Cascade Natural Resources Raises Pensana Investment to $165M to Support Angola’s Longonjo Rare Earths Mine
Global rare earths investment platform Cascade Natural Resources has increased its strategic investment in London-listed Pensana to $165 million, strengthening support for the company’s US-focused mine-to-magnet supply chain strategy.
Cascade had initially committed $100 million, but the revised agreement expands the investment to accelerate development of key rare earth assets, particularly the Longonjo Rare Earths Project in Angola.
Under the updated structure, Cascade will invest $15 million directly in Pensana through a subscription for 13.55 million new ordinary shares priced at 80 pence each.
In addition, $150 million will be invested in Sable Min Unipessoal, Pensana’s wholly owned subsidiary. Sable is the majority shareholder in Ozango Minerais, the company responsible for developing the Longonjo rare earths mine.
Following completion of the transaction, Cascade is expected to hold 3.8% of Pensana and 38.2% of Sable, giving the investor significant exposure to the development of the Longonjo project.
Pensana noted that the strategic investment remains subject to final documentation and completion procedures, which are expected to be concluded in the coming weeks.
The funding will play a central role in advancing the Longonjo project toward production. Alongside a proposed $160 million debt financing package from Absa Bank, guaranteed by the Export-Import Bank of the United States, the investment is expected to finance several key initiatives.
These include construction of the Longonjo mine, execution of a newly announced drilling programme, development of a heavy rare earth element recovery facility, and early-stage downstream processing initiatives.
The funds will also support corporate activities, including costs associated with Pensana’s planned Nasdaq Stock Market listing and operational expenses ahead of Longonjo’s anticipated first production in 2027.
Independent Nordic investment bank ABG Sundal Collier acted as financial adviser to Pensana on the strategic investment.
Based on the revised investment structure, Pensana’s board confirmed that it has sufficient authority to issue the 13.55 million new shares to Cascade without preemption rights.
As a result, the company has decided to cancel and postpone the general meeting originally scheduled for March 9.
Instead, Pensana will use the planned time and venue to provide shareholders with an update on the Cascade investment and the broader progress of its mine-to-magnet strategy.
