Fortuna Announces Possible Delay in Filing its Annual Financial Results

VANCOUVER, BRITISH COLUMBIA--(Marketwired - March 20, 2017) - Fortuna Silver Mines Inc. ("Fortuna" or the "Company") (NYSE:FSM)(TSX:FVI) announces that due to an ongoing regulatory review of the Company's 2015 annual filings, the Company may be delayed in filing its annual audited financial statements and related MD&A for the years ended December 31, 2016 and 2015 (the "Annual Financial Documents").

As part of a review by the staff of the United States Securities and Exchange Commission (the "SEC") of the Company's Annual Report on Form 40-F for the year ended December 31, 2015, the SEC has provided comments on the Company's use of inferred resources in its audited financial statements for the calculation of depletion expenses (the "SEC Comments"). The Company considers the use of its inferred resources in the calculation of depletion expenses to be appropriate under IFRS and consistent with the practice of other Canadian mining companies. However, until the SEC Comments are resolved, the Annual Financial Documents cannot be finalized.

The Company and its auditors and legal counsel are working to address the SEC Comments. Once resolution is reached with the SEC, the Company will proceed with the finalization and filing of the Annual Financial Documents as soon as practicable. The Company expects to be in a position to complete the filing within 45 days of the date hereof.

The Company's Annual Financial Documents are required to be filed no later than March 31, 2017. The Company has applied to the British Columbia Securities Commission and other Canadian provincial securities regulatory authorities pursuant to National Policy 12-203 Management Cease Trade Orders for a management cease trade order ("MCTO") in connection with the possible late filing of the Annual Financial Documents. If an MCTO is issued, the MCTO will prohibit the Chief Executive Officer and the Chief Financial Officer from trading in securities of the Company for so long as the required filing of the Annual Financial Documents has not been completed.

If an MCTO is issued, the Company intends to issue bi-weekly news releases containing updating information until the Annual Financial Documents are filed.

About Fortuna Silver Mines Inc.

Fortuna is a growth oriented precious metals producer focused on mining opportunities in Latin America. The Company's primary assets are the Caylloma silver mine in southern Peru, the San Jose silver-gold mine in Mexico and the Lindero gold project in Argentina. The Company is selectively pursuing acquisition opportunities throughout the Americas and in select other areas.