Corporate Presentation - September 2012

www.largoresources.com

An Emerging Market Leader

for VANADIUM and TUNGSTEN Production

Autumn 2012

CORPORATE PRESENTATION

Forward Looking Statements

The information presented contains “forward-looking statements,” within the meaning of the United States Private Securities Litigation Reform Act of 1995, and

“forward-looking information” under similar Canadian legislation, concerning the business, operations and financial performance and condition of the Company.

Forward-looking statements and forward-looking information include, but are not limited to, statements with respect to the estimation of mineral reserves and mineral

resources; the realization of mineral reserve estimates; the timing and amount of estimated future production; costs of production; metal prices and demand for

materials; capital expenditures; success of exploration and development activities; permitting time lines and permitting, mining or processing issues; government

regulation of mining operations; environmental risks; and title disputes or claims. Generally, forward-looking statements and forward-looking information can be identified

by the use of forward-looking terminology such as “plans,” “expects” or “does not expect,” “is expected,” “budget,” “scheduled,” “estimates,” “forecasts,” “intends,”

“anticipates” or “does not anticipate,” or “believes,”, “projects” or variations of such words and phrases or state that certain actions, events or results “may,” “could,”

“would,” “might” or “will be taken,” “occur” or “be achieved.” Forward-looking statements and forward-looking information are based on the opinions and estimates of

management as of the date such statements are made, and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual

results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements or

forward-looking information, including, but not limited to, unexpected events during operations; variations in ore grade; risks inherent in the mining industry; delay or

failure to receive board approvals; timing and availability of external financing on acceptable terms; risks relating to international operations; actual results of exploration

activities; conclusions of economic valuations; changes in project parameters as plans continue to be refined; and fluctuating metal prices and currency exchange

rates. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in

forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be

no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements.

Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. The Company does not undertake to update any

forward-looking statements or forward-looking information that are incorporated by reference herein, except in accordance with applicable securities laws.

Investors are advised that National Instrument 43-101 of the Canadian Securities Administrators requires that each category of mineral reserves and mineral resources

be reported separately. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

Cautionary Note to U.S. Investors Concerning Estimates of Measured, Indicated or Inferred Resources

The information presented uses the terms “measured,” “indicated” and “inferred” mineral resources. United States investors are advised that while such terms are

recognized and required by Canadian regulations, the United States Securities and Exchange Commission does not recognize these terms. “Inferred mineral

resources” have a great amount of uncertainty as to their existence, and as to their economic and legal feasibility. It cannot be assumed that all or any part of an

inferred mineral resource will ever be upgraded to a higher category. Under Canadian rules, estimates of inferred mineral resources may not form the basis of feasibility

or other economic studies. United States investors are cautioned not to assume that all or any part of measured or indicated mineral resources will ever be converted

into mineral reserves. United States investors are also cautioned not to assume that all or any part of an inferred mineral resource exists, or is economically or legally

mineable.

2

3

Company Overview

Target Production Date Estimated Approx. Cash Flow

August 2011: Currais Novos (Funded)

$8+ million per annum

4th Quarter 2013: Maracas (Funded)


March 2017: Northern Dancer $200+ million per annum


Estimated Production Profile – 5 Year Target

The information presented contains “forward-looking statements,” within the meaning of the United States Private Securities Litigation Reform Act of 1995, and “forward-looking information” under similar Canadian legislation, concerning the

business, operations and financial performance and condition of the Company. Forward-looking statements and forward-looking information include, but are not limited to, statements with respect to the estimation of mineral reserves and

mineral resources; the realization of mineral reserve estimates; the timing and amount of estimated future production; costs of production; metal prices and demand for materials; capital expenditures; success of exploration and development

activities; permitting time lines and permitting, mining or processing issues; government regulation of mining operations; environmental risks; and title disputes or claims. Generally, forward-looking statements Forward-looking statements and

forward-looking information are based on the opinions and estimates of management as of the date such statements are made, and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual

results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements or forward-looking information, including, but not limited to, unexpected

events during operations; variations in ore grade; risks inherent in the mining industry; delay or failure to receive board approvals; timing and availability of external financing on acceptable terms; risks relating to international operations;

actual results of exploration activities; conclusions of economic valuations; changes in project parameters as plans continue to be refined; and fluctuating metal prices and currency exchange rates.

Corporate Structure

4

Stock symbol: LGO – TSX-V

Share price (Sept 18, 2012): $0.24

Shares issued (Basic): 824 million

Market Cap C$197 million

52-week High/Low: $0.36 / $0.22

Management & Institutions: 75%

Warrants & Options (Basic): 222 million

Institutional Shareholders

Arias Resource Capital-16.8%

Mackenzie Investments-15.9%

Eton Park Capital Management-13.3%

Ashmore Investment Management13.3%

Project Partners

Glencore International 100% Take-or-pay off-take agreement for Maracas vanadium

project

Major Tungsten End User 100% off-take agreement for Currais Novos tungsten project

Shareholders & Project Partners

Currais Novos Shareholder site visit – August 2012

Mark Brennan, President & CEO

Founding member of Desert Sun Mining with over 20 years financing experience in North America and Europe. Founder and

Principal of Linear Capital, Brasoil Corporation, Castle Resources, James Bay Resources, Morumbi Oil & Gas and former President,

CEO and Chairman of Admiral Bay Resources.

Tim Mann, P.Eng., Chief Operating Officer

Mining Engineer with extensive international operations and management experience in mine engineering, development and

operations with SNC Lavalin, Placer Dome and Goldcorp.

Andy Campbell, M.Sc., P.Geo., Vice President Exploration

Over 33 years experience in mining and exploration, including LAC Minerals and Noranda.

Kurt Menchen, General Manager, Brazil

Former Jacobina Mine Manager, Brazil. Mining Engineer with over 30 years experience including Anglo Gold and Desert Sun

Mining.

Les Ford, Technical Director of Brazilian Operations

With over 40 years of experience in constructing, developing and producing vanadium projects, Mr. Ford is arguably one of the

world’s foremost experts in vanadium. Previously Assistant General Manager of Highveld Steel and a member of the Highveld

Executive Committee, and Managing Director of Rand Mines Vansa.

Douglas Herbst, Maracas Project Manager

Kevin Brewer, P.Geo., General Manager – Northern Dancer Project

Geologist with over 20 years of mining and exploration experience, combined with extensive knowledge of regulatory and

environmental assessment processes.

John Laurie, C.G.A., Chief Financial Officer

Over 20 years of accounting and financial management experience.

Experienced Management Team

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Mauro Silva Electrical Engineer

Mauricio Coletti Mining Engineer

Israel Nonato Senior Exploration Geologist

Kurt Menchen General Manager, Brazil

Carlos Lorenzo Environmental Geologist

Les Ford Technical Director of Operations

Eldes Bittencourt Geologist

Management Breakdown

Main Office Location

Mike Henderson Geologist

Mark Brennan President & CEO

Tim Mann, P.Eng. Chief Operating Officer

Robert Campbell, P.Geo. VP Exploration

Kevin Brewer General Manager, Yukon

Brazil

Toronto

Yukon

6

Donald Clarke Mining Engineer

Douglas Herbst Project Manager

John Laurie Chief Financial Officer

Darcie Ladd Manager Business Development

Paulo Vianna Chief of Administration, Brazil

Luciano Chaves Chief of Finance, Brazil

Mark Brennan, President/CEO and Director

Founding member of Desert Sun Mining with over 20 years financing experience in North America and Europe. Founder and

Principal of Linear Capital, Brasoil Corporation, James Bay Resources, and Morumbi Oil & Gas and former President, CEO and

Chairman of Admiral Bay Resources.

Dirk Donath, Director

Senior Managing Director and Partner at Eton Park Capital Management, responsible for Eton Park’s private equity and direct

investment activities in emerging markets. Eton Park is a global, multi-disciplinary investment fund with a capital base of over

US$14 billion.

Dan Ioschpe, Director

Mr. Ioschpe is currently Chief Executive Officer of Lopche-Maxion, an international company operating in the automotive and railroad sectors..

Alberto Arias, Director

Founder and President of Arias Resource Capital Management. He worked for Goldman Sachs & Co and was ranked for five

consecutive years as the #1 Equity Research Analyst for the metals and mining industry in Latin America. Prior to Goldman Sachs,

he worked at UBS as Executive Director and Analyst covering the Latin American mining sector.

David Brace, Director

Mr. Brace is currently Chief Executive Officer and a director of Karmin Exploration and a director of Viking Gold Exploration Inc. Mr. Brace previously served as President of Lambton Capital Inc., a private investment firm focused on evaluating mining investments. He has also served as the Chief Executive Officer and as a director of Globe Star Mining as well as Executive Vice-President of Business Development with Aur Resources Inc. until August, 2007.

Wayne Egan, Director

Mr. Egan is a partner at the law firm of WeirFoulds LLP and acts for several public companies on the TSX and TSX Venture Exchange.

Dr. Alan Alper, Director

Dr. Alper is an accomplished senior executive, with 30 years of experience at Osram Sylvania, Inc., formerly GTE Sylvania.

Strong Board of Directors

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Vanadium

8

Vanadium Uses: Steel Drives Demand

*Roskill Information Services Ltd

** Byron Capital Markets. 9

Vanadium Redox Storage Batteries

Vanadium Uses: Growth in Green Technologies

Vanadium has shown to increase the

effectiveness of energy storage in traditional

batteries

Mass amounts of energy can be stored

longer and batteries can be re-charged faster

Low-cost, low-volatility, high-performance

batteries

Vanadiu

m A

dvanta

ges

Sto

rage A

pplic

ations

Wind turbines

Solar panels

Backup electrical systems

Hybrid/electric cars

Source: USGS, Byron Capital Markets

Vanadium redox storage batteries are the potential solution to green energy’s storage issues.

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Voltage with Different Cathodes (v)

4.8

4.1 4.0 3.7 3.6

3.3

Li3V2(PO4)3 LiVPO4F LiMn2O4 LiCoO2 Li2FePO4F LiFePO4

Photo Courtesy of Tesla Motors

Vanadium Uses: Growth in Green Technologies

Vanadium phosphate cathode material can

support 20% more energy storage than

cobalt oxide, 26% more than iron phosphate

and 56% more than manganese oxide,

solving the issue of quick discharge in

electric cars

Highest voltages measured, generating a

more powerful battery

Vanadiu

m

Advanta

ges

Lithium Vanadium Electric Car

The potential demand for electric cars can substantially increase the demand for lithium-ion batteries with cathodes compounded by vanadium.

Source: USGS, Byron Capital Markets 11

Tungsten

12

Tungsten Uses: Supply Constraints Drive Pricing

Strategic metal with highest melting point of all metals

13

*

Near-Term Cash Flow

Vanadium [V]

Maracas: Highest grade/quality vanadium deposit

90% ownership

Production Q4 2013: 9,200 tonnes vanadium pentoxide (cost <$3.12 lb)

Approximate cash flow: approx $75+ million per annum

Tungsten [W]

Currais Novos: Near-term, low-cost production

100% ownership

1.5 million pounds per annum Commercial Production announced in

December 2011 (cost <$100 MTU)

Approximate targeted cash flow: $700,000 per month ($400 MTU APT)

Two Advanced-Stage Projects with Potential to Expand

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Maracás Vanadium Project

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Maracás Resource Estimate

Mineral Reserve: 13.1 million tonnes grading

1.34% vanadium pentoxide (V2O5)

Includes 8.7 million tonnes grading 1.94%

vanadium pentoxide (V2O5)

Mineral Resource:

24.6 million tonnes grading 1.11% vanadium

pentoxide (V2O5) (M&I)

30.4 million tonnes grading 0.83% vanadium

pentoxide (V2O5) (Inferred)

Near-Term Production – FALL 2013

9,200 tonnes V2O5 annual production (1st 5yrs)

Lowest cost producer (Approx. $3.12 lb V2O5)

15-year production plan

1.94% V2O5 mill feed during first eight years

Open pit: low strip ratio of 2.23:1

Proven mining technology and processes

Six-year off-take with Glencore (take or pay)

Maracas: Concentrate Quality

Deposit Characteristics

Vanadium is contained in magnetite with a

higher iron content than others

Better recoveries, less power required, less

chemicals

concentrate with much higher V2O5, higher

Fe, and lower SiO2 (contaminant) than any

other deposit

LOWEST COST PRODUCTION

*Average grade comparisons compiled by Les Ford, presentation March 8, 2011 16

Highest Grade/Quality Vanadium Deposit in the World

=

=

=

Largo – Comparative Landscape

Ore Quality*

* Average grade comparisons compiled by Les Ford, presentation March 8, 2011 17

Ore V2O5% Concentrate

SiO2%

Concentrate

V2O5%

ORE QUALITY IS AS

IMPORTANT AS GRADE

Highest Quality Ore

Lowest Cost Production

=

Maracas “Base Case” Operating Parameters

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Average Annual Production (years 1-5)

9,200 tonnes of vanadium pentoxide (V2O5)

Average Annual Production (years 6-15)

6,136 tonnes of ferrovanadium (FeV)

Vanadium Pentoxide Price: $6.46 per lb, or $14.24 per Kg (3 year average)

Average Vanadium Pentoxide Operating Costs*

$3.12 per lb

Ferrovanadium Price $27.74 per Kg (3 year average)

Average Ferrovanadium Operating Costs*

$14.74 per kg

IRR and NPV IRR of 22.4% and NPV of US$274 million (8% discount rate)

Initial Capital Costs: $230,347 ($USD millions)

USD/BR$ Exchange Rate: 2.00

Off-take Agreement:

Agreement with Glencore International remains in place for 100% of vanadium products for first 6 years

* Projected operating costs Include all taxes, royalties, and contracted sale discounts

Status of Project Implementation

Promon Engineering awarded EPCM

contract in April, 2012

Optimization of basic engineering completed

Detailed engineering in progress

Procurement orders 50% complete with

orders placed for all long-lead items:

• Kiln

• Sodium sulphate crystalliser

• V2O5 reactor

Site construction underway

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Development on Track

Earthworks Underway and on Schedule

Earthworks (clearing and filling of earth for

plant plateaus) commenced in June after

initial

Water supply pipeline construction in

progress and on track

Accommodations for Largo staff in Maracás

are complete

Accommodations for contractors in progress

Civil engineering (erection of structures for

plant facility) commenced in September

20

Earthworks Activities

21

Earthworks - cutting and filling of

plateaus for plant site

Gulcari “A” Deposit Detail

Maracás concessions

and strike length

Maracás Resource and Property Maps

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8km

Gulcari “A” Potential to Expand

Location of Gulcari “A” and proposed open pit

(400 m x 450 m)

Present NI 43-101

Resource

was defined solely

on Gulcari “A” deposit

11,000 Meter Drill Program

Completed Q1 2012

Target to double existing

mineral resource – new

resource expected for Q3 2012

Extend Glucari “A” deposit

along strike and at depth

Multiple high priority targets

have returned positive high-

grade drill results

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projection

Maracas Cash Flow Projections

Maracas: Catalysts for Growth

Year 1 = Current production parameters

Year 2 = Sale of tailings material (pig-iron)

Years 4+ = 50% increase in production capacity

24









•Projections assumes FeV pricing of $28.00 per Kg

Currais Novos: Summary Highlights

25

Short-Term Target of 1.5 Million Pounds of

WO3 per Year

Commercial Production Commenced

December 2011

Target $8 million per annum cash flow

Reprocessing and recovery of tungsten from

two tailings piles

To produce1.5 million pounds per year:

65,000 MTUs

Low cost producer (<$100 per MTU)

4.3 million tonne NI 43-101 Resource

Off-take agreement for 100% of production

for four years

Currais Novos: Potential to Expand

Historical production district

Significant production from 1940s to 1970s

Numerous potential acquisitions in

immediate vicinity – both underground and

tailings

Provides significant expansion potential

Exploration underway with goal of defining

additional resources

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Exploration has Commenced at Four

Additional & Highly Prospective

Properties

Currais Novos Cash Flow Projections

Currais Novos: Catalysts for Growth

Year 2 = Current production parameters

Year 4+ = following 3 year exploration ramp-up on

recently acquired additional underground properties

* Projections assumes exploration success on aditional properties ramp up

27









projection

Long-Term Growth

Tungsten [W]

Northern Dancer: Largest undeveloped Tungsten deposit

100% owned

2011 PEA: 27.8% IRR & $1.8 billion NPV @ 8% ($365 MTU APT – Current APT

price: $400 MTU)

Vanadium/Titanium Dioxide [V]

Campo Alegre: Titanium, iron, vanadium deposit/high grade

100% owned

133 million tonnes (Non NI 43-101 compliant) @ 0.75% V2O5, 50% Fe, 21% Ti

Potential 1.5 billion tonnes

Two Early-Stage Projects with Tremendous Potential to Add Value

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Northern Dancer Project

Northern Dancer Resource Estimate

223.4 MT grading 0.102% WO3 and

0.029% Mo (M&I)

Higher-grade tungsten and molybdenum zone:

60.3 MT of 0.14% WO3 and 0.045% Mo (M&I)

201.2 MT grading 0.09% WO3 and

0.024% Mo (I)

Development Milestones

PEA complete

Feasibility study underway

Environmental permitting under way

Discussions with off-take partners and

JV partner

Northern Dancer: PEA Highlights

Highlights*

Positive NPV of US$918 million at $275 MTU APT and an 8% discount rate

Current trading price of US$430 MTU

Low cash cost producer: US$116 per MTU

Cumulative cash flow US$4.8 billion

Average annual production of 833,000 MTU tungsten (18.3 million pounds)

Average annual production of 5,959,000 pounds molybdenum over initial 23 years

Pre-production capital costs: $645 million

Tungsten

(US$ per MTU)

Molybdenum

(US$ per lb) IRR (%)

NPV @ 8%

(US$ millions)

$275 $17.50 20.0 918

$300 $17.50 22.2 1,110

$325 $17.50 24.4 1,302

$350 $17.50 26.5 1,494

$365 $17.50 27.8 1,769

* The PEA is preliminary in nature, and includes inferred resources that are too speculative geologically to have economic considerations applied to them.

There is no certainty that the PEA will be realized. 30

31

Northern Dancer: Highlights

IRR and NPV’s at Higher Tungsten Price Points*

* Derived from PEA sensitivity analysis

Tungsten

(US$ per MTU)

Molybdenum

(US$ per lb) IRR (%)

NPV @ 8%

(US$ millions)

$400 $17.50 31.0 2,074

$450 $17.50 35.0 2,500

* ** Roskill: Tungsten Market Outlook, 2012

**

32

Campo Alegre Project

Non NI 43-101 Compliant Resource:

133 Million Tonnes Grading 50% Fe,

21% TiO2, 0.75% V2O5*

100% owned iron, titanium, and vanadium

deposit

650 kilometres northwest of Salvador

Seven concessions covering 9,274.66 hectares

24 kilometres by 5.5 kilometres

Location Highlights

Located in mining-friendly and politically stable

Brazil

Two railway lines in development within

140 kilometres with direct access to major ports

Several major iron-ore projects in vicinity

* Historical resource provided by CBPM (Bahia State Mining Development Agency)

14 km x 2.5 km trend

Multiple mag-targets

Historical drill program

only tested to 60 m

Potential expansion at

depth

Mag-survey indicates

fold structure

Campo Alegre: Potential to Expand

33

Summary of Portfolio

34

Vanadium [V]

Maracas: Highest grade/quality vanadium deposit

Production Q4 2013: 9,200 TPA V2O5 (cost <$3.12)

Approximate cash flow: $75+ million per annum

Campo Alegre: Titanium, iron, vanadium deposit/high grade

133 million tonnes (non NI 43-101 compliant) @ 0.75% V2O5, 50% Fe,

21% Ti

Potential 1.5 billion tonnes

Tungsten [W]

Currais Novos: Near-term, low-cost production

1.5 million pounds per annum (cost <$100 MTU)

Approximate targeted cash flow: $700,000 per month ($400 MTU APT)

Northern Dancer: Largest undeveloped tungsten deposit

223 MT @ 0.102% WO3 (M&I), 201 MT @0.09% WO3 (Inferred)

2011 PEA: 27.8% IRR & $1.8 billion NPV @ 8% ($365 MTU APT)

35

Company Overview

Target Production Date Estimated Approx. Cash Flow

August 2011: Currais Novos (Funded)


4th Quarter 2013: Maracas (Funded)


March 2017: Northern Dancer $200+ million per annum


Estimated Production Profile – 5 Year Target









Largo Resources

@LargoResources1

Largo Resources

36

Darcie Ladd Business Development Manager

[email protected]

416-861-9406

Mark Brennan President and CEO

[email protected]

416-861-9797

Investor Connect

www.LARGORESOURCES.com

55 University Ave. Suite 1101

Toronto, ON – M5J 2H7

mailto:[email protected]

mailto:[email protected]

Corporate Presentation - September 2012

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