Largo Inc. (TSX: LGO) (NASDAQ: LGO) announced it has received a $60.1 million firm-fixed-price delivery order from the U.S. Defense Logistics Agency Strategic Materials under a five-year Indefinite Delivery, Indefinite Quantity contract.

The order calls for the supply of high-purity vanadium pentoxide produced at Largo's Maracás Menchen operation in Bahia, Brazil, destined for the U.S. National Defense Stockpile. Deliveries are scheduled through January 2030. Largo's contract is part of a broader shared award with an aggregate value of up to $125 million.

The company said it will begin adjusting its production and commercial programs in July 2026 to support fulfillment of the order. Co-CEO Daniel Tellechea said the order is expected to improve average realized vanadium prices and expand Largo's presence in the U.S. market without applicable import tariffs.

Executive Chairman and Co-CEO Alberto Arias said in a statement that the order "validates the strategic importance of our high-purity vanadium products and reinforces Largo's position as a trusted supplier of critical materials to the United States."

The company noted that the IDIQ contract does not guarantee a minimum quantity of future delivery orders, and there can be no assurance of additional orders from the agency.

Information in this article is based on a press release issued by Largo Inc.