Business
Largo Reports Fourth Quarter and Full Year 2021 Operational Results; Sales Exceeds Lower End of Guidance Despite Rain-Related Production Disruption in November-December; Provides 2022 Guidance
TORONTO / Jan 17, 2022 / Business Wire / Largo Inc. ("Largo" or the "Company") (TSX: LGO) (NASDAQ: LGO) today announces annual production of 10,319 tonnes (22.7
About this update from Largo Inc.
[{"type":"text","content":"TORONTO / Jan 17, 2022 / Business Wire / Largo Inc. (\"Largo\" or the \"Company\") (TSX: LGO) (NASDAQ: LGO) today announces annual production of 10,319 tonnes (22.7 million lbs1) of vanadium pentoxide (“V2O5”) and sales 11,393 tonnes of V2O5 equivalent from its Maracás Menchen Mine in 2021. Paulo Misk, President and CEO of Largo, stated: “Despite encountering global logistical delays throughout the year and heavy rains in Brazil in Q4 2021, our team adapted to the challenges presented and managed to exceed the lower range of the Company’s vanadium sales guidance in 2021. I am also pleased to report the Company had a strong finish to the year with V2O5 equivalent sales of 1,029 tonnes in December. Abnormally elevated levels of rainfall in November and December significantly impacted operational results at the MaracásMenchen Mine in Q4 2021 which our operations team worked diligently to implement an effective divert channel system that is expected to prevent heavy rainfall impacts in the future. The Company returned to normalized production levels following the planned 6-day maintenance shutdown which took place early in January.” He concluded: “Looking ahead, the Company remains focused on completing a significant milestone following the delivery of its first VCHARGE VRFB to Enel in Q3 2022 and will begin executing Phase 1 of its operational plan as presented in the Company’s recently released technical report for the Maracás complex in Brazil. We believe the expected incremental cash flows generated by the production and sale of ilmenite concentrate and TiO2 pigment and future planned expansion of vanadium production will provide clear value creation upside to our shareholders going forward. 2022 will undoubtedly present new challenges for our team but we remain focused on the tremendous growth opportunity that exists in our profitable vanadium business and our vanadium-based energy storage business from the deployment of additional VRFB systems expected in the years ahead.” Maracás Menchen Mine Operational and Sales Results Q4 2021 Q4 2020 2021 2020 Total Ore Mined (tonnes) 277,783 338,226 1,248,967 1,087,518 Ore Grade Mined - Effective Grade (%)2 1.00 1.18 1.12 1.29 &n...