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Fortuna Mining Corp (FSM) Q2 2024 Earnings Call Highlights: Strong Financial Performance and ...


Fortuna Mining Corp (FSM) Q2 2024 Earnings Call Highlights: Strong Financial Performance and ...

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Q: What proportion of revenue comes from base metals, and how do you see this changing over the next 6 to 12 months? A: Base metals currently account for about two-thirds of revenue at the mine. Historically, silver and base metals were evenly split in terms of revenue contribution, but this has shifted. We expect the current revenue split between silver and base metals to remain consistent through 2024 and 2025.

Q: Can you expand on the current thinking regarding the San Jose mine for next year? A: We have three options for San Jose: a progressive closure by year-end, placing the mine on care and maintenance while continuing exploration, or continuing mining depending on the success of ongoing work. We are short on reserves but are optimizing resources to potentially convert them into reserves. A decision is expected by the third quarter.

Q: Could you provide an update on the share repurchase program and any potential participation in a Zoom call with Water Tower Research? A: We have a share repurchase program in place but have not been active recently. We constantly revisit this based on market conditions and valuation. Regarding the Zoom call, we are open to engaging with new research entities and can arrange a conversation through our Investor Relations.

Q: What are the next steps for the Kingfisher discovery, and is there potential to incorporate it into the mine plan soon? A: We have drilled about 14,000 meters at Kingfisher, outlining mineralization over a two-kilometer strike. We plan to continue drilling to produce a first resource estimate by year-end. Most of the resource will be inferred initially, with infill drilling planned for early 2025. It's too early to incorporate it into the mine plan, but we are excited about its potential.

Q: How is the company managing power outages at the Seguela mine, and what impact does this have on production? A: We mitigated power outages by running the mill at a higher rate and sourcing higher-grade ore. In July, we received almost full power from the grid, allowing us to revert to our normal mining schedule. You should expect to see grades decline from Q2 levels, but we aim to maintain higher throughput.

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

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