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Message: FVI reports record production of 1.5 mm oz of Ag & 8,150 oz of gold for Q1
Apr 14, 2014

Fortuna reports record production of 1.5 million ounces of silver and 8,150 ounces of gold for first quarter 2014

Vancouver, April 14, 2014 - Fortuna Silver Mines, Inc. (NYSE: FSM) (TSX: FVI) (BVL: FVI) (Frankfurt: F4S.F) is pleased to announce first quarter 2014 production figures from its two operating mines in Latin America, the San Jose mine in Mexico and the Caylloma mine in Peru. The company produced 1.5 million ounces of silver, 8,150 ounces of gold plus base metal by-products. Fortuna is on schedule to produce 6 million ounces of silver and 32,300 ounces of gold or 7.9 million Ag Eq* ounces in 2014.

Jorge A. Ganoza, President and CEO, commented: "I am very pleased with the strong production figures for the first quarter of the year. Gold and silver outputs were both above plan and costs remained well in line with our guidance for the year. The mill expansion to 2,000 tpd at San Jose was completed in early April and we expect to be at this new run rate during the month."

First Quarter Production Highlights
  • Silver production of 1,536,859 ounces; 55 % increase over Q1 2013
  • Gold production of 8,150 ounces; 81 % increase over Q1 2013
  • Lead production of 3,892,624 pounds; 16 % decrease over Q1 2013
  • Zinc production of 6,529,041 pounds; 10 % increase over Q1 2013
  • Cash cost** for San Jose is US$66.61/t; in line with annual guidance of US$67.1/t
  • Cash cost** for Caylloma is US$87.85/t; in line with annual guidance of US$88.3/t
(*) Ag Eq is calculated using metal prices of US$1,200/oz for gold andUS$20/oz for silver
(**) Preliminary estimates of cash operating costs per tonne, subject to modification on final cost consolidation

Consolidated Operating Highlights:
First Quarter 2014 First Quarter 2013
Caylloma, Peru San Jose, Mexico Consolidated Caylloma, Peru San Jose, Mexico Consolidated
Processed Ore
Tonnes milled 114,115 150,708 264,823 111,416 93,478 204,894
Average tpd milled 1,297 1,748 1,266 1,076
Silver*
Grade (g/t) 174 229 173 184
Recovery (%) 84.80 89.74 80.61 88.94
Production (oz) 539,824 997,035 1,536,859 499,445 492,773 992,218
Gold
Grade (g/t) 0.32 1.74 0.38 1.48
Recovery (%) 44.40 90.29 39.53 88.78
Production (oz) 524 7,627 8,150 532 3,960 4,492
Lead
Grade (%) 1.66 2.10
Recovery (%) 92.96 89.49
Production (lbs) 3,892,624 3,892,624 4,614,275 4,614,275
Zinc
Grade (%) 2.87 2.79
Recovery (%) 90.49 86.48
Production (lbs) 6,529,041 6,529,041 5,934,843 5,934,843

(*) Metallurgical recovery for silver at Caylloma mine is calculated based on silver contents in lead concentrate

San Jose Mine, Mexico

Silver and gold productions for the first quarter were 12 % and 13 % above budget respectively. Average head grades for silver and gold were 229 g/t and 1.74 g/t or 13 % above plan for both. Metallurgical recoveries for silver and gold were 89.74 % and 90.29 % or 1 % above budget for both.

The processing plant expansion from 1,800 to 2,000 tpd was completed according to plan in the first week of April; mine and mill will be achieving new production rate during the month. Due to the continuing exploration success at Trinidad North, the company is assessing the economic robustness of a potential plant and mine expansion to 3,000 tpd.

Caylloma Mine, Peru

Silver production for the first quarter was 10 % above budget and average head grade was 174 g/t or 7 % above plan. Metallurgical recovery for silver was 84.80 % or 3 % above budget.

Qualified Person

Boris G. Caro, Technical Services Corporate Manager, is a Qualified Person for Fortuna Silver Mines Inc. as defined by National Instrument 43-101. Mr. Caro is a Member of Australasian Institute of Mining and Metallurgy (Membership Number 305462) and a Registered Member of the Chilean Mining Commission (ComisiĆ³n Calificadora de Competencias en Recursos y Reservas Mineras, Registered Member Number 0229) 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.

Fortuna Silver Mines Inc.

Fortuna is a growth oriented, silver and base metal producer focused on mining opportunities in Latin America. Our primary assets are the Caylloma silver mine in southern Peru and the San Jose silver-gold mine in Mexico. The company is selectively pursuing additional acquisition opportunities throughout the Americas. For more information, please visit our 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 | BVL: FVI | Frankfurt: F4S.F

Investor Relations:

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