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Fortuna Silver Mines Inc. (TSX:FVI,NYSE:FSM) announced that in 2015 it will be expanding the mill at its San Jose mine from 2,000 to 3,000 tonnes per day. It will also be building a dry stack tailings deposit and filter facility.
Fortuna Silver Mines Inc. (TSX:FVI,NYSE:FSM) announced that in 2015 it will be expanding the mill at its San Jose mine from 2,000 to 3,000 tonnes per day. It will also be building a dry stack tailings deposit and filter facility.
Expansion highlights include:
- Silver and gold production: Annual production rate ranging from 6.7 – 8.3 million ounces of silver and 52.0 – 56.7 thousand ounces of gold or 9.8 – 11.7 million silver equivalent* ounces
- Capital expenditure: US$30 million
- Economics: 36% after-tax Internal Rate of Return (IRR); payback period of 2 years
- All-in sustaining cash cost (AISCC): Expansion will position San Jose’s AISCC in the range of US$8 – 9/oz Ag, net of by-product gold
Jorge A. Ganoza, president and CEO of Fortuna, commented:
With the approval of these two key projects, we are positioning our company to increase annual consolidated production to the range of 12 to 14 million ounces of silver equivalent while maintaining our low cost producer status. Key at these times as well is our ability to self-fund growth from operating cash flows and cash-on-hand.
Click here to read the full Fortuna Silver Mines Inc. (TSX:FVI,NYSE:FSM) press release.