Largo Resources Ltd.
TSX VENTURE : LGO

Largo Resources Ltd.

March 20, 2007 16:05 ET

Largo Reports Strong Platinum and Palladium Values From Maracas Deposit in Bahia, Brazil

- Hole FGA20 returned 13.0 metres grading 1.75 g/t Pt, including 8.00 metres grading 2.37 g Pt/t - Interval values are as high as 5.02 g Pt/t over 1 metre - All 10 holes sampled returned PGM values ranging from 0.64 g/t to 2.48 g/t over intervals of true thickness between 6.0 and 42.0 metres

TORONTO, ONTARIO--(CCNMatthews - March 20, 2007) - Largo Resources Ltd. (TSX VENTURE:LGO) is pleased to announce that it has received strong and consistent initial results for platinum and palladium from its systematic sampling program of previous drill core drilled by Odebrecht and Caemi (CVRD). Significant results from the initial batch of 455 samples are summarized in Table 1. Highlights include:

- FGA20 - 13.00 metres grading 1.75 g Pt/t and 0.13g Pd/t including 8.00 metres grading 2.37g Pt/t and 0.11g Pd/t

- FGA14 - 12.00 metres grading 1.07g Pt/t and 0.10g Pd/t including 4.00 metres grading 1.30g Pt/t and 0.11g Pd/t

- FGA03 - 4.00 metres grading 1.38g Pt/t and 0.65g Pd/t

- FGA04 - 4.75 metres grading 1.16g Pt/t and 0.23g Pd/t

- FGA07 - 4.00 metres grading 1.01g Pt/t and 0.03g Pd/t

The systematic core sampling program of the previous drill core is designed to confirm the platinum group metals (PGM) values obtained during the initial due diligence process (see press release dated October 16, 2006). A total of 1250 samples have been collected from 36 drill holes of which this current release reports the first results available from 455 samples in 10 of the drill holes. All drill core from the previous work is stored on site and is in excellent condition.

All 10 holes sampled returned significant PGM values ranging between 0.64 g/t to 2.88 g/t over intervals varying in true thickness between 6.0 and 42.0 metres. Individual 1.0 metre sample intervals returned values as high as 5.02 g Pt/t.

As previously reported, platinum group metals values from the due diligence program of a total of 123 samples in 8 drill holes indicated that in the magnetite-rich zone, PGM's average between 0.52g/t and 1.24g/t over widths of 4.00 metres to 20.00 metres with a Pt:Pd ratio of 4:1. The highest PGM values found thus far correlate with the high-grade vanadium-magnetite zone.

Andy Campbell, P.Geo., Vice President, Exploration commented: "The PGM results are very encouraging and the platinum-palladium ratio continues to be very high, similar to deposits in Africa and in particular the Great Dyke of Zimbabwe and the Bushveld Complex, South Africa. The PGM values correlate very well with the higher grade V2O5 zones. However, we are only just beginning to understand the control and distribution of PGM's in the deposit. It is very possible that the PGM's may have originated from a late stage magmatic phase that was injected into the vanadium layers. If this is the case, there could be excellent potential for other areas of PGM mineralization; we have initiated thin section and microprobe analyses to better understand the PGM mineralization and provide criteria to aid further exploration."

The Maracas deposit is hosted within lower sequence of gabbros and pyroxenites of the 2.64 billion-year-old, Jacare River mafic-ultramafic intrusion. This sheetlike linear intrusion extends for 70 kilometres along a north-south strike averaging about 1.2 kilometre in width. There are a number of striking similarities to the Great Dyke including age, rock types, platinum and palladium ratio and style of intrusion as well as host rock that it intrudes. The PGMs found thus far are associated with disseminated to massive bodies of titano-magnetite in pyroxenites. This massive, titano-magnetite mineralization at Maracas ranges from 2.0 to 90 metres in thickness with an average true width of 25 metres.

Analytical work was carried out by SGS Minerals in Belo Horizonte, Brazil. Platinum and palladium values were determined by fire assay technique with an ICP finish using a 30 gram-sample. Andy Campbell, M.Sc., P. Geo., Largo's Vice President of Exploration, is the Qualified Person responsible for the scientific and technical work for the program as defined under National Instrument 43-101.

About Largo

Largo Resources is a Canadian natural resource development and exploration company with two advanced stage projects: the Northern Dancer Tungsten-Molybdenum deposit in the Yukon and the Maracas Vanadium-PGM deposit in Brazil. Largo also has a large (60,000 hectare) land position and prospective gold exploration properties in Ecuador; one of which, the 5,000 hectare Macuchi property, is under option to Aur Resources Inc. The company is listed on the TSX Venture Exchange under the symbol LGO.

Disclaimer

Statements in this release that are not historical facts are "forward-looking statements" within the meaning of the U.S. Private Securities Litigation reform Act of 1995. Readers are cautioned that any such statements are not guarantees of future performance and that actual developments or results may vary materially from those in these "forward-looking statements".



Table 1: Summary of Significant Assay Results - Maracas Property, Brazil

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Pt + Pd Interval
Hole Number From To Pt (g/t) Pd (g/t) (g/t) (metres)
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FGA01 25.00 65.20 0.46 0.28 0.74 40.20
FGA03 20.00 48.00 0.76 0.21 0.97 28.00
Including 41.00 45.00 1.38 0.65 2.03 4.00
FGA04 9.00 47.75 0.53 0.20 0.73 38.75
Including 43.00 47.75 1.16 0.23 1.39 4.75
FGA07 52.00 86.00 0.70 0.09 0.79 34.00
Including 79.00 83.00 1.01 0.03 1.04 4.00
FGA10 82.50 88.50 0.58 0.06 0.64 6.00
FGA14 10.00 52.00 0.79 0.16 0.95 42.00
Including 40.00 52.00 1.07 0.10 1.17 12.00
FGA17 24.00 40.00 0.61 0.32 0.93 16.00
and 58.00 86.00 0.45 0.25 0.70 28.00
FGA20 46.00 59.00 1.75 0.13 1.88 13.00
Including 47.00 55.00 2.37 0.11 2.48 8.00
FGA21 18.00 24.00 0.50 0.33 0.83 6.00
and 29.00 35.00 0.57 0.27 0.84 6.00
FGA40 90.00 100.00 0.92 0.03 0.95 10.00
and 112.00 122.00 0.66 0.09 0.75 10.00
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All holes are shallow depth (less than 100 metres) and the reported
intervals reflect true thickness. Core size is BQ.

Table 2: Collar Coordinates and Orientation of Diamond Drill Holes

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Hole Number Northing Easting Elevation Azimuth Dip
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FGA01 8,486,132 318,235 315.88 112 degrees -45 degrees
FGA03 8,486,142 318,288 310.99 286 degrees -45 degrees
FGA04 8,486,109 318,263 310.90 288 degrees -45 degrees
FGA07 8,486,164 318,302 310.58 284 degrees -70 degrees
FGA10 8,486,183 318,332 307.01 284 degrees -59 degrees
FGA14 8,486,087 318,259 307.45 297 degrees -50 degrees
FGA17 8,486,111 318,285 308.81 292 degrees -49 degrees
FGA20 8,486,120 318,231 314.53 107 degrees -82 degrees
FGA21 8,486,148 318,269 312.68 288 degrees -43 degrees
FGA40 8,486,138 318,272 295.62 000 degrees -90 degrees
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