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Largo Inc T.LGO

Alternate Symbol(s):  LGO

Largo Inc. is a Canada-based producer and supplier of vanadium products. The Company’s segments include sales & trading, mine properties, corporate, exploration and evaluation properties (E&E properties), Largo Clean Energy and Largo Physical Vanadium. Its VPURE and VPURE+ products, which are sourced from one of the vanadium deposits at the Company's Maracas Menchen Mine in Brazil. The Company is also focused on the advancement of renewable energy storage solutions through Largo Clean Energy and its vanadium redox flow battery technology (VRFB). The Company is also engaged in the process of implementing a titanium dioxide pigment plant using feedstock sourced from its existing operations, in addition to advancing its United States-based clean energy division with its VCHARGE vanadium batteries. VPURE+ Flakes are used in the production of master alloys, where it provides high strength-to-weight ratios for the titanium alloy and aerospace industries.


TSX:LGO - Post by User

Bullboard Posts
Comment by cult_of_frankon Oct 01, 2013 11:00am
154 Views
Post# 21781096

RE:Link to RBC report

RE:Link to RBC reportThanks kha (and polobond). I actually didn't find it -too- out of line, the author clearly indicates that he's undervaluing the mine to account for risk that they are not able to deliver the grades, efficiencies, etc in their process. I certainly agree that the amount it is being devalued is not consistent with my own impression of the risk, but he also does point out that there is potential for upside even above their upside target of 50 cents, which would correspond to the process working well, generating the needed cash for an expansion, and removing some of the penalties associated because of fears that they won't be able to run the mine properly.

Nowhere in the document does he mention any of the other properties, but if Currais Novos is back on track this fall then that should certainly help deal with any cash flow concerns plus generate extra income. Also no mention of PGMs, etc here. Personally, if I wasn't already swimming in shares well beyond any financial advisors' nightmare of an unbalanced portfolio, I'd be investigating further after reading this. Even the 60% increase to the 30-cent target, which we agree is very low for Largo if/when production is ramped up at Maracas, would be a nice one-year return if I were just looking at getting aboard.
Bullboard Posts