Fortuna Mining Stock Price, News & Analysis

Fortuna Mining Corp. (NYSE: FSM | TSX: FVI) announced its Q2 2024 financial results. Key highlights include:

Financial: Attributable net income rose to $40.6 million or $0.13 per share, up from $26.3 million or $0.09 per share in Q1 2024. Adjusted attributable net income was $30.4 million or $0.10 per share. Cash flow from operations before working capital changes reached $93.0 million, with free cash flow of $38.6 million. Fortuna issued convertible notes for $172.5 million, using part to clear $125.0 million under its credit facility. Liquidity stood at $355.6 million by June 30, 2024.

Operational: Gold equivalent production increased to 116,570 ounces from 112,543 ounces in Q1 2024. Gold production rose to 92,716 ounces, and silver production dropped to 990,574 ounces. Consolidated cash costs per ounce of gold equivalent sold were $988, and all-in sustaining cash costs were $1,656, with specific adjustments for San Jose mine.

Growth: At the Kingfisher prospect, Séguéla Mine, Fortuna intersected 23.7 g/t gold over 17.8 meters. Exploration at Diamba Sud showed 31.3 g/t gold over 12.0 meters.

Financial Metrics: Sales increased by 64% to $260.0 million. Operating income surged by 619% to $55.4 million. Adjusted EBITDA was $112.7 million.

Fortuna Mining Corp. (NYSE: FSM | TSX: FVI) has announced the release date for its second quarter 2024 financial results. The unaudited financial statements and MD&A will be released on August 7, 2024, after market close. A conference call to discuss the results is scheduled for August 8, 2024, at 12:00 p.m. Eastern time.

Key executives, including CEO Jorge A. Ganoza and CFO Luis D. Ganoza, will host the call. Shareholders and interested parties can join via webcast or phone. The replay will be available until August 22, 2024, and a transcript will be archived on the company's website.

Fortuna Mining Corp. (NYSE: FSM | TSX: FVI) reported an impressive Q2 2024 production of 116,570 gold equivalent ounces, marking a 25% increase from Q2 2023 and a 4% rise from Q1 2024.

Gold production reached 92,716 ounces, up 44% year-over-year, but silver production fell 22% to 990,574 ounces. Zinc and lead production were 13.0 million and 10.5 million pounds, respectively.

For the first half of 2024, consolidated gold and silver production totaled 182,394 ounces and 2.1 million ounces, respectively. The company maintains its 2024 production guidance of 343-385 thousand ounces of gold and 4.0-4.7 million ounces of silver, equaling 457-497 thousand ounces of gold equivalent.

Operational highlights include strong performance from the Séguéla and Yaramoko mines despite power supply issues, steady production at Lindero, and ongoing exploration at San Jose, which is on track to meet annual guidance despite potential resource depletion.

Fortuna Mining has provided an update on its exploration programs at the Diamba Sud Gold Project in Senegal. The most notable result was an intersection of 31.3 g/t gold over 12.0 meters from the Karakara Prospect. Other significant finds include 8.9 g/t gold over 27.7 meters from Western Splay and 2.9 g/t gold over 15.3 meters from Kassasoko.

The exploration team completed a 20,665-meter, 159-hole drilling program since March 2024. Results are expected to contribute to growing the project portfolio and resource base. The Karakara Prospect continues to show promising high-grade mineralization, with multiple significant intercepts. The company aims to further refine geological controls and progress satellite prospects.

The exploration team will slow down drilling during the upcoming rainy season but will continue to review and fine-tune the geological controls on mineralization.

Fortuna Silver Mines has announced the results of its annual and special meeting held on June 20, 2024. A total of 153,562,018 common shares, representing 50.16% of issued and outstanding shares, were represented. Shareholders voted in favor of all matters, including the appointment of auditors, election of directors, and a name change to 'Fortuna Mining Corp.'

Key directors elected include Jorge Ganoza Durant with 99.52% votes in favor, and David Laing with 88.83% votes in favor. The name change will take effect on June 20, 2024, with shares and debentures trading under the new name within two to five business days. The ticker symbols 'FSM' and 'FVI' will remain unchanged.

The company has issued a notice of redemption for its 4.65% senior subordinated unsecured convertible debentures, to be redeemed on July 10, 2024, if not converted to common shares. The new company website will launch on June 21, 2024, under www.fortunamining.com. CEO Jorge A. Ganoza emphasized the company's evolution and growth into a mid-tier precious metals producer.

Fortuna Silver Mines has announced significant drilling results at the Séguéla Mine in Côte d’Ivoire. The Kingfisher Prospect has returned 23.7 g/t gold over 17.9 meters, and other notable findings include 6.0 g/t over 11.9 meters and 6.4 g/t over 19.6 meters. At the Badior Prospect, key results include 20.5 g/t gold over 4.2 meters and 38.3 g/t over 3.5 meters. The Ancien Deposit revealed 27.4 g/t gold over 5.6 meters and 39.1 g/t over 2.8 meters. These findings expand high-grade gold potential, with Kingfisher showing continuous mineralization over 1 kilometer, remaining open at depth. Drilling at Badior and Ancien has also yielded promising high-grade intersections, supporting the underground mining potential. Drilling at Séguéla will continue through the second half of 2024, aiming for a maiden resource estimate by early 2025.

Fortuna Silver Mines has completed its offering of 3.75% convertible senior notes due 2029, raising US$172.5 million, including an additional US$22.5 million from the exercise of an option. The initial conversion rate is set at 151.7220 shares per US$1,000 principal amount, equating to a conversion price of approximately US$6.59 per share.

The proceeds will be used to repay bank debts, fund working capital, general corporate purposes, and to redeem its existing 4.65% senior subordinated unsecured convertible debentures. Debenture holders have until July 10, 2024, to convert or receive cash payment. The notes and shares are not registered under the U.S. Securities Act and cannot be sold in the U.S. without registration or exemption.

Fortuna Silver Mines announces the pricing of its convertible senior notes offering due 2029, with an aggregate principal amount of $150 million. The initial purchasers have an option to buy an additional $22.5 million in notes within 15 days. The notes will bear a 3.75% annual interest rate, paid semi-annually, and have an initial conversion rate of 151.7220 common shares per $1,000 in principal, equivalent to a $6.59 per share conversion price. The offering is expected to close on June 10, 2024, subject to customary conditions. Net proceeds will repay existing bank debt, fund working capital, and cover general corporate purposes, including the repayment of existing 4.65% senior subordinated unsecured convertible debentures. The notes and shares are not registered under the U.S. Securities Act or qualified by a prospectus in Canada, limiting their offer and sale to qualified institutional buyers and non-U.S. persons outside the U.S.

Fortuna Silver Mines (NYSE: FSM | TSX: FVI) has released its 2023 Sustainability Report, highlighting key ESG performance metrics. The report details significant progress in tailings management, climate change initiatives, and overall safety performance. Notable improvements include a reduction in the Total Recordable Incident Frequency Rate (TRIFR) from 2.67 in 2022 to 1.22 in 2023 and an increase in ISO 45001 and ISO 14001 certifications. Additionally, there was a reduction in carbon intensity and freshwater consumption, with 63% of water usage from recycling. Financial contributions to governments and communities also rose, with $74.4 million paid in government contributions and $8.5 million allocated to community development. However, the report noted one fatality at the Caylloma Mine.