Largo Continues to Report Encouraging Results From Northern Dancer Tungsten Project, Yukon: Financial News

Largo Continues to Report Encouraging Results From Northern Dancer Tungsten Project, Yukon
Monday November 10, 2008 7:00 am ET

Hole LT08-119 cut 371.50 metres grading 0.15% WO3 and 0.025% Mo including 79.40 metres grading 0.29% WO3 and 0.032% Mo

Hole LT08-126 cut 323.09 metres grading 0.13% WO3 and 0.033% Mo including 206.00 metres grading 0.16% WO3 and 0.033% Mo

Hole LT08-128 cut 224.00 metres grading 0.10% WO3 and 0.022% Mo including 67.00 metres grading 0.16% WO3 and 0.028% Mo

TORONTO, ONTARIO--(MARKET WIRE)--Nov 10, 2008 -- Largo Resources Ltd. (CDNX:LGO.V - News) announced that it has received additional results for ten (10) additional drill holes that are part of the recently completed drill program of 38 holes totalling 11,500 metres at the Company's Northern Dancer Tungsten-Molybdenum property in the Yukon.

These down-dip and in-fill holes continue to upgrade and expand the limits of the higher-grade tungsten and molybdenum zones outlined during the 2007 drill program. We believe that these results will support a further upgrade of a significant portion of the Inferred and Indicated resource reported previously (see April 10, 2008 press release) to a Measured and Indicated category in order to support a Pre-feasibility Study.

Wide zones of mineralization continue to be intersected consisting of numerous quartz veins and veinlets containing varying amounts of scheelite and molybdenite. LT08-119 was an exceptional hole, intersecting a higher grade tungsten and molybdenum zone which returned 79.40 metres grading 0.29% WO3 and 0.032% Mo. LT08-121, 123 and 126 all intersected narrower but higher grade tungsten zones which are 40 to 300% higher grade than the deposit grade. Largo has received additional results for ten (10) holes totalling 1,379 samples. Results are still pending on the remaining 6 holes.

Andy Campbell, Vice President, Exploration at Largo Resources commented: "We continue to intersect and report some very wide widths of mineralization which continue to underscore this large mineralizing system. Higher grade tungsten values were reported in LT08-119, 121, 123 and 126 over narrower but significant widths (10 to 30 metres). The molybdenum results also continue to be higher than the deposit grade. Reported drill results are better than expected and continue to confirm the higher-grade tungsten and molybdenum zones. We expect that these results will have a positive impact on an updated resource estimate and the modeling of the higher-grade zones."

Northern Dancer, hosts widespread tungsten-molybdenum porphyry style mineralization, the core of which has been partially delineated by 94 diamond drill holes and 496 metres of underground workings. This work was done by AMAX Minerals Exploration from 1977 to 1980 (51 holes) and by Largo Resources which completed a 17-hole diamond drill program in 2006 and 26-hole program in 2007. On April 10, 2008 (see press release April 10, 2008) Largo announced an updated NI 43-101 compliant resource consisting of Indicated of 140.8 million tonnes grading 0.10% WO3 and 0.026% Mo and Inferred resources totalled 253.2 million tonnes grading 0.10% WO3 and 0.022 % Mo. This resource includes a higher grade tungsten zone containing an Indicated resource of 17.1 million tonnes grading 0.17% WO3 and 0.029 % Mo and Inferred resources of 18.7 million tonnes grading 0.16% WO3 and 0.023 % Mo.

Please refer to Table 1 (Summary of Significant Assay Results - Northern Dancer Property, Yukon) which is appended to this news release for a summary of the above-noted drill results. Largo's website has the Northern Dancer 2008 Drilling Plan Map which provides a reference for the location of these holes on the property via the following link: http://www.largoresources.com/nd_map.htm.

The Northern Dancer deposit is one of the world's largest known tungsten-molybdenum porphyry systems. The mineralization is hosted in fractures and veins associated with a northeast-trending sheeted vein system in calc-silicate (skarn) rocks and spatially related to a felsic intrusion (quartz-feldspar porphyry). The deposit, which has been tested by drilling for 1500 metres along strike, 500 metres vertically and 600 metres in width, remains open along strike to both the northeast and southwest as well as at depth.

Tungsten and molybdenum mineralization are concentrated in two zones which partially overlap. In the core of the deposit, there is a higher-grade molybdenum zone where molybdenite occurs within and adjacent to the felsic intrusion. Surrounding and partially overlapping the molybdenum zone is a much more extensive tungsten zone where scheelite occurs in northeast-trending sheeted quartz veins in skarn.

Analytical work is being carried out at Acme Analytical Laboratories Ltd. in Vancouver, British Columbia, an ISO 9001-2000 certified laboratory. The samples are crushed to 70% passing 10 mesh, split to 250 g and pulverized to 95% passing 150 mesh. A 5-gram split is analyzed for Mo and W using a phosphoric acid leach followed by ICP-emission spectrometry. Then a second 5-gram split is analyzed for 36 elements by ICP-mass spectrometry using a hot (95 degrees centigrade) aqua regia leach. Routine check assays are performed at SGS Minerals in Lakefield, Ontario on sample rejects. Largo employs a systematic QA/QC program including standards, duplicates and blanks.

Andy Campbell, 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 and has reviewed this press release.

About Largo

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

For more information please refer to Largo's website: www.largoresources.com.

Disclaimer

Certain statements contained in this news release may contain forward-looking information within the meaning of Canadian securities laws. Such forward-looking information is identified by words such as "estimates", "intends", "expects", "believes", "may", "will" and include, without limitation, statements regarding the company's plan of business operations, estimates regarding mineral resources, exploration plans and budgets, timing of receipt of assay results, projections regarding mineral prices, anticipated revenues and projected expenditures. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from such statements. Factors that could cause actual results to differ materially include, among others, metal prices, risks inherent in the mining industry, financing risks, labour risks, uncertainty of mineral resource estimates and ability to economically mine such deposits, equipment and supply risks, title disputes, regulatory risks and environmental concerns. Most of these factors are outside the control of the company. Investors are cautioned not to put undue reliance on forward-looking information. Except as otherwise required by applicable securities statutes or regulation, the company expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.

 

Table 1: Summary of Significant Assay Results - Northern Dancer Property,
Yukon

-----------------------------------------------------------------------
Hole Number       From          To       WO3         Mo     Interval(i)
                                           %          %        (metres)
-----------------------------------------------------------------------
LT08-119          0.00      371.50      0.15      0.025         371.50
including         4.00       36.00      0.16      0.016          32.00
including       106.00      155.00      0.15      0.036          49.00
including       181.00      245.00      0.18      0.029          64.00
including       273.60      353.00      0.29      0.032          79.40
-----------------------------------------------------------------------
LT08-120         78.00      180.00      0.11      0.032         104.00
Including       224.00      242.00      0.11      0.054          18.00
-----------------------------------------------------------------------
LT08-121         66.00      132.00      0.11      0.018          66.00
and             200.00      269.75      0.11      0.020          69.75
including       250.00      269.75      0.24      0.038          19.75
-----------------------------------------------------------------------
LT08-122          0.00      252.98      0.11      0.025         252.98
including        78.00      198.36      0.15      0.031         120.36
-----------------------------------------------------------------------
LT08-123         15.80       21.00      0.24      0.007           5.20
and              97.00      179.00      0.11      0.026          82.00
and             259.00      338.00      0.12      0.022          79.00
including       307.00      338.00      0.21      0.031          31.00
-----------------------------------------------------------------------
LT08-124          0.00      275.50      0.10      0.030         275.50
including         6.00       41.00      0.14      0.015          35.00
including        54.00      143.10      0.12      0.031          89.10
including       143.10      164.30      0.06      0.066          21.20
including       164.30      213.40      0.12      0.031          49.10
-----------------------------------------------------------------------
LT08-125          0.00      150.88      0.12      0.018         150.88
including         9.00       60.00      0.13      0.015          51.00
including        72.00      133.00      0.16      0.023          61.00
-----------------------------------------------------------------------
LT08-126          0.00      323.09      0.13      0.033         323.09
including        49.00      255.00      0.16      0.033         206.00
-----------------------------------------------------------------------
LT08-127         18.00      113.50      0.10      0.020          95.00
-----------------------------------------------------------------------
LT08-128         27.00      251.00      0.10      0.022         224.00
including       184.00      251.00      0.16      0.028          67.00
-----------------------------------------------------------------------

(i)The drill core size is NTW and all intervals reported are at or very
near true thickness



Drill hole Information - Northern Dancer Property, Yukon

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Hole Number    Northing     Easting  Elevation  Azimuth     Dip    Depth (m)
----------------------------------------------------------------------------
LT07-119      6,655,021     354,544      1,504      135     -50      371.25
LT07-120      6,654,880     354,501      1,587      135     -45      252.98
LT07-121      6,654,928     354,454      1,547      135     -45      269.75
LT07-122      6,654,932     354,564      1,603      135     -50      252.98
LT07-123      6,654,889     354,412      1,568      135     -48      339.85
LT07-124      6,654,948     354,673      1,527      135     -45      275.94
LT07-125      6,654,951     354,611      1,615       90     -50      150.88
LT07-126      6,655,069     354,654      1,475      135     -52      323.09
LT07-127      6,654,951     354,611      1,615      280     -50      173.74
LT07-128      6,654,975     354,570      1,530      155     -52      267.31
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