Dallas, Texas 01/21/2014 (FINANCIALSTRENDS) – Fortuna Silver Mines Inc. (NYSE:FSM), the Canadian head quartered silver and gold mining firm, with a market cap of $437 million announced huge increase in production from its 2013 full year and 4 Quarter operations ending on 31st December 2013 during its earnings call on 13th January. On the back of such robust operational results in spite of the challenging market sentiments surrounding the precious metal markets, the investor community has been heavily investing into the stock. As a result of this acute investor interest in the stock, the shares of Fortuna Silver Mines Inc. (NYSE:FSM) have posted a huge 16 percent increase in silver production and 3 percent increase in gold production in 2013, in comparison to 2012.
From the full year 2013 mining operations at its San Jose Mine (Mexico) and Caylloma Mines (Peru), the mining firm produced 4.6 million ounces of silver and 21,242 ounces of gold and has projected its 2014 aggregate gold and silver production to go up by 51 percent to 8 million Ag Eq.
Commenting on the strong finish to the year and increased forecast for 2014 “We continue to successfully source significant organic growth from our assets. At our San Jose Mine, we are expanding throughput to 2,000 tpd in the second quarter of this year. Consolidated silver production grew sixteen percent in 2013 and for 2014; we are forecasting a thirty percent increase driven by the San Jose plant expansion.”
The firm has indicated that it would be looking at significantly lowering its operating and capital spending this fiscal year and anticipates its cash cost per ounce of silver to drop by 19 percent to $17.14 per ounce. At its San Jose mine it plans to utilize 683,000 tonnes of ore and has ear marked $29.4 million for full year operations. At its Caylloma plant, it anticipates processing 464,100 tonnes and has set aside $10.7 million for operations.