Largo Announces Waiver of Capitalization Condition BY Banks
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PRESS RELEASE March 15, 2017
LARGO ANNOUNCES WAIVER OF
CAPITALIZATION CONDITION BY BANKS
TORONTO – 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 c apital 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).
In 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.
Mark 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."
About Largo
Largo Resources Ltd. is a growing strategic m ineral 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, r ebar, 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 projects, including: a 100% interest in the Currais Novos Tungsten Tailings
Project in Brazil; a 100% interest in the Campo Alegre de Lourdes Iron-Vanadium Project in Brazil; and a
100% interest in the Northern Dancer Tungsten-Molybdenum property in the Yukon Territory, Canada. For
more information, please visit www.largoresources.com.
Disclaimer:
This press release contains forward-looking information under Canadian securities legislation. Forward-looking
information includes, but is not limited to, statements wi th respect to completion of any financings; Largo's
development potential and timet able of its operating, develop ment and exploration assets; Largo's ability to raise
additional funds necessary; the futu re price of vanadium, tungsten and mo lybdenum; 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 re sults "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 histor ical fact, is forward looking information. Forward-looking statements are subject to
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known and unknown risks, uncertainties and other factors t hat 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 c an 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 fo rward-looking statements. Largo does not undertake to
update any forward-looking statements, ex cept in accordance with applicable securities laws. Readers should also
review the risks and uncertainties sections of Largo's annual and interim MD&As.
NEITHER THE TORONTO STOCK EXCHANGE (NOR IT S REGULATORY SERVICE PROVIDER) ACCEPTS
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE
CONTACT INFORMATION:
For more information, please contact:
Largo Investor Relations