FSM Divests Yaramoko Mine, Provides Updated 2025 GEO Outlook

Fortuna Mining Corp. FSM announced that it has closed the sale of the interest in Roxgold Sanu and three other subsidiaries to Soleil Resources International Ltd. With this move, FSM will no longer have any stake in the Yaramoko Mine, which is operated by Roxgold Sanu.

FSM’s Strategic Sale of Yaramoko Mine

In April 2025, the company sold its non-core San Jose mine in Mexico. With the sale of Yaramoko, Fortuna Mining will cease to have any operations in Burkina Faso. Its operating portfolio will include the Séguéla mine in Côte d’Ivoire, Lindero mine in Argentina, Caylloma mine in Peru and the Diamba Sud Gold Project located in Senegal. 

Fortuna Mining opted to sell the Yaramoko mine, considering its limited remaining life and increasingly difficult operating conditions in Burkina Faso. The sale provides the company with additional liquidity to focus more on its strategic objectives.

Soleil Resources paid Fortuna Mining $70 million for its Burkina Faso assets. Before the deal closed, Roxgold Sanu paid FSM a $53.8 million dividend (plus $3.7 million in taxes). Fortuna Mining has the right to $53 million in VAT refunds once certain conditions are met.

The deal boosts Fortuna Mining's first-quarter cash and short-term investments to more than $380 million and liquidity to over $530 million. This transaction will also reallocate around $50 million in capital and free up management capacity.

Fortuna Mining Updates 2025 Outlook

The company now expects gold equivalent production of 309,000-339,000 ounces for 2025, down from the prior stated range of 380,000-422,000 ounces. The updated mid-point reflects a year-over-year dip of 18%. 

FSM’s 2025 All-in Sustaining Cost is now expected to be within $1,670 to $1,765 per GEO compared with $1,550 to $1,680. This increase primarily reflects the exclusion of the Yaramoko mine’s contribution.

FSM Stock’s Price Performance

Shares of Fortuna Mining have gained 0.9% in the past year against the industry’s 7% decline.

Fortuna Mining’s Zacks Rank & Other Stocks to Consider 

FSM currently carries a Zacks Rank #2 (Buy).

Some other top-ranked stocks from the basic materials space are Carpenter Technology Corporation CRS, SSR Mining Inc. SSRM and Idaho Strategic Resources IDR. Carpenter Technology currently sports a Zacks Rank #1 (Strong Buy), while SSR Mining and Idaho Strategic Resources carry a Zacks Rank #2 each. You can see the complete list of today’s Zacks #1 Rank stocks here.

Carpenter Technology has an average trailing four-quarter earnings surprise of 11.1%. The Zacks Consensus Estimate for CRS’ 2025 earnings is pegged at $7.20 per share, which indicates year-over-year growth of 51.9%. Carpenter Technology’s shares have gained 111% in the last year.

SSR Mining has an average trailing four-quarter earnings surprise of 58.8%. The Zacks Consensus Estimate for SSRM’s 2025 earnings is pegged at $1.14 per share, implying year-over-year growth of 307%. SSR Mining stock has soared 88.6% in the last year.

Idaho Strategic Resources has an average trailing four-quarter earnings surprise of 21.7%. The Zacks Consensus Estimate for Idaho Strategic’s 2025 earnings is pegged at 78 cents per share, indicating year-over-year growth of 16.4%. IDR’s shares have jumped 24.5% in the last year.

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This article originally published on Zacks Investment Research (zacks.com).

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