Date: Apr 20, 2018
Canada’s Largo Resources Ltd plans to expand production capacity at the Maracás Menchen mine in Brazil’s Bahia State, targeting an increase of at least 25% from current levels by June 2019, the company said on Monday April 16.
The Toronto-based vanadium producer expects to increase production of vanadium pentoxide (V2O5) to at least 1,000 tonnes per month, a 200-tonne increase from the current nameplate capacity of approximately 800 tpm.
Construction on the expansion is expected to take about 12 months and is set to start at the beginning of June.
Current operating levels are not expected to be affected by the expansion, with Largo maintaining its current production guidance for the remainder of 2018.
“The new expansion plan for the Maracás Menchen mine paves the way for a new chapter of growth for Largo and culminates in additional and significant free cash generation for the company, assuming current V2O5 prices,” Largo president and chief executive officer Mark Smith said in a statement.
