Africa-Press – Angola. British company Pensana has approved the financing arrangements for the start of operations at the Longonjo rare earth mine in Angola, which will have the capacity to satisfy 2.5% of the total demand for this mineral.
“Pensana is pleased to announce that, following Longonjo Finance’s announcement on March 18, 2025, in which it announced the approval of the full financing of the Longonjo rare earth mine, it has now agreed the terms and timetable for the provision of the first tranche of equity in the amount of 25 million dollars (22.3 million euros)”, reads a statement, in which it is explained that the implementation of the capital will be carried out by the Sovereign Fund of Angola (FSDEA).
“We are extremely grateful to the FSDEA for its continued support in the development of the Longonjo project, the largest and richest undeveloped magnetic rare earth project in the world, which will generate hundreds of high-value local jobs, provide employment for many local companies and, once in production, will generate substantial tax revenues for the Angolan government,” said Pensana CEO Paul Atherley, quoted in the statement.
“Having already established the camp and site infrastructure, the provision of US$25 million will enable the main construction to begin and put Angola on the map as a major player in the global rare earth supply chain,” added the leader of the British company.
With production scheduled to begin in 2027, the Angolan Longonjo mine could meet the demand for 2.5% of rare earths worldwide, according to the concessionaire company.
The data was released in April by the chairman of the Board of Directors of Ozango Minerais, a company that has the British company Pensana and FSDEA among its shareholders, in addition to two Angolan minority holdings.
“It is a mineral that is very useful in the context of the energy transition”, Alcídio José explained to journalists during a visit by a US diplomatic delegation to the Lobito Corridor, highlighting the growing interest in reducing carbon emissions, at the beginning of last month.
The mineral in question is used in permanent magnets, a critical raw material for electric vehicles. Located in Longonjo, about 70 kilometers from Huambo, a province in the center-south of Angola, the mine is served by the Lobito Corridor railway line and covers a perimeter of about 200 hectares in the exploration area.
“We are fortunate to have a significant reserve [of rare earths] here.
In the first phase, our production will be equivalent to approximately 2.5% of global demand. When we look at this number, it may seem small, but when we consider that this is a concentrated sector, 2.5% from an independent source, in the first phase, is very important”, stressed the head of the company, which has a 35-year renewable concession. “It is a sector that does not exist in many places in the world.
Angola will be a point on the map that you might look for with a magnifying glass”, he highlighted, indicating in the first phase an annual production of 20 thousand tons of this rare earth concentrate.
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