Pensana’s $25M funding to enable construction to begin at Angola rare earth mine
May 19, 2025
Pensana, headquartered in London, United Kingdom, has announced that, further to the Longonjo Finance announcement of March 18, 2025, the company has now agreed the terms and timing for the deployment of the first $25 million equity tranche. As part of the overall financing arrangement, the Angolan Sovereign Wealth Fund (FSDEA) will deploy this funding at the subsidiary level into Ozango Minerais SA.
Additionally, FSDEA has agreed on the terms for the conversion into Pensana equity of the $15 million bridging loan, previously advanced over the past 18 months to facilitate early-stage construction at Longonjo, into equity.
Subject to regulatory and shareholder approvals, the company will seek to apply for the conversion shares to be admitted to listing on the Standard Listing segment of the Official List of the Financial Conduct Authority (FCA) and to trading on the main market for listed securities of London Stock Exchange plc.
Paul Atherley, Chairman of Pensana, commented, “We are extremely grateful to the Angolan Sovereign Wealth Fund for its ongoing support for the development of the Longonjo project. Longonjo is the world’s largest and highest-grade undeveloped magnet metal rare earth project. Its development 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 Angolan government. Having already established the camp and site infrastructure the USD 25 million drawdown will allow main construction to commence and will put Angola on the map as a major player in the global rare earth supply chain.”
Pursuant to the $15 million loan facility entered between the company and FSDEA’s wholly owned subsidiary, ASF Yova Mining Holding Limited, on August 7, 2023, the company and ASF Yova have conditionally agreed, subject to final FSDEA Board approval, that the outstanding amount of $15 million under the facility will be converted into ordinary shares in the company. The conversion price for the Conversion Shares will be £0.24. Following admission, ASF Yova will hold approximately 37% of the company’s issued ordinary share capital.
Subject to receipt of regulatory approvals for the publication of the Circular in the coming weeks, the company will look to publish the Circular and call for a general meeting of shareholders. The company said it will provide further updates to shareholders in due course.
