# Pensana Plc Advances Longonjo Mine Development, Bolstering Local Infrastructure and Livelihoods

- Link: https://www.directorstalkinterviews.com/pensana-plc-advances-longonjo-mine-development-bolstering-local-infrastructure-and-livelihoods/4121137304
- Published: 2024-01-03T07:31:58+00:00
- Author: Emily Johnson

**Pensana Plc** ([LON:PRE](https://www.directorstalkinterviews.com/company/pensana-rare-earths-plc/pre.l))
has provided the following update on activities at the Longonjo mine site ahead 
of main construction.

As previously announced the early-stage development activities are being funded 
by a US$15 million bridging loan provided by FSDEA (the Angolan Sovereign Wealth
Fund) ahead of the main finance. 

The significant activities have been the civil works for the camp, the rehabilitation
of the access road to the Longonjo railway station and the agricultural demonstration
plots under the Livelihood Restoration Programme.

The 4.5 kilometre road linking the site to the Benguela railway line has been upgraded.
The enhanced road features include an improved roadbed substructure, a redefined
road profile and rapid drainage systems.

Serving as the primary route for inbound materials during construction and later
for reagent import and the export of Mixed Rare Earth Carbonate in containers, the
road connects the mine to the Longonjo station for rail access to the port of Lobito
for shipping.

The Benguela railway line is part of the Lobito corridor undergoing a US$550 million
investment from the US Government. The investment aims to secure critical minerals
across central Africa to be exported via the port of Lobito andis anticipated to
become one of Africa’s most important rail transport systems.

Several kilometres of overhead powerlines, together with an underground water supply
and effluent disposal system have been installed ahead of the arrival of the 350-
person modular camp, which has been assembled at Johannesburg and is being relocated
to site. The camp will be the primary operations base for the construction team.

Agricultural demonstration plots have been established by South African agriculture
consultants, Vuna Agri, as part of the Livelihood Restoration Programme. The demonstration
plots have an area of nine hectares and have now successfully completed their first
full season.  The Livelihood Restoration Programme was established to provide replacement
land for any displaced farmers and additionally to provide a training base for those
persons affected by the project to develop their agricultural skill sets. 

The objective is to help local growers and farmers create healthy and sustainable
agro-ecosystems, boosting household income in nearby communities, whilst enhancing
overall food security. This ongoing programme is being conducted in collaboration
with local universities with a view to continually improving farming practices.

**Tim George Pensana Plc** **CEO commented:** “_We now have over 50 engineering 
contractors and Longonjo staff working on site in preparation for the commencement
of main construction. There has been a very positive reaction to the activities 
on site amongst the local community, in particular with the creation of well-paid
jobs and the successful implementation of the first phase of the livelihood restoration
programme_.

_We have a strong team supporting the main construction which is being manged by
MCC a leading project management team with a track record of delivering projects
across Africa, including Angola.ADP, the main contractor is an African minerals 
specialist in the detailed design, construction and commissioning of modular mineral
processing plants with extensive development experience in Angola.”_

The electrification of motive power through EVs and Wind Turbines is the biggest
energy transition in history and is forecast to generate a demand growth for magnet
metal NdPr of 7.5% CAGR over the next decade.

Pensana Plc owns one of the world’s largest undeveloped rare earth mines, and one
of only three with a JORC Reserve >100,000 tonnes of NdPr.

At full production Longonjo will produce ~5% of world production of NdPr in the 
form of an exported mixed rare earth carbonate.

The upfront capital cost of US$200 million for the fully permitted mine and processing
facilities is amongst the lowest amongst its peers making Pensana highly competitive.

Pensana also has a fully permitted US$250 million downstream separation facility
at the Saltend Chemicals Park in the Humber Freeport.

Financing for each of the Longonjo and Saltend projects is currently underway.

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