Mr. Francesco D'Alessio reports

LARGO AND STRYTEN ENERGY FINALIZE FORMATION OF STORION ENERGY TO STRENGTHEN U.S. ENERGY RESILIENCE AND ADDRESS LONG DURATION ENERGY STORAGE NEEDS

Effective Friday, Jan. 31, 2025, Largo Inc. has closed the previously announced transaction between its subsidiary, Largo Clean Energy Corp., and Stryten Critical E-Storage LLC, an affiliate of Stryten Energy LLC, to establish a joint venture in Storion Energy LLC.

Storion is a joint venture focused on removing the barriers to entry for battery manufacturers to domestically sourced, price-competitive components for the flow battery industry, including vanadium electrolyte. This partnership leverages access to Largo's high-quality vanadium supply, Largo Physical Vanadium Corp.'s innovative electrolyte leasing model and Stryten's United States-based manufacturing expertise to enhance grid stability and energy security while enabling the broader adoption of vanadium flow battery solutions.

Francesco D'Alessio, president of LCE, stated: "The closing of this transaction represents a transformational step for Largo as we advance our investment strategy of integrating into the fast-growing vanadium flow battery market. Storion Energy now provides a direct channel for Largo's high-quality vanadium products into the long-duration energy storage sector, reinforcing our position as a leading and reliable supplier of vanadium."

He continued: "Through Storion, we are establishing a fully integrated vanadium electrolyte supply chain in North America, addressing a key challenge for vanadium flow battery adoption while unlocking new growth opportunities for Largo. Through the combination of Stryten's battery manufacturing expertise, Largo's vanadium expertise and LPV's innovative electrolyte leasing model, Storion Energy is well positioned to deliver innovative, cost-competitive solutions for long-duration energy storage going forward."

Overview of transaction:

• Strategic collaboration: Largo's high-quality vanadium and sector knowledge, LPV's innovative electrolyte leasing model, and Stryten's U.S. battery manufacturing expertise combine to provide solutions to strengthen energy resilience and grid reliability.
• Vertically integrated supply chain: Storion establishes a domestic supply chain for vanadium electrolyte and key components in LDES.
• Support for energy security and grid stability: By enabling flow battery components for scalable LDES solutions, Storion will support U.S. energy independence and grid infrastructure resilience.
• Accelerating vanadium flow battery adoption: Storion will provide cost-effective vanadium electrolyte and components, removing key barriers to vanadium flow battery commercialization.

Summary of transaction details:

• Each of LCE and Stryten has contributed certain vanadium flow battery-related assets and liabilities to Storion.
• Stryten has paid $1-million (U.S.) in cash directly to Largo and will contribute $6-million (U.S.) over time to finance Storion's operations.
• LCE and Stryten each hold a 50-per-cent equity interest in Storion, with customary pre-emption rights and anti-dilution protections.
• Storion's board composition will be generally proportional to ownership, with Stryten holding one additional seat.
• Largo has amended its safekeeping and supply agreements with LPV, and assigned its safekeeping agreement to Storion. Largo and Storion have also entered into a separate supply agreement, granting Storion a right of first offer for vanadium products.
• Required third party consents, which were closing conditions, were received.

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.