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Fortuna Silver Mines pours first gold at its Séguéla mine in Côte d'Ivoire

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(Kitco News) - Fortuna Silver Mines (NYSE: FSM) (TSX: FVI) announced today that the first gold has been poured at the Séguéla mine in Côte d'Ivoire.

The company said that the first pour took place yesterday, May 24, as the mine transitions from commissioning to the ramp-up phase.

The Séguéla gold project in Côte d’Ivoire consists of the resource-defined, near-surface Antenna, Koula, Agouti, Boulder, and Ancien orogenic lode-style deposits.
Within a total land package of 62,000 hectares, there are an additional 22 prospective targets.

The open pit mine has compelling economics, including an after-tax NPV (5% discount rate; gold price is $1,600/oz) of $380M, an after-tax IRR of 49% and a payback period of 1.7 years.

The project has 1.1Moz of gold in reserves, 1.1Moz of gold in resources, and a mine life of 9 years. Average annual production is 120,000 oz. The initial six years are expected to report 133,000 oz of gold production annually.

The Séguéla mine is expected to produce between 60,000 to 75,000 oz of gold in 2023 at an all-in sustaining cost (AISC) of between US$880 and $1,080 per oz of gold.

CEO Jorge A. Ganoza commented, “Séguéla has produced its first gold, becoming Fortuna’s fifth operating mine. The team at Séguéla has performed phenomenally and delivered on-time and on-budget, a testament to their professionalism and dedication in bringing this asset from exploration to production.

“Séguéla now enters into the ramp-up phase where management plans to achieve nominal rate of production during the third quarter. Séguéla will be a cornerstone asset in Fortuna’s portfolio for years to come, and we look forward to unlocking the value it brings to all of our stakeholders.”

Fortuna Silver Mines is a Canadian precious metals mining company with five operating mines in Argentina, Burkina Faso, Mexico, Peru, and Côte d'Ivoire.

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