Mr. Francesco D'Alessio reports

LARGO AND STRYTEN ENERGY TO FORM STORION ENERGY FOR THE MANUFACTURE OF VANADIUM ELECTROLYTE AND BATTERY COMPONENTS FOR LONG DURATION ENERGY STORAGE

Largo Inc. has signed definitive agreements between its subsidiary, Largo Clean Energy Corp. (LCE), and Stryten Critical E-Storage LLC, an affiliate of Stryten Energy LLC, to establish a joint venture in Storion Energy LLC, subject to customary closing conditions. Storion intends to become a leading manufacturer of domestically produced vanadium electrolyte and remove other barriers to entry in the flow battery manufacturing industry.

Francesco D'Alessio, chief commercial officer of Largo and president of LCE, stated: "We expect the Storion partnership with Stryten Energy to be highly beneficial to Largo and its clean energy storage investment strategy. The transaction aims to maximize the value of Largo's vanadium products, and Storion's patented purification process, which is expected to accelerate the manufacture of vanadium electrolyte and deployment of vanadium flow battery solutions, which in turn is anticipated to increase the demand for vanadium from Largo Physical Vanadium Corp. (LPV), Largo and the vanadium sector as a whole.

Key highlights:

• Position Storion to become a United States domestic leader for vanadium electrolyte production and supply; future plans to develop vanadium flow battery components that are competitively positioned in the large and growing long-duration energy storage market;
• Sharing product and industry knowledge with Stryten Energy, a leading United States-based battery manufacturer;
• Significant synergies are anticipated by leveraging complementary assets and integrating top-tier talent from Largo and Stryten;
• Intended to enhance Largo's strategic position in the rapidly expanding vanadium flow battery market, to accelerate growth and market share.

Transaction details

The key terms of the transaction are summarized below:

• Upon closing of the transaction, each of LCE and Stryten will contribute certain of its vanadium flow battery-related assets and liabilities to Storion.
• Upon closing, Stryten will pay $1-million (U.S.) in cash directly to Largo and contribute to Storion over time a total of $6-million (U.S.) in cash, for the purpose of funding Storion's operations.
• Upon closing, LCE and Stryten will each hold a 50-per-cent equity interest in Storion, with customary pre-emption rights and certain other anti-dilution protections.
• Board representation of Storion will be generally proportional to ownership, with Stryten holding one additional seat so long as LCE and Stryten hold similar ownership interests.
• At closing, Largo will amend its safekeeping and supply agreements with LPV to adjust certain commercial terms, and Largo will assign its safekeeping agreement to Storion. In addition, at closing, Largo and Storion will enter into a separate supply agreement providing Storion a right of first offer, subject to certain terms and conditions, to purchase vanadium products.

Gallatin Capital LLC acted as financial adviser to Largo in connection with the transaction, and Linklaters LLP acted as legal counsel.

About Storion Energy LLC

Storion Energy intends to bring energy resilience and security to the U.S. by removing the barrier to entry for battery manufacturers to domestically sourced, price-competitive electrolyte used in vanadium redox flow batteries (VRFB) for long-duration energy storage (LDES). Storion will have locations in Wilmington, Mass., and Alpharetta, Ga., Storion will be a joint venture between a Stryten Energy affiliate and Largo Clean Energy, a subsidiary of Largo Inc., one of the world's largest and highest-quality vanadium suppliers, that is expected to support scalable domestic electrolyte production to establish a fully integrated vertical supply chain for utility-scale VRFB LDES solutions. VRFB technology is a safe and reliable option to provide long-duration energy storage greater than four hours to help ensure grid stability and facilitate increased utilization of renewables for businesses and consumers.

About Largo Physical Vanadium Corp.

Largo Physical Vanadium (LPV) aims to provide a secure, convenient and exchange-traded investment alternative for investors interested in having direct exposure to physical vanadium, a metal essential to achieving a greener world in key industries such as steel, aerospace and energy storage. Vanadium is non-degrading and fully recyclable when used as electrolyte in vanadium flow batteries and offers carbon reducing attributes when used in steel-alloying applications. LPV offers pure-play exposure to vanadium through its holdings of physical vanadium. LPV's strategy is not only to achieve appreciation through the acquisition of vanadium, but to own and actively supply vanadium to end users of vanadium flow batteries to advance to integration of renewable energy in long-duration storage. This strategy is integral to LPV's business plan, as it necessarily defrays the costs to LPV associated with storage of vanadium, and demonstrates the benefits and utility of vanadium, therefore supporting vanadium's value.

About Largo Inc.

Largo is a globally recognized supplier of high-quality vanadium and ilmenite products, sourced from its world-class Maracas 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, defence, 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 50-per-cent 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.

Largo's common shares trade on the Nasdaq Stock Market and on the Toronto Stock Exchange under the symbol LGO.

We seek Safe Harbor.