The Energy Report

Fortuna Silver Mines Inc. TICKER: FSM:NYSE; FVI:TSX; FVI:LMA; F4S:FSE Visit Company Website Fortuna Silver Mines Inc. is a low-cost, growth-oriented silver and base metal producer with operations in Peru and Mexico. The Caylloma silver-lead-zinc mine, located in the department of Arequipa in Peru, has operated profitably since start up in 2006 and is currently treating ore at a rate of over 1,250 tpd. Commercial operations at the larger silver and gold San Jose mine, located in southern Mexico, started in September 2011 at a rate of 1,000 tpd. The company's consolidated production will increase from 1.9 Moz silver plus base metal credits in 2010 to 6 Moz silver equivalent per year plus base metal credits in 2014.

The information provided below is from analysts, newsletters and other contributors. Please contact the company and visit its website before making an investment decision.

Expert Analysis

Morning Coffee (1/27/12) "Fortuna Silver Mines Inc. impressed the market, announcing that 2011 production met company guidance. The company reported production of 2.5 Moz silver, 7 Koz gold, 19.7 Mlb lead and 23.4 Mlb zinc. . .Fortuna has a strong growth profile, more than $76M in cash in the bank, no debt and possesses one of the strongest operating groups in the junior silver space."

Brian Quast, CIBC World Markets (1/26/12) "Fortuna Silver Mines Inc. announced production results for Q411 that were ahead of our expectations on all fronts; production of 913 Koz silver, 3.5 Koz gold, 4.4 Mlb lead and 5.7 Mlb zinc was well ahead of our estimates. . .2012 guidance was also very strong and well above our expectations. Guidance of 3.7 Moz silver, 17 Koz gold, 18 Mlb lead and 21 Mlb zinc exceeded our 2012 estimate of 3.4 Moz silver, 14 Koz gold, 14 Mlb lead and 23 Mlb zinc. . .Fortuna continues to operate well and should continue to be rewarded."

Andrew Kaip, BMO Capital Markets (1/26/12) "Fortuna Silver Mines Inc. announced 2011 silver and gold production of 2.5 Moz and 7.0 Koz, respectively, roughly in line with guidance. Q411 silver and gold production was 28% and 4% above BMO Research's forecasts, reflecting higher-than-expected throughput at San Jose. . .Fortuna announced 2012 production guidance of 3.7 Moz silver and 17.4 Koz gold."

Chris Thompson, Haywood Securities (1/9/12) "With the San Jose Ag‐Au mine now in production, Fortuna Silver Mines Inc. is primed for an active 2012, offering aggressive near‐term production and cash flow growth supported by steady state silver and base metal production from its Caylloma Ag‐Zn‐Pb‐Cu mine. . .Haywood views the company as one of a group of emerging silver producers capable of delivering +5 Moz Ag eq annually. . .and anticipates +5 Moz Ag production by 2015, from San Jose and Caylloma, at a low cash cost supported by valuable byproduct credits. . . Fortuna's near‐term growth plans are fully funded with an estimated US$63M in cash and short‐term investments."

The Gold Report Interview with Louis James (12/12/11) "Another one we like a lot in Mexico is Fortuna Silver Mines Inc. Its new San Jose mine is in Oaxaca, southern Mexico, far from most of the drug problems in northwest Mexico. Instead of being the typical silver mine, which is a lead mine with silver in it, this is a gold-silver mine. Gold as a byproduct is much more attractive to us." More >

• Corporate Presentation (9/1/11)

• View Photo Updates from the San Jose Project

(1/17/12) FVI Rings NYSE Opening Bell

(12/10/10) Fortuna Silver Mines Inc.—An Emerging Silver Producer

Back to Top