Business
Largo Resources Announces Strong 2020 Financial Results Following Transformative Year; Focused on Continued Growth in 2021 with Robust Vanadium Market and New Largo Clean Energy Division
TORONTO / Mar 17, 2021 / Business Wire / Largo Resources Ltd. ("Largo" or the "Company") (TSX: LGO) (OTCQX: LGORD) is pleased to announce its 2020 financial res
About this update from Largo Inc.
[{"type":"text","content":"TORONTO / Mar 17, 2021 / Business Wire / Largo Resources Ltd. (\"Largo\" or the \"Company\") (TSX: LGO) (OTCQX: LGORD) is pleased to announce its 2020 financial results highlighted by revenues of $120.0 million on sales of 10,254 tonnes of vanadium pentoxide (“V2O5”) equivalent. For 2020, the Company achieved a new annual V2O5 production record of 11,825 tonnes and the lowest annual cash operating costs excluding royalties2 to date of $2.56 per pound sold of V2O5. 2020 marked a transformative year for the Company as it successfully established and implemented its internal sales division while navigating challenges presented by the global COVID-19 pandemic. In 2020, the Company surpassed its annual V2O5 sales guidance by 254 tonnes and outperformed its annual cash cost guidance by 5%. These results continue to highlight the Company’s strong focus on operational excellence and stringent cost management. Paulo Misk, President and Chief Executive Officer for Largo, stated: “The Company exited 2020 with strong operational and financial momentum following new quarterly and annual production records and a new quarterly sales record. I am pleased to report that we achieved the lowest annual cash operating costs excluding royalties2 to date of $2.56 per lb V2O5 in 2020, outperforming the Company’s annual cash cost guidance by 5%. The Company ended 2020 with a cash balance of $79.1 million and following the full repayment of the Company’s outstanding credit facilities in February 2021, is now debt-free. Our financial position remains strong and the entire Largo team is focused on the execution and delivery of the Company’s strategic growth projects with the goal of significantly increasing shareholder value. In Q2 2021, we expect to release an updated technical report which will be aimed at upgrading mineral resources to mineral reserves, expanding our minerals resources and will incorporating the vanadium trioxide (“V2O3”) plant and titanium dioxide (“TiO2”) pigment projects.” He continued: “Largo Clean Energy remains a particular focus as we work to commercialize our superior VCHARGE± battery technology to capitalize on long-duration, clean energy storage opportunities around the world. Additionally, robust vanadium demand and low inventories continue to support price increases across all our main markets as evidenced by recent FMB spot...