Pensana Plc (PRE.LSE) has announced the successful acquisition of $3.4 million in Technical Assistance grant funding from the U.S.
International Development Finance Corporation (DFC), America’s development finance institution. The grant, part of the U.S. BUILD Act, will support feasibility studies aimed at expanding the capacity of the Longonjo mine and advancing the Coola project in Angola.
The funds are designated for key projects, which, upon successful completion of feasibility studies, could receive additional loan funding for necessary capital. These projects include:
- Doubling Longonjo’s Capacity: A feasibility study will assess increasing the Longonjo mine’s run-of-mine throughput from 800,000 tonnes per annum (ktpa) to 1.5 million tonnes per annum (mtpa), and boosting the output of Mixed Rare Earth Carbonate (MREC) from 20,000 tonnes per annum (tpa) to 40,000 tpa.
- Downstream Refining in Angola: The grant will fund a study on the capital and operational costs for establishing a Rare Earth Element (REE) Separation Plant in Angola, allowing further beneficiation of the MREC produced at Longonjo.
- Advancing Coola Project: Metallurgical test work at Coola will focus on the Sulima West laterite deposit as a potential additional feedstock for the Longonjo Processing Plant.
The grant funds will be equally matched by Pensana over the next 27 months, laying the groundwork for future development and funding opportunities.
Anna Mann, DFC’s Technical Assistance Specialist, emphasized the strategic importance of this initiative: “Alongside the DFC’s participation in the Lobito Corridor, this initiative at Longonjo paves the way for future growth in the region and aligns with our mandate to enhance critical mineral supply and processing.”
Tim George, CEO of Pensana, added, “The DFC’s involvement, coupled with our partnership with Hanwa, underscores the significant growth potential of both the Longonjo and Coola projects, setting the stage for future long-term funding.”
This grant marks an important milestone for Pensana, advancing its plans to develop Angola’s rare earth mineral resources and contribute to global supply chains for critical minerals.
