Pensana progresses upfront cost reduction of planned Longonjo mine
London-listed Pensana has advised that it is on track to re-engineer the Longonjo project, in Angola, to reduce its upfront capital cost to $200-million and complete financial due diligence for main financing of the project in the coming quarter.
The redesign will see Longonjo produce a standardised and highly marketable, radionuclide-free mixed rare earth carbonate.
A revised execution plan allows for staged mine development, which reduces the upfront capital cost.
Pensana first planned to invest $300-million for the development of the Longonjo mine and processing infrastructure.
To meet the financier’s due diligence requirements, Pensana has re-engaged selected vendors of major and long lead items to provide updated quotations.
Major shareholder Angolan sovereign investment fund FSDEA will provide an immediate $15-million loan facility as part of a broader $80-million investment towards development of the mine, as well as to provide the equity component for a proposed debt facility.
In turn, Absa Bank has been mandated to arrange a $120-million debt facility, which, together with the $80-million in funding, will see the mine and processing facilities through to commissioning.
Meanwhile, site infrastructure development continues, with earthworks being undertaken by Group Nov.
Pensana has appointed ADP Group, which forms part of metallurgical plant specialist company Lycopodium Group, to its engineering team. ADP will work with hydrometallurgy engineering and modular fabrication company Pro Process to implement the detailed design of the re-engineered Longonjo project.
Longonjo is targeting production of 38 000 t/y of mixed rare earth sulphate, containing 14 000 t of total rare earth oxides and 4 400 t of neodymium and praseodymium oxide for downstream processing or export to the international market.
Comments
The
content
you are trying to access is only available to subscribers.
If you are already a subscriber, you can Login Here.
If you are not a subscriber, you can subscribe now, by selecting one of the below options.
For more information or assistance, please contact us at subscriptions@creamermedia.co.za.
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation