Fortuna Announces Commencement of Pre-Production Mining at Lindero Gold Project

Fortuna Silver Mines Inc. is pleased to announce the start of pre-production mining at its 100 percent owned Lindero gold Project located in the Province of Salta, Argentina. Initial blasting on Mineral Reserves commenced in early September and the mine is planned to build stockpiles of reserves ahead of stacking on the leach pad.

Jorge A. Ganoza, President, CEO and Director, commented, “The start of pre-production mining is one of the important milestones of the project as we go into the final stretch of construction.” Mr. Ganoza added, “The Lindero mineralized body presents us with important economic benefits that can be captured right from the start of mining. There is no pre-stripping required and high-grade gold Mineral Reserves will be accessed with a low strip ratio below one in the first year.” Mr. Ganoza concluded, “In its first full year of operation, Lindero is planned to produce between 145 to 160 thousand ounces of gold.”

The Lindero Project construction remains on track with placement of Mineral Reserves on the leach pad scheduled for the fourth quarter of 2019 and first doré pour planned in the first quarter of 2020. With Lindero in its first year of full production, Fortuna's consolidated precious metals annual production¹ is expected to increase in 2020 to between 7.5 and 8.3 million ounces of silver and between 189 to 209 thousand ounces of gold or between 293 to 324 thousand ounces of gold equivalent².

Construction highlights as at the end of August 2019:

• The overall project is 70 percent complete
• Total construction spending is US$240.8 million
• An eight megawatt power plant is being pre-commissioned; and the medium voltage power distribution system is complete
• All major structures and equipment in the crushing circuit and agglomeration plant have been mounted. The electrical, lubrication, and hydraulic systems are being installed.
• The Project´s workforce to date is 2,350 people; 98 percent are Argentinian nationals, 65 percent come from the Province of Salta, and 10 percent come from neighboring communities. The Project employs 105 female workers which constitute 5 percent of the project´s workforce.

First pre-production blast on Mineral Reserves occurred in early September 2019.