Fortuna Mining Produces 455,958oz AuEq, Sells Mexican Mine

Canada-based Fortuna Mining released its production results for 4Q24 and the full year 2024. The company produced 369,637oz of gold and 3.7Moz of silver during 2024, reaching a total of 455,958oz of gold equivalent (AuEq).

In 4Q24, AuEq production totaled 116,358oz, up from 110,820oz of AuEq in the previous quarter but down from 136,154oz of AuEq in 4Q23. Gold production reached 95,993oz, compared to 91,251oz in 3Q24 and 107,376oz in 4Q23. Silver production was 843,611oz, marking a slight increase from 816,187oz in 3Q24 but lower than the 1.35Moz produced in 4Q23.

For the full year 2024, Fortuna’s production of 455,958oz of AuEq was in line with the low end of guidance. Gold production reached 369,637oz, achieving the midpoint of the guidance range, while silver production was below guidance at 3.7Moz, a significant decrease from the 5.9Moz produced in 2023. By-product production included 39.6 million lb of lead and 51.9 million lb of zinc. Fortuna Mining’s Total Recordable Injury Frequency Rate (TRIFR) for 2024 was 1.36, higher than the 1.22 reported in 2023, while its Lost Time Injury Frequency Rate (LTIFR) increased to 0.48 from 0.36 in the prior year.

Fortuna Mining also provided its 2025 guidance, projecting production between 380,000oz and 422,000oz of AuEq, a decrease of 7% to 17% compared to 2024. Gold production is expected to range from 334,000oz to 373,000oz, while silver production is projected to decrease significantly, with a forecast of between 0.9Moz and 1Moz. Cash costs for 2025 are expected to range between US$895 and US$1,015/oz AuEq, with an All-in Sustaining Cost (AISC) of between US$1,550 and US$1,680/oz AuEq.

Fortuna Mining’s exploration budget for 2025 is set at US$41 million, with 53% allocated for brownfields and 47% for greenfields initiatives. Exploration in Mexico will focus on project generation and target testing, with a budget of US$4.9 million for the year, including 8,000m of planned drilling.

San Jose Mine’s Status

At the San Jose mine in Oaxaca, Fortuna Mining announced the sale of the non-core asset following the end of the quarter. In 4Q24, the San Jose mine produced 594,373oz of silver and 4,239oz of gold. The production figures marked an increase from the previous quarter, attributed to higher grades being mined. However, annual production fell below the lower end of guidance due to reduced tonnage and challenges related to metallurgical recovery, particularly from iron oxide material.

The San Jose mine, once a core asset and among the world’s Top 12 silver-focused mines, is no longer considered strategic by Fortuna Mining. MBN reported that Fortuna has signed an agreement with Mexico-based Minas del Balsas (MDB) to sell its 100% interest in Compañia Minera Cuzcatlan. Following the sale, Fortuna Mining will retain only a 1% net smelter return royalty on production from the San Jose Mine concessions for five years starting from production.