Business
Fortuna reports record net income, operating cash flow, and sales for 2012
(All amounts expressed in US dollars, unless otherwise stated) VANCOUVER, March 20, 201...
About this update from Fortuna Mining Corp.
[{"type":"text","content":"\n\n\n\n\n\n(All amounts expressed in US dollars, unless otherwise stated)\n\n\nVANCOUVER, March 20, 2013 /CNW/ - Fortuna Silver Mines Inc. (NYSE: FSM) (TSX: FVI) (BVL: FVI) (Frankfurt:\n F4S.F) today announces 2012 revenue of $161 million and net income of $31.5\n million for the year. For the fourth quarter revenue totaled $37.9\n million with net income of $8.5 million.  Record silver and gold\n production for the year increased to a record 3,987,757 ounces and\n 20,699 ounces, respectively, at a consolidated cash cost per ounce, net\n of by-product credits, of $5.96.\n\n\nCommenting on the year, Jorge A. Ganoza, President and CEO, said, \"Our\n robust financial performance in 2012 reflects Fortuna's record silver\n and gold production, which exceeded guidance by 8% and 19%,\n respectively, as well as the company's low-cost metal delivery.  Our\n 2012 consolidated cash cost per ounce of silver, net of by products, of\n $5.96, once again positions Fortuna as one of the lowest cost silver\n producers in the industry.\"\n\n\nMr. Ganoza continued, \"Looking ahead, in 2013 we will continue to focus\n on maximizing the production and cash flow of our current mines and\n actively explore our commanding land tracts in Peru and Mexico, while\n selectively evaluating external growth opportunities.  For 2013, we\n anticipate organic silver and gold production growth of 10% and 13%,\n respectively.  On the cost side, at our Caylloma mine we expect cost\n per tonne to increase year-over-year by ten percent in 2013, which\n should be offset by a cost reduction of 5.5% at our San Jose mine, thus\n reducing our consolidated cash cost per silver ounce estimate to $5.00,\n net of by- products.  We have budgeted $52 million for capital\n expenditures in 2013.  Our largest project will be the $14 million San\n Jose mine mill expansion from 1,000 tpd to 1,500 tpd, which is planned\n for commissioning in early third quarter of this year.  In 2014, we\n expect capital requirements for our existing operations to drop to\n sustaining levels of approximately $20-$25 million annually.  Based on\n our current outlook, solid balance sheet and strong cash flow we\n believe we are well positioned to execute on our strategic plan in 2013\n and beyond.\"\n\n\n2012 Financial Statements and MD&A Highlights:\n\n\n\nSa...