Climate Change Data

Fortuna Silver Mines Inc.

Climate Impact & Sustainability Data (2022)

Reporting Period: 2022

Environmental Metrics

Scope 1 Emissions:80,972 tCO2e/year
Scope 2 Emissions:55,726 tCO2e/year
Renewable Energy Share:14%
Total Energy Consumption:1,713,121 GJ/year
Water Consumption:1,687,000 m3/year
Waste Generated:1,084 tons/year
Carbon Intensity:17.94 tCO2eq/kt of processed ore

ESG Focus Areas

  • Climate Change
  • Tailings Management
  • Water Management
  • Energy Management
  • Air Quality
  • Biodiversity
  • Waste Management
  • Community Relations
  • Workforce Health and Safety
  • Security
  • Human Rights
  • Indigenous Peoples' Rights
  • Business Ethics
  • Transparency
  • Human Capital Management
  • Labor Relations
  • Supply Chain Management

Environmental Achievements

  • Zero significant spills
  • 14% of total energy consumed was renewable
  • 63% water recycled
  • Zero significant incidents associated with hazardous materials and waste management
  • Caylloma mine switched to a grid electricity supplier that offers access to energy from 100% renewable sources.

Social Achievements

  • $5,636,894 USD Community investments
  • Zero significant disputes with local communities
  • 25 youth, including 2 women, trained at Séguéla project
  • Implementation of Zero Harm Leadership Program and Zero Harm Award

Governance Achievements

  • 75% Independent Directors
  • 37.5% Women directors
  • Executive compensation linked to ESG performance, including climate change performance
  • Robust ESG oversight structure
  • Updated Sustainability Committee Charter to explicitly include oversight of climate change factors

Climate Goals & Targets

Short-term Goals:
  • Reduce water consumption per tonne of processed ore to 0.28 m3/t by 2023
  • Reduce GHG emissions intensity per thousand tonnes of processed ore to 17.80 tCO2e/kt by 2023
  • Reduce energy use intensity per tonne of processed ore to 0.21 GJ/t by 2023

Environmental Challenges

  • Fatality at Lindero mine in January 2022
  • Lower than estimated production at Argentina operation resulting in higher GHG emissions intensity and energy use intensity.
  • Challenges in achieving local hiring targets due to national state of emergency in Peru and high demand for employment in Argentina.
  • Political instability in Burkina Faso impacting implementation of social development projects.
Mitigation Strategies
  • Immediate and longer-term actions taken to improve health and safety, including enhanced safety training and the Visible Leadership Program.
  • Monitoring of GHG emissions and energy use intensity to improve projection accuracy.
  • Development of plans to manage challenges related to local hiring in Peru and Argentina.
  • Assistance to local authorities and communities in Burkina Faso to operationalize the LDMF.

Supply Chain Management

Supplier Audits: Annual internal assessment process performed by an external third party, focusing on critical Type A contractors.

Responsible Procurement
  • Supplier Code of Business Ethics and Conduct
  • Prioritization of local suppliers
  • Contractual expectations for contractors on HSSEC matters

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
  • Drought conditions
Transition Risks
  • Regulatory changes
  • Market shifts
Opportunities
  • Resource efficiency improvements
  • Increased use of renewable energy
  • Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI Standards, SASB Metals and Mining Standard, TCFD Recommendations

Certifications: ISO 14001 (Caylloma, San Jose), ISO 45001 (Caylloma, San Jose)

Third-party Assurance: Not externally assured