Pensana Plc - MOU with ReElement Technologies to develop a sustainable rare earth supply chain
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION
("Pensana" or the "Company")
MOU with ReElement Technologies to develop
a sustainable rare earth supply chain
Key terms of the MOU include:
-- A shared commitment to develop a sustainable, independent rare earth
supply chain to meet rising demand from U.S. and allied defense and
commercial industries.
-- A proposed offtake of up to 20,000 tonnes per annum of ultra-clean Mixed
Rare Earth Carbonate (“MREC”) from the Longonjo mine over a five-year
period, with pricing to be agreed.
-- Integration of ReElement’s advanced refining platform, which offers a
high-throughput, low-waste, and cost-effective process to produce
ultra-pure separated rare earth oxides.
-- Strategic cooperation to strengthen and secure the global rare earth
value chain and explore additional joint opportunities.
-- Leverage of the Lobito Corridor in Angola for low-cost, efficient access
to global export markets.
Since 2023, ReElement has been refining rare earth materials for customer validation and for commercial sale at its
We had the opportunity to welcome the Pensana team to our facilities recently where we discussed production schedules, quality of product and long term vision. We couldn’t be more impressed by their efforts and the opportunity for our partnership together to completely disrupt the global supply chain for rare earth oxides.
Partnering with Pensana allows us to secure a reliable source of high-quality MREC and further demonstrates our commitment to building a domestic rare earth supply chain that meets the growing needs of
ReElement’s multi-mineral refining platform is uniquely positioned to unlock this opportunity with efficiency, flexibility, and global collaboration. We are excited to begin working with Pensana immediately.”
This collaboration with ReElement builds on our recently announced offtake agreement for a similar tonnage of MREC with Toyota Tsusho and our plans for downstream magnet metal production in the
The signing of this MOU marks another important milestone in Pensana’s journey to build a globally diversified and resilient magnet metal rare earth supply chain.”
About
Leveraging its affiliation and former parent status of
About
Learn more about ReElement Technologies’ process and technology here - Video .
About Pensana
The electrification of motive power is arguably the biggest energy transition in history and needs rare earths for permanent magnets.
Pensana has spent
The Company has successfully delineated a near surface JORC compliant reserve of 22 million tonnes grading 3.04% TREO containing 139,457 tonnes of NdPrO making it one of the world’s largest and highest grade, undeveloped magnet metal rare earth deposits with a mine life of over 20 years.
The Company has recently received approvals for the full financing totaling circa
The facility will provide senior funding for the Phase 1 development of the Company’s Longonjo rare earth mine (“Longonjo”) in
The Phase 1 production will be 20,000 tonnes of a highly marketable clean MREC. The proposed second phase expansion will see production increase to 40,000 tonnes per annum of MREC representing around 5% of the world’s production capable of being converted into permanent magnets for electric vehicles and offshore wind turbines.
The investment will generate hundreds of local high value jobs, give work to many local businesses and once in production will generate substantial fiscal returns for the Government of
The Company is committed to developing the Longonjo mine to the very best international standards with the highest level of community engagement and has published a blueprint for sustainable rare earth development which is available on our website. Pensana_Blueprint_for_Sustainable_Rare_Earths.pdf
The team’s efforts were recognised in 2022 when Pensana received green bond assurance by S&P Green Bond Rating Agency
The information contained within this announcement is considered by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No.596/2014. Upon the publication of this announcement via a Regulatory Information Service , this inside information will be
considered
to
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public
domain.
The
person
responsible
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arranging
for
the
release
of
this announcement on behalf of the Company is Paul Atherley (Chairman).
- ENDS-
For further information, please contact:
Shareholder/analyst enquiries:
Pensana
Plc
Rob Kaplan, Chief Financial Officer
