RE:RE:Attn : Kha341 An important question is: Can Largo survive without the success of LCE?
Imho, the answer is a definite “Yes”.
Largo is a cash machine through its mining operations alone. According to the recent Technical Report (Dec 2021) Largo’s expanded mining operations are expected to generate over the new LoM more than US$4M in free cash flows from the sales of Vanadium and Ilmenite/TiO2 as co-products, thus creating significant shareholder value that not even the other 2 primary V mines (Bushveld and Rhovan) can achieve. However, I believe that without LCE, Largo will never be a multi-billion company because of the volatility of the Vanadium prices.
Erik Sardain, a principal consultant at Roskill, when talking about Largo and Bushveld diversification into energy storage, said: “They’re taking a gamble, but a gamble in a position of strength.”
My Humble Opinion.
DYODD