VANCOUVER, British Columbia, May 28, 2021 (GLOBE NEWSWIRE) – Fortuna Silver Mines Inc. (NYSE: WSF) (TSX: FVI) is pleased to provide an update on the prestige of the royalty claim on one of its mining concessions at the San José mine in Oaxaca, Mexico.
In early February 2020, the Company initiated a judicial process (the “Amparo Procedure”) to challenge the opening of an annulment process initiated through the Directorate General of Mines (“DGM”) in one of the Company’s mining concessions, if a payment claimed through the Mexican Geological Survey (the “SGM”) has been paid (see Fortuna press releases of January 29 and March 5, 2020).
On May 27, 2021, DGM notified the Company of the completion of the cancellation process, on the presofit that the cause required for the cancellation of the concession was not established, so the Company terminated the Amparo process in the Collegiate Court of Mexico.
Taking into account these constructive developments, the Company is now involved in goodwill discussions with the GMS to reach an agreement that satisfies either party in connection with the royalty claim.