Fortuna cuts 2.2 kg/t Ag + 9.6 g/t Au over 9.2m in upper portion of Animas
Vein, Caylloma Mine, Peru

VANCOUVER, May 12 /CNW/ - Fortuna Silver Mines Inc. (TSX: FVI / Lima Stock Exchange: FVI) is pleased to announce the results of drilling completed in the upper portion of the Animas Vein at the Caylloma Mine in southern Peru. Exploration raises and cross-cuts completed in late 2009 and early 2010 along the Animas structure above level 6 of the mine cut high-grade silver-gold mineralization as previously reported (see Fortuna news release dated Feb. 2, 2010).

    
    Highlights of the drilling include:

      ANIS016010   2222 g/t Ag, 9.64 g/t Au, 1.17% Pb and 3.02% Zn over 9.2m
      ANIS016210    431 g/t Ag, 0.45 g/t Au, 0.53% Pb and 0.26% Zn over 11.8m
      ANIS015610    520 g/t Ag, 0.45 g/t Au, 0.47% Pb and 0.32% Zn over 7.6m
      ANIS015910    305 g/t Ag, 0.64 g/t Au, 0.91% Pb and 2.33% Zn over 8.2m
      ANIS015810    508 g/t Ag, 0.42 g/t Au, 1.51% Pb and 3.76% Zn over 4.1m
    

Widths given are estimated true widths based on the orientation of the drill holes relative to the Animas Vein. The drilling tested the Animas Vein mineralization over a strike length of 500m and vertically from level 6 to the surface, a distance of 150 to 200m along the inclination of the vein.

The full assay results from all twenty drill holes completed in the upper portion of the Animas Vein are summarized below with length-weighted assay averages calculated for the mineralized intervals. The new silver results compare extremely favorably to the 156g/t Ag average Proven and Probable Reserve (P&P) grade for Caylloma with sixty percent of the holes returning higher silver grades (see Fortuna news release dated July 16, 2009):

    
    -------------------------------------------------------------------------
    Tonnes              Ag g/t     Au g/t       Zn %        Pb %         Cu %
    -------------------------------------------------------------------------
    4,033,000            156        0.55        2.58         1.7           -
    -------------------------------------------------------------------------
    

Assay results:

    
    -------------------------------------------------------------------------
                                           Est
                                  Inter-  True
                     From     To    val  Width    Ag    Au   Pb    Zn    Cu
    Hole_Id           (m)     (m)   (m)    (m)  (g/t) (g/t)  (%)   (%)   (%)
    -------------------------------------------------------------------------
    ANIS012910       46.65   50.25  3.60  3.21   130  0.59  0.85  2.78  0.11
    ANIS013010       60.70   66.25  5.55  5.33   206  0.49  0.68  1.27  0.05
    ANIS015510       30.60   32.20  1.60  1.55    87  0.24  1.94  4.81  0.05
           and       44.00   45.90  1.90  1.84   241  0.38  0.51  1.44  0.07
    ANIS015610       32.10   39.85  7.75  7.62   520  0.45  0.47  0.32  0.04
    ANIS015710       70.60   74.25  3.65  3.42   379  0.26  0.35  0.21  0.05
    ANIS015810       86.00   90.20  4.20  4.14   508  0.42  1.51  3.76  0.17
           and       94.40   97.90  3.50  3.45   219  0.50  0.74  1.39  0.04
    ANIS015910       92.80   95.55  2.75  2.69   356  0.53  0.40  1.09  0.01
           and       97.80  106.20  8.40  8.21   305  0.64  0.91  2.33  0.04
    ANIS016010       99.30  109.00  9.70  9.22  2222  9.64  1.17  3.02  0.05
    ANIS016110       57.10   61.10  4.00  3.44   176  0.23  0.18  0.32  0.02
           and       63.40   66.10  2.70  2.32   511  0.66  0.26  0.08  0.02
           and       67.70   75.95  8.25  7.08   370  0.37  0.37  0.32  0.04
    ANIS016210       80.90   93.40 12.50 11.79   431  0.45  0.53  0.26  0.06
    ANIS016310       87.50   89.95  2.45  2.45    96  0.21  0.16  0.69  0.03
    ANIS016410       88.80   89.65  0.85  0.85    56  1.52  1.71  4.89  0.10
    ANIS016510       86.20   88.80  2.60  2.55   323  0.29  7.95  3.24  0.32
    ANIS016610       36.60   40.70  4.10  3.98   133  1.37  1.56  3.67  0.15
    ANIS016710       46.50   50.00  3.50  3.34    55  0.67  2.27  3.69 0.158
    ANIS016810              No significant mineralized intervals
    ANIS016910       11.05   14.30  3.25  2.49   368  0.10  0.25  0.09  0.03
    ANIS017010       16.20   21.25  5.05  4.97   228  0.76  0.71  1.72  0.27
    ANIS017110       71.90   73.90  2.00  1.80    70  0.73  3.22  5.57  0.16
    ANIS017210       72.75   76.50  3.75  3.67    46  0.44  1.85  4.18  0.18
    

The location of the drill holes relative to the underground workings is indicated in the longitudinal section of the Animas Vein which is available for viewing at:

http://www.fortunasilver.com/i/pdf/Caylloma_Animas_L6_long_section_23APR2010.pdf

The full results of the drilling and sampling of the underground workings are currently being compiled and interpreted in preparation for completion of a new resource and reserve estimate for the upper portion of the Animas Vein. Development of the 6th level is in progress and will allow the rapid integration of the new resources into the current mine plan.

Don Luis II Exploration Target

Exploration drilling of the Don Luis II Vein prospect has been initiated where surface sampling and mapping have identified mineralized structures with strong silver and gold mineralization. Surface channel samples collected over a strike length of 400m at the Don Luis II Vein include 9.89 g/t Au and 347 g/t Ag (sample 251778), 10.0 g/t Au and 93.5 g/t Ag (sample 251740) and 1.16 g/t Au and 1250 g/t Ag (sample 251751). Seven drill holes totaling approximately 1000m are planned to test the Don Luis II Vein. The Don Luis II prospect is located in the western portion of the Caylloma District.

Background

During the 1st quarter of 2010, the Caylloma Mine reported silver production of 479,821 ounces, a 30% increase over Q1 of 2009, along with significant quantities of copper, lead and zinc (see Fortuna news release dated April 12, 2010). Current production at the Caylloma Mine comes primarily from the lower levels of the polymetallic Animas Vein supplemented with the production of high-grade Ag ores from the Bateas and Soledad veins.

Quality Assurance & Quality Control

Following detailed geological and geotechnical logging, drill core samples are split on-site by diamond saw. One half of the core is submitted to the ALS Chemex laboratory in Lima, Peru. The remaining half core is retained on-site for verification and reference purposes. Following preparation, the samples are assayed for gold and silver by standard fire assay methods and for base metals by atomic absorption methods utilizing an aqua regia digestion. Multi-element analyses are also completed for each sample by ICP methods. The QA-QC program at Caylloma includes the blind insertion of certified reference standards at a frequency of approximately 1 per 15 normal samples and the insertion of assay blanks at a frequency of approximately 1 per 15 normal samples. Drill results reported in this news release correspond to HQ core with the exception of drill holes ANIS012910 and ANIS013010 which are BQ core.

Qualified Person

Mr. Miroslav Kalinaj, P. Geo., is the Company's Qualified Person as defined by National Instrument 43-101 and is responsible for the accuracy of the technical information in this news release.

Fortuna Silver Mines Inc.

Fortuna is a growth oriented, silver and base metal producer focused on mining opportunities in Latin America. Our primary assets are the Caylloma silver mine in southern Peru and the San Jose Silver-Gold Project in Mexico. The Company is selectively pursuing additional acquisition opportunities. For more information, please visit our website at www.fortunasilver.com

Forward-Looking Statements

Certain statements in this press release constitute forward-looking statements and as such are based on an assumed set of economic conditions and courses of action. These include estimates of future production levels, expectations regarding mine production costs, expected trends in mineral prices and statements that describe Fortuna's future plans, objectives or goals. There is a significant risk that actual results will vary, perhaps materially, from results projected depending on such factors as changes in general economic conditions and financial markets, changes in prices for silver and other metals, technological and operational hazards in Fortuna's mining and mine development activities, risks inherent in mineral exploration, uncertainties inherent in the calculation of mineral reserves, mineral resources, and metal recoveries, the timing and availability of financing, governmental and other approvals, political unrest or instability in countries where Fortuna is active, labor relations and other risk factors.

    
    ON BEHALF OF THE BOARD

    Jorge Ganoza
    President, CEO and Director
    Fortuna Silver Mines Inc.
    

Symbol: TSX: FVI / Lima Stock Exchange: FVI

SOURCE Fortuna Silver Mines Inc.

For further information: For further information: Investor Relations: Management Head Office: Carlos Baca Tel: +51.1.616.6060, ext. 2; Corporate Office: Erin Ostrom - Tel: (604) 484-4085

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