Highlights

• Pensana receives $25M equity tranche and converts $15M bridging loan into equity for Longonjo rare earths project.
• The project aims to produce 38,000 tonnes of mixed rare-earth carbonate annually, including 4,400 tonnes of NdPr oxide.
• Development represents a strategic investment with the potential to create jobs and strengthen the Western rare earth supply chain.

Rare earth developer Pensana Plc (opens in a new tab) has announced the drawdown of its first $25 million equity (opens in a new tab) tranche from Angola’s Sovereign Wealth Fund, marking a major milestone toward full construction of the Longonjo rare earths project.

The fund has also agreed to convert a $15 million bridging loan, previously used to kickstart early development, into equity. These developments finalize key aspects of the project’s financing structure and signal strong state backing for a strategically critical rare earth initiative.

Pensana Chair Paul Atherley thanked the fund for its continued support, emphasizing the project's potential to create hundreds of jobs and generate meaningful returns for Angola.

The company has Rare Earth Exchanges (REEx) on its press distribution list (opens in a new tab).

Pensana, which owns 84% of Longonjo via its local subsidiary Ozango Minerais (opens in a new tab), is positioning the $217 million project as one of the world’s largest untapped sources of magnet metal rare earths. Once fully operational, Longonjo aims to produce up to 38,000 tonnes of mixed rare-earth carbonate per year—including 4,400 tonnes of neodymium-praseodymium (NdPr) oxide—equating to roughly 5% of global NdPr output. With initial production set for 2026, the mine’s high-purity feedstock will be processed at Pensana’s Saltend separation facility in the UK, contributing to Western supply chain resilience. The Angolan government holds a 10% stake in the project, further aligning national interests with this globally significant development.

What’s the risk profile of this project? Check out Rare Earth Exchanges Forum (opens in a new tab).