Fortuna Silver Mines Closes US$74.8 Million Bought Deal Financing

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Feb. 9, 2017) - Fortuna Silver Mines Inc. ("Fortuna" or the "Company") (NYSE:FSM)(TSX:FVI) is pleased to announce that it has completed its previously announced bought deal financing and has issued 11,873,750 common shares (the "Offered Shares"), including 1,548,750 common shares that were issued upon the full exercise of the over-allotment option, at US$6.30 per Offered Share for gross proceeds to the Company of US$74,804,625 (the "Offering"). The Offering was conducted by a syndicate of underwriters co-led by Raymond James Ltd., BMO Nesbitt Burns Inc. and Scotia Capital Inc., and including CIBC World Markets Inc. and National Bank Financial Inc. (collectively, the "Underwriters"). The net proceeds from the Offering will be used for general working capital purposes.

The Offered Shares were offered for sale in each of the provinces of Canada by way of a short-form prospectus (the "Prospectus") and in the United States pursuant to a registration statement on Form F-10, as amended (the "Registration Statement"), in accordance with the Multijurisdictional Disclosure System established between Canada and the United States.

This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the Offered Shares in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification of the Offered Shares under the securities laws of that jurisdiction.

Before you invest in Fortuna, you should read the Prospectus or the Registration Statement, as well as the other documents that the Company has filed with the securities regulatory authorities, for more complete information about the Company and the Offering. You may get these documents at no charge by visiting EDGAR on the SEC website, at www.sec.gov, or on the SEDAR website, at www.sedar.com. Alternatively, the Company, any Underwriter or any dealer participating in the Offering will arrange to send you a written Prospectus, or you may request the Prospectus from Sally Whittall, Corporate Secretary of Fortuna, 650-200 Burrard Street, Vancouver, Canada, V6C 3L6, telephone number [phone].