Fortuna Mining reports Q3 production results of 2024
Fortuna Mining Corp. reports production results for the third quarter of 2024 from its five operating mines in West Africa and Latin America.
Consolidated gold and silver production for the nine months of 2024 totaled 273,645 ounces and 2.9 million ounces, respectively, or 339,933 ounces of gold equivalent1, including lead and zinc by-products. Fortuna reiterates its 2024 annual production guidance range of between 457 and 497 thousand ounces of gold equivalent ounces4, including lead and zinc by-products (refer to Fortuna news release dated January 18, 2024).
Q3 2024 Consolidated gold and silver production
| Gold Production (oz) | Silver Production (oz) | ||||||||
| Q3 2024 | Q3 2023 | 9 months 2024 | Guidance 2024 (koz) | Q3 2024 | Q3 2023 | 9 months 2024 | Guidance 2024 (Moz) | ||
| Lindero, Argentina | 24,345 | 20,933 | 70,481 | 93 – 105 | – | – | – | – | |
| Yaramoko, Burkina Faso | 28,006 | 34,036 | 86,630 | 105 – 119 | – | – | – | – | |
| Séguéla, Côte d’Ivoire | 34,998 | 31,498 | 102,537 | 126 – 138 | – | – | – | – | |
| San Jose, Mexico | 3,771 | 8,205 | 13,573 | 19 – 23 | 510,741 | 1,372,530 | 1,954,028 | 3.1 – 3.6 | |
| Caylloma, Peru | 131 | 149 | 424 | – | 305,446 | 308,221 | 927,304 | 0.9 – 1.1 | |
| Total | 91,251 | 94,821 | 273,645 | 343 – 385 | 816,187 | 1,680,751 | 2,881,332 | 4.0 – 4.7 | |
- Au Production includes doré only
Mining
Mine production totaled 484,050 tonnes of ore, averaging 2.48 g/t Au, and containing an estimated 38,661 ounces of gold from the Antenna, Ancien, and Koula pits. Movement of waste during the quarter totaled 2,935,335 tonnes, for a strip ratio of 6:1.
Production was mainly focused from the Antenna pit which produced 412,063 tonnes of ore, with the balance of production sourced from the Koula and Ancien pits.
Processing
In the third quarter of 2024, Séguéla produced 34,998 ounces of gold at an average head grade of 2.69 g/t Au, a 6% increase and 22% decrease, respectively, compared to the second quarter in 2024. The decrease in gold grade is in line with the planned mining sequence. Plant throughput for the quarter averaged 208 tonnes per hour (tph), 35% higher than name plate design capacity of 154 tph. The power outages that were experienced in the second quarter did not affect processing plant operations in the third quarter and enabled an increase in the tonnes processed. However, a failure of the drive shaft of the main apron feeder in early July required a repair which reduced throughput rates while the repairs were completed. Throughput rates were subsequently increased, averaging 216 tph in September.
Gold production for the first nine months of 2024 totaled 102,537 ounces.
Yaramoko Mine, Burkina Faso: Continued strong performance
| Q3 2024 | Q2 2024 | |
| Tonnes milled | 123,754 | 121,391 |
| Average tpd milled | 1,345 | 1,319 |
| Gold grade (g/t) | 6.71 | 8.40 |
| Gold recovery (%) | 97.85 | 98.25 |
| Gold production1 (oz) | 28,006 | 31,447 |
- Production includes doré only
In the third quarter of 2024, 123,754 tonnes of ore were treated at an average head grade of 6.71 g/t Au, producing 28,006 ounces of gold. This represents a 20% decrease in grade, and an 11 percent decrease in production, compared to the second quarter in 2024. The gold grade was lower than predicted in the mine plan due to continuing development operations providing lower grade ore and the milling of supplementary low-grade stockpiles.
During the quarter, 80,740 tonnes of ore were mined averaging 7.41 g/t Au from 55 Zone, and 21,905 tonnes of ore averaging 9.02 g/t Au from QV Prime, totaling 102,645 tonnes averaging 7.75 g/t Au.
Gold production for the first nine months of 2024 totaled 86,630 ounces.
Latin America Region
Lindero Mine, Argentina: In-line to meet annual guidance
| Q3 2024 | Q2 2024 | |
| Ore placed on pad (t) | 1,654,101 | 1,408,791 |
| Gold grade (g/t) | 0.66 | 0.61 |
| Gold production1 (oz) | 24,345 | 22,874 |
- Lindero production includes doré, gold-in-carbon and gold in copper concentrate
During the third quarter of 2024, 2.1 million tonnes of ore were mined, with a stripping ratio of 1:1. A total of 1.6 million tonnes of ore were placed on the leach pad averaging 0.66 g/t Au, containing an estimated 34,925 ounces of gold. The 17% increase in tonnes placed on the leach pad, when compared to the previous quarter, is mainly due to more days of operation and slightly higher throughput for the period.
Lindero’s total gold production for the quarter was 24,345 ounces of gold, comprised of 22,569 ounces in doré bars, 1,754 ounces contained in rich fine carbon, and 21 ounces contained in copper precipitate. The 6% increase in production, when compared to the previous quarter, is mainly explained by the higher ore grade placed on pad, as per the planned mining sequence for the period. Higher head grades and ore tonnes placed on pad during the quarter mean production is on track to meet annual guidance.
As of the end of September, the US$51.8 million leach pad expansion project (US$41.7 million capital investment in 2024) was approximately 76% complete and tracking on budget. Procurement is complete, with all items onsite. Liner installation is approximately 44% complete. The Company expects to start placing ore on the leach pad expansion in the latter part of October 2024 with practical completion expected by year-end. Minor construction activities and contractor demobilization are planned for early 2025.
Gold production for the first nine months of 2024 totaled 70,481 ounces.
San Jose Mine, Mexico: Producing from the tail end of reserves
| Q3 2024 | Q2 2024 | |
| Tonnes milled | 188,212 | 176,214 |
| Average tpd milled | 2,163 | 1,980 |
| Silver grade (g/t) | 99 | 140 |
| Silver recovery (%) | 85.67 | 86.56 |
| Silver production (oz) | 510,741 | 684,176 |
| Gold grade (g/t) | 0.74 | 1.09 |
| Gold recovery (%) | 84.72 | 85.46 |
| Gold production (oz) | 3,771 | 5,269 |
In the third quarter of 2024, the San Jose Mine produced 510,741 ounces of silver, and 3,771 ounces of gold at average head grades of 99 g/t Ag and 0.74 g/t Au; reflecting a 25% and 28% decrease, respectively, when compared to the second quarter of 2024. The processing plant milled 188,212 tonnes averaging 2,163 tonnes per day. Metallurgical recoveries were impacted by higher iron oxide material from upper levels mined during the period.
The mine plan in the second half of 2024 includes areas with increased geologic uncertainty, as the mine is operating at the tail end of its reserves. In the third quarter, production carried out near old workings at the upper levels of the mine, which accounted for 46% of quarterly planned production, returned 36% lower head grades and 28% lower tonnage than expected. The mine plan for the fourth quarter continues to encompass areas of high geologic uncertainty.
The exploration program at the Yessi vein was completed during the quarter, and the Company is now assessing its economic potential along with the resources at the Victoria vein. As the operation is expected to exhaust its Mineral Reserves by year end, management is evaluating the options of continued operations, placing the operation on care and maintenance, or triggering a progressive closure plan.
Silver and gold production for the nine months of 2024 totaled 1,954,028 ounces and 13,573 ounces, respectively.
Caylloma Mine, Peru: Full year production guidance achieved for all metals in the third quarter
| Q3 2024 | Q2 2024 | |
| Tonnes milled | 138,030 | 136,543 |
| Average tpd milled | 1,551 | 1,552 |
| Silver grade (g/t) | 82 | 83 |
| Silver recovery1 (%) | 84.09 | 83.75 |
| Silver production (oz) | 305,446 | 306,398 |
| Lead grade (%) | 3.62 | 3.83 |
| Lead recovery (%) | 90.73 | 91.28 |
| Lead production (lbs) | 9,997,964 | 10,524,868 |
| Zinc grade (%) | 4.64 | 4.80 |
| Zinc recovery (%) | 90.79 | 90.16 |
| Zinc production (lbs) | 12,808,857 | 13,040,343 |
- Metallurgical recovery for silver is calculated based on silver content in lead concentrate
The Caylloma Mine produced 305,446 ounces of silver at an average head grade of 82 g/t Ag in the third quarter of 2024, reflecting similar production as the previous quarter. Silver production for the first nine months of 2024 totaled 927,304 ounces.
Zinc and lead production was 12,808,857 and 9,997,964 pounds, respectively, with average head grades of 4.64% Zn and 3.62% Pb, representing a 2% and 5% decrease in production when compared to the preceding quarter. The lower production is the result of lower head grades delivered to the plant, in accordance with the planned mining sequence for the period. Zinc and lead production for the first nine months of 2024 accounted for 38,031,945 pounds and 30,053,416 pounds, respectively.
