Business UpdateJul 9, 2026, 05:22 PM
Largo USA Wins $60.1M DLA Contract for Vanadium Pentoxide
AI Summary
Largo Inc.'s subsidiary, Largo Resources USA Inc. (Largo USA), has secured a significant $60.1 million firm-fixed-price delivery order from the U.S. Defense Logistics Agency Strategic Materials (DLA). This order, extending through January 2030, is for the supply of high-purity vanadium pentoxide (V2O5) to support the U.S. National Defense Stockpile. It marks Largo's first delivery order under DLA's five-year indefinite delivery, indefinite quantity (IDIQ) contract, which has an overall maximum value of $125 million, positioning the company as an approved supplier within the U.S. defense industrial base.
Key Highlights
- Largo USA received a $60.1 million firm-fixed-price delivery order.
- The order is for high-purity vanadium pentoxide (V2O5) and extends through January 2030.
- This is the first delivery order under DLA's IDIQ contract, which has a maximum value of $125 million.
- The contract establishes Largo as an approved supplier for the U.S. defense industrial base.
- Pricing is firm-fixed-price, escalating 10% annually after 2026.
- Deliveries for CLIN 0001 are from July 2026 to June 2029, and for CLIN 0002 from February 2027 to January 2030.
Price Impact
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