Mr. Jorge Ganoza reports

FORTUNA REPORTS PRODUCTION OF 1.7 MILLION OUNCES OF SILVER AND 10,963 OUNCES OF GOLD FOR THE THIRD QUARTER 2015

Fortuna Silver Mines Inc. has released third quarter production results from its two operating mines in Latin America, the San Jose mine in Mexico and the Caylloma mine in Peru. The company produced 1.7 million ounces of silver, 10,963 ounces of gold and significant base metal byproducts. Silver and gold production for the first nine months totals five million ounces and 29,734 ounces, respectively, reflecting 77 per cent and 84 per cent of the company's annual guidance (see Fortuna news release dated Jan. 15, 2015).

Jorge A. Ganoza, president and chief executive officer, commented: "We continue on target to meet our annual consolidated production guidance. The expansion of our San Jose mine continues on schedule for commissioning in mid-2016. Once at 3,000 tonnes per day, San Jose is planned to operate at an all-in sustaining cash cost of $7 (U.S.) to $8 (U.S.), net of byproduct gold, and will rank among the 13 largest primary silver mines in the world. During the fourth quarter of 2015, we will be carrying out exploration drilling in the Trinidad Central Deep area, and, for 2016, we are developing drill targets at the San Antonio vein and the northern extension of the Trinidad North-Ocotlan vein systems. At Caylloma, our team has successfully executed the plan to shift mining to high-grade polymetallic zones at the Animas vein. Zinc and lead output have increased 42 per cent and 51 per cent, with respect to last year, as mining is focused on zones which provide higher operating margins."

Third quarter production highlights:

• Silver production of 1,734,842 ounces, a 4-per-cent decrease over Q3 2014;
• Gold production of 10,963 ounces, a 12-per-cent increase over Q3 2014;
• Lead production of 6,356,875 pounds, a 51-per-cent increase over Q3 2014;
• Zinc production of 10,121,511 pounds, a 42-per-cent increase over Q3 2014;
• Cash cost for the San Jose mine is $61.96 (U.S.)/tonne, on track to meet annual guidance of $62.7 (U.S.)/t;
• Cash cost for the Caylloma mine is $88.74 (U.S.)/t, on track to meet annual guidance of $90.3 (U.S.)/t.

                      CONSOLIDATED OPERATING HIGHLIGHTS

                  Third quarter 2015               Third quarter 2014
          
           Caylloma, San Jose,              Caylloma, San Jose,             
                Peru    Mexico Consolidated      Peru    Mexico Consolidated
Processed                                                                   
ore                                                                        
Tonnes                                                                      
milled       118,086   183,068                117,728   177,112             
Average                                                                     
tpd                                                                        
milled         1,312     2,053                  1,308     2,015             
Silver                                                                   
Grade                                                                       
(g/t)            127       247                    181       239             
Recovery                                                                    
(%)            81.10     92.27                  85.84     89.42             
Production                                                                  
(oz)         392,410 1,342,432    1,734,842   588,727 1,215,100    1,803,827
Grade                                                                       
(g/t)           0.26      1.97                   0.29      1.83             
Recovery                                                                    
(%)            27.79     92.23                  36.35     89.54             
Production                                                                  
(oz)             272    10,691       10,963       399     9,352        9,751
Lead                                                                        
Grade (%)       2.59                             1.76                       
Recovery                                                                    
(%)            94.18                            92.40                       
Production                                                                  
(lb)       6,356,875              6,356,875 4,213,192              4,213,192
Zinc                                                                        
Grade (%)       4.27                             3.05                       
Recovery                                                                    
(%)            90.99                            90.23                       
Production                                                                  
(lb)      10,121,511             10,121,511 7,148,465              7,148,465

San Jose mine, Mexico

Silver and gold production for the quarter was 28 per cent and 34 per cent above budget, respectively. Average head grades for silver and gold were 247 grams per tonne and 1.97 g/t, or 17 per cent and 23 per cent above plan. Metallurgical recoveries for silver and gold were 92.27 per cent and 92.23 per cent, or 4 per cent above budget for both.

The increase in silver and gold production over budget resulted from higher contributions in ore tonnage and grade from level 1100 relative to the original 2014 mine plan, both in the Trinidad Central and Trinidad North areas.

Caylloma mine, Peru

Silver production for the quarter was 34 per cent below budget with an average head grade of 127 g/t, 32 per cent below plan. Management has redirected mining to focus on base-metal-rich zones of the polymetallic Animas vein. The decrease in silver production is the result of lower production from the Bateas high-grade silver vein and from level 6 of the Animas vein.

Zinc production was 43 per cent above plan with an average head grade of 4.27 per cent, or 40 per cent above plan. Metallurgical recovery for zinc was 90.99 per cent, or 1 per cent above plan. Lead production was 35 per cent above plan with an average head grade of 2.59 per cent, or 31 per cent above plan. Metallurgical recovery for lead was 94.18 per cent, or 2 per cent above budget. Production is now centred on mining of levels 10 and 12 in the Animas vein.

Qualified person

Edwin A. Gutierrez, technical services corporate manager, is the qualified person for Fortuna Silver Mines as defined by National Instrument 43-101. Mr. Gutierrez is a registered member of the Society for Mining, Metallurgy and Exploration Inc. (SME registered member No. 4119110RM), and is responsible for ensuring that the information contained in this news release is an accurate summary of the original reports and data provided to or developed by Fortuna Silver Mines.

We seek Safe Harbor.