Largo Could Capture 7.5 Percent of Vanadium Market in Next Year

In an interview with Mining Weekly, Mark Brennan, president and CEO of Largo Resources Ltd. (TSXV:LGO), said the company expects to capture 7.5 percent of the global vanadium market with the next year.

As quoted in the market news:

Brennan said despite the company dealing with some initial teething problems at the front-end of the plant, no critical issues had been found as the plant ramped up. He expected the mine to declare commercial production when the plant had achieved a throughput rate of between 50% and 60% of the nameplate capacity by September or October, with full production expected from the first quarter of 2015.

Largo expects output to reach a rate of 9 600 t/y of vanadium pentoxide within the next 12 months, at cash costs of between $5.50/kg and $6/kg. A second phase of expansion will see output rise to 14 400 t/y within the next three years, potentially giving the company the ability to supply up to 10% of the global demand.

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