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TSX LGO
The information presented contains “forward-looking statements,” within the meaning of the United States Private Securities Litigation Reform Act of 1995, and “forward-looking information” under
similar Canadian legislation, concerning the business, operations and financial performance and condition of the Company. Forward-looking statements and forward-looking information include, but are
not limited to, statements with respect to the estimation of mineral reserves and mineral resources; the realization of mineral reserve estimates; the timing and amount of estimated future production;
costs of production; metal prices and demand for materials; capital expenditures; success of exploration and development activities; permitting time lines and permitting, mining or processing issues;
government regulation of mining operations; environmental risks; and title disputes or claims. Generally, forward-looking statements and forward-looking information 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,” “believes,”
“projects” or variations of such words and phrases or state that certain actions, events or results “may,” “could,” “would,” “might” or “will be taken,” “occur” or “be achieved.” Forward-looking statements
and forward-looking information are based on the opinions and estimates of management as of the date such statements are made, and they 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 Company to be materially different from those expressed or implied by such forward-looking
statements or forward-looking information, including, but not limited to, unexpected events during operations; variations in ore grade; risks inherent in the mining industry; delay or failure to receive
board approvals; timing and availability of external financing on acceptable terms; risks relating to international operations; actual results of exploration activities; conclusions of economic valuations;
changes in project parameters as plans continue to be refined; and fluctuating metal prices and currency exchange rates. Although management of the Company has attempted to identify important
factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, 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 and forward-looking information. The Company does not undertake to update any forward-looking
statements or forward-looking information that are incorporated by reference herein, except in accordance with applicable securities laws.
Investors are advised that National Instrument 43-101 Standards for disclosure for Mineral Projects (“NI 43-101”)of the Canadian Securities Administrators requires that each category of mineral
reserves and mineral resources be reported separately. Mineral resources that are not mineral reserves do not have demonstrated economic viability.
Cautionary Note to U.S. Investors Concerning Estimates of Measured, Indicated or Inferred Resources
The information presented uses the terms “measured,” “indicated” and “inferred” mineral resources. United States investors are advised that while such terms are recognized and required by Canadian
regulations, the United States Securities and Exchange Commission does not recognize these terms. “Inferred mineral resources” have a great amount of uncertainty as to their existence, and as to their
economic and legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian rules, estimates of inferred mineral
resources may not form the basis of feasibility or other economic studies. United States investors are cautioned not to assume that all or any part of measured or indicated mineral resources will ever
be converted into mineral reserves. United States investors are also cautioned not to assume that all or any part of an inferred mineral resource exists, or is economically or legally mineable.
Except as otherwise specifically stated, Mr. Robert Campbell, Vice President of Exploration to Largo, and a Qualified Person as defined by NI 43-101 has reviewed and approved the scientific and
technical disclosure contained herein.
Maracás Menchen Mine
Stock Symbol TSX : LGO
Share price (Oct. 4, 2016) $0.42
Shares issued (Basic) 423 million
Market Cap C178 million
52-week High/Low $0.72 / $0.11
Management & Institutions 80%
Warrants & Options (Basic) 128 million
◉ Glencore International
100% 6 year take-or-pay
off-take for Maracas
◉ Arias Resource Capital – 60%
◉ Business DevelopmentBank of Brazil
◉ Bank Itau, Votorantim, Bradesco
Project Partners and Institutional Shareholders
Management with Operational Expertise (i)Five Most Senior Members of Management
Commodity with Strong Growth Profile (ii)
Only ‘Pure-Play’ Exposure to Vanadium (iii)
High Grade, Low Cost Production Project (iv)
Commercial Shipments Ongoing (v)
Second Quarter Cash OperatingCosts
Record Tonnes Produced Sept.
Compounded AnnualGrowth Rate
P&P 18.4 Million Tonnes
(i) See management slide for combined years experience.(ii) Modified - Roskill (2014), Bloomberg as of September 9, 2015.(iii) Reported operating costs for the Maracás Mine include all royalties, SG&A, sales commissions but excludes CAPEX. The operating costs reported are on a non-GAAP basis. Operating costs reflected are based on the average of the high/low production rates and on a BRL/US exchange rate.
(iv) Refer to Press Release dated May 26, 2016 – Filed on SEDAR.(v) Refer to Press Release dated Oct. 3, 2016 – Filed on SEDAR.
145+
$3.25
3.4%
806
1.17%V2O5
YEARS
◉ Largo has entered into a non-binding memorandum of understanding with Vionx Energy Corporation, a company which develops, produces and sells Vanadium Redox Flow Batteries for utility grid applications.
Utilization of Vionxproduct technical, cost, and partner
advantage
Largo supply capacity, cost advantage, and high quality processing
capability
Stable pricing and necessary capacity for VRB systems
+
=
Experience operating,
developing and financing
mining projects in the
Americas and abroad
Became involved with Largo
at its inception in 2003 and
has held various senior
exploration positions
throughout the Americas
35+
Experience in finance
strategy, financial reporting,
internal control and strategic
planning at a variety of
multinational mining
corporations
Mining engineer with
experience in operational
management for various
large multi-national mining
companies
25+
Financial Management
experience in a range of
different industries. For the last
12 years has lead the Finance
department of multinational
mining and services companies
in Latin America.
28+ 38+ 20+
Years of Experience145+
Tier 1Asset
Low-risk Operational
Profile
Key Risk Mitigants
◉ Located in Brazil, the mine location benefits from well-defined mining regulations
and excellent infrastructure — low-risk jurisdiction
◉ Largo currently has a 3-year contract in place with the local workforce
◉ Offtake agreement in place with Glencore for 100% of production
Experienced Operations Team Low-cost Producer
◉ 6-year take-or-pay off-take
agreement with Glencore, the
world’s foremost trader of
vanadium — removes sales
risk, transfers transportation
cost burden and eliminates
need for sales team
◉ Senior management team has
extensive experience operating
mines in Brazil
◉ Technical team includes some of
the world’s foremost experts on
vanadium processing
◉ With the highest grade
vanadium resource in the world
and minimal contaminants, The
Maracás Menchen Mine is
anticipated to be one of the
lowest cost producers — ability
to sustain operations in low
price environment
◉ The Maracás Menchen Mine possesses the world’s highest
grade vanadium deposit — P&P reserve grade of 1.17% V2O5
is over double the industry average
◉ On track to be one of the lowest cost producers of vanadium
◉ Permits are in place to execute a contemplated mine
expansion
Partnered with World Class Financial And Off-take Partners
Mr. Robert Campbell, Vice President of Exploration to Largo, and a Qualified Person as defined by
NI 43-101 Largo has reviewed and approved this information.
Off-take Agreement
Maracás MenchenMine Concessions and Strike Length
= 15 Year Life of Mine (i)
(i) (i) Mineral Reserves (Proven and Probable Resources), Mineral Resources, and Inferred Resources for the Maracás MenchenMine as calculated in: An Updated Mine Plan and Mineral Reserve for the Maracás Menchen Project, Bahia State, Brazil, dated July 8, 2016 and filed on SEDAR on July 8, 2016. Mineral Resource and Mineral Reserve Effective Date: March 31, 2016.
Mr. Robert Campbell, Vice President of Exploration to Largo, and a Qualified Person as defined by NI 43-101 Largo has reviewed and approved this information.
150 m
350 m
Mr. Robert Campbell, Vice President of Exploration to Largo, and a Qualified Person as defined by NI 43-101 has reviewed and approved this information.
0 5 10 15 20 25 30 35
Million Tonnes
1.17% V2O5
1.11% V2O5
18.4 Million Tonnes
0.83% V2O5
+2 Times Industry Average Grade
30.4 Million Tonnes
24.6 Million Tonnes
Mr. Robert Campbell, Vice President of Exploration to Largo, and a Qualified Person as defined by NI 43-101 has reviewed and approved the technical information.
Mineral Reserves (Proven and Probable Resources), Mineral Resources, and Inferred Resources for the Maracás Menchen Mine as calculated in: An Updated Mine Plan and Mineral Reserve for the Maracás Menchen Project, Bahia State, Brazil, dated July 8, 2016 and filed on SEDAR on July 8, 2016. Mineral Resource and Mineral Reserve Effective Date: March 31, 2016.
m
0.0 1.0 2.0 3.0 4.0
Maracás Menchen Mine South African
Higher head-grade and higher iron
content
Low Cost Production% % % %
Mr. Robert Campbell, Vice President of Exploration to Largo, and a Qualified Person as defined by NI 43-101 has reviewed and approved the technical information.
Refer to Press Release dated May 26, 2016 – Filed on SEDAR.
Concentrate V2O5%
Ore V2O5%
+
=Concentrate has
much higher V2O5
347386
436730
780
801
630746
806
0
1000
2000
3000
4000
5000
6000
0
100
200
300
400
500
600
700
800
900
Jan Feb Mar Apr May June Jul Aug Sep
(i) Chart: Report to Shareholders and Management’s Discussion and Analysis – For the Six Months Ended June 30, 2016.
Tonnage calculated in V2O5 Equivalent (Vx1.785=V2O5). Also see press release dated September 3, 2016 – Filed on SEDAR.
Daily Production Record
Significant Achievements
Maracás Menchen Mine Production YTD
34 Tonnes
Nameplate Capacity
representing approximately
128%
Weekly Production Record
201 Tonnes
Nameplate Capacity
representing approximately
108%
Achieved during the week of June 13, 2016
Cash Operating Costs (/Lb) (i)(ii)
Q12016
Q22016
$3.25-32%
Average Production(Low/High Range)(ii)
Estimated Average AnnualOperating Costs (/Lb) (I)
7,619 – 8,619 tonnes $4.15
(i) Reported operating costs for the Maracás Mine include all royalties, SG&A, and sales commissions but excludes CAPEX. The cash operating costs reported are on a non-GAAP basis. Refer to non-GAAP measures section of ii)Report to Shareholders and Management’s Discussion and Analysis – For the Three and Six Months Ended June 30, 2016.Operating costs reflected are based on the average of the high/low production rates and on a BRL/US exchange rate.
(ii)Report to Shareholders and Management’s Discussion and Analysis – For the Three and Six Months Ended June 30, 2016.Mr. Robert Campbell, Vice President of Exploration to Largo, and a Qualified Person as defined by NI 43-101 Largo has reviewed and approved this information.
Maracás Menchen Mine
$4.75
$-
$10.00
$20.00
$30.00
$40.00
$50.00
$60.00
$70.00
$80.00
0
10,000
20,000
30,000
40,000
50,000
60,000
FeV
Pri
ce (
US
$/K
gV
)
Ch
ina
Va
na
diu
m P
rod
uct
ion
MTV
/yr.
Production Consumption FeV Price (US$/KgV)Source: TTP Squared, Inc
0
10,000
20,000
30,000
40,000
50,000
60,000
Me
tric
To
ns
V p
er
Ye
ar
Production ConsumptionSource: TTP Squared, Inc
World Excluding China Vanadium Production-Consumption
-8,000
-6,000
-4,000
-2,000
0
2,000
4,000
6,000
8,000
20
01
20
02
20
03
20
04
20
05
20
06
20
07
20
08
20
09
20
10
20
11
20
12
20
13
20
14
20
15
20
16
Me
tric
To
ns
V p
er
Ye
ar
Source: TTP Squared, Inc
Buildings, bridges, tunnels
Rail lines, Railway cars, Cargo containers
Pipelines
Power lines and Power pylons
Rebar for construction
Construction machinery and
equipment
High strength steel structures
Automotive parts Aviation and aerospace
Chemical plants, oil refineries, offshore-
platforms
Missiles and defense
Ships
Applications
Strategic Characteristics ◉ Most effective alloy for
increasing the strength
of reinforcing bars
used for buildings,
tunnels, and bridges
Improves Tensile Strength
◉ High strength-to-weight
ratio make vanadium a
vital component in the
manufacturing of auto-
motive and aviation
industries - increases fuel
efficiency and durability
Supports Fuel Efficiency
◉ Natural properties
make vanadium
alloys durable in
extreme
temperature
environments and
corrosion resistant
Increases Weather Resistance
◉ High-strength vanadium alloys
are used extensively in
equipment where abrasion
resistance and toughness are
necessary to operate in
unforgiving environments
Limits Regular Wear and Tear
Source: Vanitec.
195 195 193 195 196 202 207 212 218 220 221179 184 191 198 203 209 214 220 227 232 2410
50
100
150
200
250
2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Kt
Va
na
diu
m
(V2O
5E
qu
iva
len
t)
Supply Demand
3.4% LONG TERM DEMAND CAGR
◉ Crude steel production increased at 3.6% CAGR in 2006 –
2014
◉ However, intensity of vanadium use grew at an 8.0% CAGR
over the same time period
In Conclusion: Vanadium Demand
Continues to Expand
Though crude steel production is expected to have a modest
CAGR of less than 1% through 2025, increasing intensity of
vanadium use coupled with specific end-use growth drivers will
allow vanadium demand to continue to expand
Projected Vanadium Supply
/ Demand Balance
Source: Modified - Roskill (2014), Bloomberg as of September 9, 2015.Note: Supply and demand projections based on Roskill scenario of $18 - $21/kg equilibrium FeV prices.Note: Tonnage calculated in V2O5 Equivalent (Vx1.785=V2O5 Equivalent).
462 477601 648 723 756 759 806 824
510 534
588626
629 635 669719 747
0
2
4
6
8
10
12
14
16
18%
0
500
1,000
1,500
2,000
2010 2011 2012 2013 2014 2015 2016 2017 2018
Boeing Airbus % of Total Deliveries
(Aircraft Deliveries) (B-787, A-350 and A-380 as % of Total)
164 188 203 220 233 248 259 274 293 298 312 330 347 3674147
5155 58
6273
7783 94
99104
109116
205235
254275 291
310332
351376 392
411434
456483
0
100
200
300
400
500
600
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Advanced high-strength steel Ultra high-strength steel
(Average Net Pounds per Vehicle)
Source: Roskill (2014), Steel Market Development Institute, Company disclosures.
Automotive As fuel efficiency and emission regulations
continue to tighten, high-strength, low-weight
steels will drive demand for vanadium
AerospaceAircraft usages presently accounts for 7% of
the vanadium market and is growing rapidly
◉ Aircraft manufacturers are utilizing higher
amounts of titanium-vanadium alloy in
newer models
◉ Boeing’s new 787 Dreamliner and Airbus’ A380
and A350XWB models are comprised of
significantly more vanadium, titanium and
aluminum alloys than their predecessors —
75 – 100+ tonnes per aircraft
◉ Corporate Average Fuel Economy (CAFE)
standards
Growth in Use of High-strength Steels in Automobiles Aerospace Delivery Schedule
0.094
0.075
…
0.053
…
0.046
0.039
0.035
0.00 0.02 0.04 0.06 0.08 0.10
Kg
V/M
T S
tee
l
India
Other
China
Japan
World Average
CIS
Europe
North America
Source: TTP Squared, Inc
Specific Vanadium Consumption Rates 2015
0.054
0.051
$0.00
$5.00
$10.00
$15.00
$20.00
$ Price V2O5
Price rebound
Source: Metal Bulletin.
10 Year Vanadium Pricing (per lb V2O5)
10 Year Average$6.47
30 Year Average$5.00
0 20,000 40,000 60,000 80,000 100,000 120,000
Other
Brazil
South Africa
Venezuela*
Russia
China
To
nn
es
V2O
5E
qu
iv. 57%
17%
9%
Source: TPP Squared, Inc.Note: Tonnage calculated in V2O5 Equivalent - (V/0.5602=V2O5 Equivalent).Note*: Venezuela produces raw material like oil residues and spent catalyst.
Projected Global Vanadium Supply for 2016
8%
6%
90% of Global Supply
Co-product (slag) Production
Primary Production
Secondary Production
* Report to Shareholders and Management’s Discussion and Analysis –For the Three and Six Months Ended June 30, 2016.
$3.50
$6.00
74% of global supply is produced as a co-product using iron ore that contains vanadium
$3.25*Largo
NTD: Prices calculated into V2O5 Equiv.
Source: Roskill 2014; TTP Squared/Atlantic, Vanadium Market Outlook.
Source: Company information & industry experts.
Global Production of Vanadium
China
Brazil
Australia
CIS
India
North America
Africa
Central & South America
Europe
Middle East
Other
Cost of production US/t (fob)
$40
$35
$125
$50
$60
China is losing market share due to high cost of production.
Source: AME Group - Source: Cowen & Co., Morning note April 8, 2016 - Source: Cost of regional production approximate based on data from –
CRU ltd, Morgan Stanley, zerohedge.com, Wood mackenzie, Iron Ore Cost Service - Souce: Uralndaline, Gavakal data macro, the Australian.com.
Global Production of Iron Ore
50
60
70
80
90
100
Tonnes of Iron Ore (millions)
2010 2011 2012 2013 2014 2015
5-Year Chinese Iron Ore Imports
Source: Bloomberg, 2015.
Management with Operational Expertise (i)Five Most Senior Members of Management
Commodity with Strong Growth Profile (ii)
Only ‘Pure-Play’ Exposure to Vanadium (iii)
High Grade, Low Cost Production Project (iv)
Commercial Shipments Ongoing (v)
Second Quarter Cash OperatingCosts
Record Tonnes Produced Sept.
Compounded AnnualGrowth Rate
P&P 18.4 Million Tonnes
(i) See management slide for combined years experience.(ii) Modified - Roskill (2014), Bloomberg as of September 9, 2015.(iii) Reported operating costs for the Maracás Mine include all royalties, SG&A, sales commissions but excludes CAPEX. The operating costs reported are on a non-GAAP basis. Operating costs reflected are based on the average of the high/low production rates and on a BRL/US exchange rate.
(iv) Refer to Press Release dated May 26, 2016 – Filed on SEDAR.(v) Refer to Press Release dated Oct. 3, 2016 – Filed on SEDAR.
145+
$3.25
3.4%
806
1.17%V2O5
YEARS
55 University Avenue,
Suite 1101
Toronto, Ontario
M5J 2H7
416-861-9797
212-421-2545
largoresources.com
Investor Relations
◉ Photos
◉ Board of Directors
◉ Maracás Mining
◉ Process Flow
◉ PGM/Chrome Potential
◉ Secondary Projects
◉ Currais Novos
◉ Northern Dancer
◉ Campo Alegre de Lourdes
Independent Board with Breadth Of Expertise
Vice President, Arias
Resource Capital
CEO of Karmin
Exploration. Formerly
with Aur Resources
Founder & President
Arias Resource Capital
Managing Partner of VH
Properties & Director
of Virgin Hotels
President & CEO of Largo
Resources Ltd.
Former President & CEO
of Sierra Metals and
ASARCO L.L.C.
Partner at McGovern,
Hurley, Cunningham L.L.P.
150 meters
Magnetite(ore)
Gabbro (waste)Mining operations in October 2015
Mr. Robert Campbell, Vice President of Exploration to Largo, and a Qualified Person as defined by NI 43-101 has reviewed and approved the technical information.
Project as at December 11, 2013
Project as at February 20, 2013
Crushing System Milling System
Roasting System (Kiln/Cooler)
Currais Novos
Region Brazil
Metal Tungsten
Stage Care & Maintenance
Campo Alegre
Region Brazil
Metal V, Ti, Fe
Stage Exploration
Northern Dancer
Region Yukon, Canada
Metal Tungsten
Stage PEA Complete
◉ Historical production district
◉ Significant production from
1940s to 1970s (approx 8%
of global supply)
Operational History
◉ Production Commenced
December 2011
◉ Plant optimization continued
through 2012
◉ Production suspended due to
severe regional drought in 2013
◉ 100% owned iron, Titanium,
and Vanadium deposit –
seven concessions covering
9,274.66 hectares
◉ Purchased in 2009 for USD
$250,000.00 from Bahia State
Mining Development Agency
(CBPM)
◉ Preliminary metallurgical
testwork completed in 2011
suggested potential for
Titanium Dioxide (TiO2) project
Notes: Resource classification categories in accordance with the CIM (2005) Standards on Mineral Resources and Reserves referred to in NI 43-101. Mineral resources that are not reserves do not have demonstrated economic viability.
*Resource calculation based on the Preliminary Economic Assessment (the “PEA”) on the Northern Dancer Project, Yukon, Canada Largo Resources Limited dated March 28, 2011 and filed on SEDAR April 7, 2011.
The PEA is preliminary in nature, and includes inferred resources that are too speculative geologically to have economic considerations applied to them. There is no certainty that the PEA will be realized.
Mr. Robert Campbell, Vice President of Exploration to Largo, and a Qualified Person as defined by NI 43-101 has reviewed and approved this information
Mineral Resources*
◉ 223.4 MT grading 0.102% WO3 and
0.029% Mo (M&I)
◉ Higher-grade tungsten and
molybdenum zone: 60.3 MT of
0.14% WO3 and 0.045% Mo (M&I)
◉ 201.2 MT grading 0.09% WO3 and
0.024% Mo (I)
Development Milestones
◉ PEA complete
◉ Discussions with off-take partners
and JV partner
