has now been listed with the US Food and Drug Administration (FDA) for sale in the United States through the company's recently incorporated US entity, SpeeDx Inc. The announcement coincides with the FDA registration of the Australian parent company - SpeeDx Pty Ltd - as a Medical Device Manufacturing Establishment, and clinical trials remain on-track for the Resistance Plus MG assay.* The Resistance Plus MG Positive Control kit contains synthetic DNA to simulate Mycoplasma genitalium, as well as five mutations known to confer resistance to macrolide antibiotics. Macrolide-resistant M. genitalium is a challenging sexually transmitted infection (STI), and global management guidelines are currently being adapted to deal with the rise in resistance. "This is an important product in our portfolio," said Elisa Mokany, Chief Technology Officer for SpeeDx. "M. genitalium is very difficult

I vårt pressrum kan du läsa de senaste pressmeddelandena, få tillgång till pressmaterial och hitta kontaktinformation.

Besök vårt pressrum