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Largo announces waiver of capitalization condition by banks
Largo announces waiver of capitalization condition by banks Canada NewsWire TORO...
About this update from Largo Inc.
[{"type":"text","content":"\n\n\n\nLargo announces waiver of capitalization condition by banks\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nTORONTO, March 15, 2017\n\n\n\nTORONTO, March 15, 2017 /CNW/ - Largo Resources Ltd. (\"Largo\" or the \"Company\") (TSX: LGO) (OTCQB: LGORF) is pleased to announce today that the syndicate of Brazilian commercial lenders (the \"Lenders\") under the Company's existing debt facilities have agreed to temporarily waive (the \"Waiver\") the requirement that the Company inject a further US$5 million in working capital into the Company's operating subsidiary, a term which the Lenders had required in connection with the entering of the 2017 Facilities in January (see the Company's press release of January 6, 2017).   \n\nIn connection with the granting of this temporary Waiver, the Lenders and the Company are in discussions to use some of the operating subsidiary's cash flow from operations to fund certain payment obligations to the Lenders which had previously been delayed.\n\nMark Smith, President and Chief Executive Officer for Largo, stated: \"The continued generation of cash by operations and the strengthening of the vanadium market generally, have resulted in the Lenders agreeing to grant a waiver from further equity injections at this time. This is a great result for Largo and we look forward to continuing to work with the Lenders to ensure the success of the Company.\" \n\nAbout Largo\n\nLargo Resources Ltd. is a growing strategic mineral company focused on the production of vanadium pentoxide at its Vanadio de Maracás Menchen Mine. Vanadium is primarily used as an alloy to strengthen steel and reduce its weight. Vanadium enhanced steels are used in a vast and growing range of products that are used and encountered every day; including, rebar, automobiles, transport infrastructure etc. As trends in the steel industry now demand increasingly stronger and lighter products for advanced applications, the use of vanadium is expected to grow over the medium and long term. Largo also has interests in a portfolio of other...