- Two new records achieved over consecutive days of 102% and 110% capacity
- 10 million pounds of V2O5 produced since commencing production
Symbol: LGO (TSX.V)
TORONTO, Aug. 26, 2015 /CNW/ - Largo Resources Ltd. ("Largo" or the "Company") is pleased to announce that it has achieved two new production records over consecutive days at its Maracas Menchen Mine in Bahia, Brazil.
The Company achieved a new daily production record on Monday August 23rd of 27 tonnes of V2O5, which represents approximately 102% of the plant's daily design capacity.
This record performance was surpassed on Tuesday August 24th with daily production totalling 29 tonnes of V2O5 or approximately 110% of the plant's daily design capacity.
The Company also recently achieved a new record for a single production shift (3 production shifts per day) of 11 tonnes which further indicates the Plant's capability to further increase daily production rates.
Additionally, Largo is pleased to report that on Monday August 23rd it marked another production milestone of 10 million pounds of V2O5 produced since production began in August, 2014.
Mr. Mark A. Smith, President and Chief Executive Officer to the Company, stated: "This is an enormous achievement for Largo and the Maracas Menchen Mine. Following a record month of production in July of 607 tonnes, we have again set new records in August by achieving daily production rates above design capacity over two consecutive days."
He continued: "These records demonstrate the Plant's increasing operating efficiency as well as proves that we are able to achieve stability at levels at and above the plant's design capacity. I would like to applaud our technical team for their continued determination to exceed our production targets. We expect to see continuing growth in average production rates over the next several months as our engineering improvements are installed."
Quality Assurance/Quality Control:
Mr. Michael Mutchler, Chief Operating Officer to Largo, and a Qualified Person as defined by NI 43-101, has reviewed and approved the contents of this press release.
Largo (TSX-V: LGO) is a growing strategic mineral company focused on continuing to ramp-up production at its Vanadio de Maracás Menchen Mine.
Largo's Maracás Menchen Mine boasts the highest grade vanadium deposit yet discovered and is expected to be a low cost producer. With an off-take in place with Glencore, Largo is well positioned to become a leading producer of vanadium globally and is expected to generate substantial cash-flows.
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. With a compound annual growth rate of over 6% for the past several years (Roskill, 2013), vanadium is a bourgeoning commodity which lacks opportunities for investment in the wider market place. As trends in the steel industry now demand increasingly stronger and lighter products for advanced applications, the use of vanadium is expected to continue this growth over the medium and long term.
Largo is listed on the TSX Venture Exchange under the symbol "LGO".
For more information please refer to Largo's website: www.largoresources.com
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This press release contains forward-looking information under Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to completion of any financings; Largo's development potential and timetable of its operating, development and exploration assets; Largo's ability to raise additional funds necessary; the future price of vanadium, tungsten and molybdenum; the estimation of mineral reserves and mineral resources; conclusions of economic evaluation; the realization of mineral reserve estimates; the timing and amount of estimated future production, development and exploration; costs of future activities; capital and operating expenditures; success of exploration activities; mining or processing issues; currency exchange rates; government regulation of mining operations; and environmental risks. Generally, forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". All information contained in this news release, other than statements of current and historical fact, is forward looking information. Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Largo to be materially different from those expressed or implied by such forward-looking statements, including but not limited to those risks described in the annual information form of Largo and in its public documents filed on SEDAR from time to time.
Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made. Although management of Largo has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Largo does not undertake to update any forward-looking statements, except in accordance with applicable securities laws. Readers should also review the risks and uncertainties sections of Largo's annual and interim MD&As.
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SOURCE Largo Resources Ltd.
For further information: Darcie Ladd, Vice President, Investor Relations, 416-861-9406, [email protected]