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Highlights:

  • Construction Progress: Completion of early infrastructure development at Longonjo.
  • Financial Strength: Secured US$268 million in funding, covering 60% of Phase 1 Longonjo project financing.
  • Strategic Partnerships: Signed an offtake deal with Japan’s Hanwa Co. Ltd. and received a US$3.4 million grant from the U.S. DFC.

Pensana Plc (LSE:PRE), a leading rare earth exploration, mining, and processing company, has reported significant milestones in its unaudited interim results for the six-month period ended 31 December 2024. The company’s flagship assets, the Longonjo NdPr Project and the Coola exploration project in Angola, alongside the Saltend rare earth processing hub in the UK, continue to make progress toward establishing a sustainable supply chain for critical minerals.

Major Developments in the First Half of FY2025

Pensana successfully completed early construction works at the Longonjo project, including critical infrastructure such as camp accommodation, access roads, and agricultural demonstration plots under its Livelihood Restoration Plan (LRP). The company also expanded its global partnerships by signing an offtake and cooperation agreement with Hanwa Co. Ltd., a major Japanese trading company.

A key financial boost came in the form of a US$3.4 million technical assistance grant from the U.S. International Development Finance Corporation (DFC). Additionally, the company achieved the EcoVadis gold medal, placing it among the top 5% of companies globally in environmental, social, and governance (ESG) performance.

The company's projects have also gained international recognition, with UK Minister for Africa, Lord Collins, and UK Ambassador to Angola, Mr. Roger Stringer, visiting the Longonjo site to review its ongoing development.

Major Post-Period Funding Approvals

In a significant post-period development, Pensana secured full financing approvals amounting to approximately US$268 million for the Longonjo rare earth project in March 2025. This includes:

  • US$15.0 million bridging loan already provided by FSDEA.
  • US$38.0 million in equity financing and a convertible loan from FSDEA.
  • US$54.9 million convertible loan from Africa Finance Corporation (AFC).
  • US$81.2 million debt financing from AFC and US$78.8 million from ABSA, collectively covering 60% of the Phase 1 project funding for Longonjo