Highlights:

• Five-year contract to supply up to 2,876 metric tonnes of high-purity vanadium pentoxide in total with flexible delivery schedules subject to terms and conditions of the award, up to a maximum amount of US$125 million.
• Fixed-Price per pound V₂O₅ at a premium above current benchmark V₂O₅ price indexes in 2026 and escalating 10% each year after that.
• A lengthy review and vetting process established Largo as a trusted supplier within the U.S. defense industrial base and critical materials ecosystem, positioning the Company as part of the supply chain for the U.S. Government and the Department of Defense.
• Contract provides a framework for the supply of high-purity vanadium pentoxide for the U.S. defense logistics agency, contributing to U.S. national security and industrial resilience.

Largo Inc. (TSX: LGO) (NASDAQ: LGO)  the world’s largest primary vanadium producer announced that its subsidiary, Largo Resources USA Inc. has been awarded an Indefinite Delivery, Indefinite Quantity contract by the U.S. Defense Logistics Agency Strategic Materials for the supply of up to 2,876 metric tonnes of high-purity vanadium pentoxide (“V₂O₅“) in support of the U.S. National Defense Stockpile. The award is part of the Department of Defense’s efforts to strengthen critical mineral supply chains and ensure long-term access to strategic materials essential for defense readiness and industrial mobilization.

The award establishes Largo as an approved supplier to the DLA and underscores the Company’s role as a reliable, Western-aligned producer of high-purity vanadium products. Largo’s vanadium is produced at its Maracas Menchen Mine and chemical complex in State of Bahia, Brazil, one of the world’s highest-grade vanadium operations and a long-standing source of premium vanadium products for global customers.

“This award represents a major milestone for Largo and validates the strategic importance of our vanadium supply platform after a lengthy review process of vetting and discussions with the U.S. Department of Defense,” said Mr. Alberto Arias, Executive Chairman and Co-CEO of Largo. “We are proud to become part of the supply chain to the United States Government for high-purity vanadium and to support the DLA’s efforts to strengthen and secure diversified and allied supply chains for this critical material used in aerospace, defense, energy storage, specialty alloys and other key industrial applications.”

“We view this contract as recognition of Largo’s quality, reliability, and commitment to meeting the most demanding specifications in the market after years of investment in developing a secure and reliable source of vanadium products for Western markets,” said Mr. Daniel Tellechea, Co-CEO of Largo. “China and Russia currently produce approximately 80-85% of world vanadium supply. We believe the firm-fixed-price structure of this contract reflects the strategic value the U.S. Government places on securing reliable, Western-aligned sources of high-purity vanadium pentoxide for defense applications. This contract should help improve Largo’s vanadium price realizations and help offset the headwinds of depressed vanadium prices outside the U.S. as well as price inflation in raw materials and energy costs recently caused by logistics disruptions in the Middle East,” he added.

“This award reflects the strength of Largo’s long-term engagement with the U.S. Defense Logistics Agency Strategic Materials and the Company’s ability to meet the rigorous technical and commercial requirements of the defense procurement process,” said Mr. Francesco D’Alessio, Chief Commercial Officer of Largo. “We are pleased to have contributed to advancing this program through to award and to support its implementation going forward through Largo USA. This contract further reinforces Largo’s position as a reliable supplier of high-purity vanadium pentoxide to critical government stockpile initiatives.”

The Company expects the contract to further enhance its commercial profile and provide a platform for additional engagement with U.S. Government agencies, defense contractors and industrial customers seeking secure access to critical materials. Largo USA will serve as the contracting entity for all U.S. Government contract requirements, encompassing customer engagement, logistics coordination, quality assurance, compliance, and delivery execution. Expanding its presence in the U.S. critical minerals market and aligning the Company’s supply capabilities with Western government and defense requirements remains one of Largo’s strategic priorities.

Contract Scope and Financial Context

The contract is part of DLA’s initiative to acquire high-purity vanadium pentoxide for stockpile requirements supporting aerospace-grade titanium alloys, advanced defense manufacturing, and emerging energy storage technologies. It provides for a five-year ordering period utilizing firm-fixed-price delivery orders, with vanadium pentoxide meeting stringent purity and quality specifications established by DLA.

The IDIQ contract structure provides for delivery orders to be issued over a five-year ordering period. IDIQ awards of this nature with DLA typically support multi-year stockpile build programs with order volumes calibrated to strategic reserve requirements.

The award follows extensive market research by DLA and reflects the U.S. Government’s objective to maintain secure, resilient sources of critical materials for defense and industrial mobilization. DLA previously identified a limited number of qualified suppliers capable of meeting the program’s technical, quality, and supply chain requirements.

Production Capacity to Support Delivery

Largo is well-positioned to fulfill delivery orders under this contract from its world-class Maracás Menchen Mine and chemical complex in Brazil, which is the world’s largest primary vanadium mine. The Company produced 9,150 tonnes of V₂O₅ equivalent in 2025 and has guided for 10,500 to 12,000 tonnes of V₂O₅ equivalent production in 2026, representing a meaningful year-over-year increase supported by improved mine access, higher-grade ore availability, and operational enhancements implemented during 2025. Q1 2026 production of 2,616 tonnes came in at the upper end of quarterly guidance.

Largo produces ilmenite (a titanium mineral) as by-product of its vanadium operations and is currently evaluating the possible production of additional by-products such as copper, gold, platinum, palladium and cobalt, most of which are classified as critical metals.

Additionally, Largo owns 100% of tungsten assets in Canada and in Brazil and has recently announced the evaluation of strategic alternatives to maximize shareholder value following the recent rise in tungsten prices and investor interest.

This announcement is neither paid for nor sponsored, in whole or in part, by any element of the United States Government. For further information: https://www.war.gov/News/Contracts/Contract/Article/4530662/contracts-for-june-30-2026/

About Largo

Largo is the world’s largest primary vanadium producer and a globally recognized supplier of high-quality vanadium products, sourced from its world-class Maracás Menchen Mine in Brazil. As one of the world’s largest primary vanadium producers, Largo produces critical materials that empower global industries, including steel, aerospace, defense, chemical, and energy storage sectors. The Company is committed to operational excellence and sustainability, leveraging its vertical integration to ensure reliable supply and quality for its customers.

Largo is also strategically invested in the clean energy storage sector through its 37.4% ownership of Storion Energy, a joint venture with Stryten Energy focused on scalable domestic electrolyte production for utility-scale vanadium flow battery long-duration energy storage solutions in the U.S.

The Company also holds a 100% interest in the Northern Dancer Tungsten-Molybdenum property located in the Yukon Territory, Canada, and a 100% interest in the Currais Novos Tungsten Tailing Project near Natal, Brazil. Preliminary economic assessments were completed for each asset in 2011.