Longonjo neodymium/praseodymium project, Angola – update

Image of mounds of rare earths

3rd November 2023

By: Sheila Barradas

Creamer Media Research Coordinator & Senior Deputy Editor


Font size: - +

Name of the Project
Longonjo neodymium/praseodymium project.

Huambo, Angola – 4 km from a modern rail line leading directly into the Atlantic Ocean Port of Lobito.

Project Owner/s
Pensana Rare Earths holds an 84% interest in Longonjo through its 84% holding in Angola-registered company Ozango Minerais, which, in turn, owns 100% of the mining licence.

The Angolan government holds a 10% interest and the company’s Angolan partners hold the remaining 6%.

Project Description
Longonjo is one of the biggest rare earths deposits in the world, with an initial 20-year mine life.

The project has total proven and probable reserves of 30.1-million tonnes grading 0.55% neodymium/praseodymium oxide for 166 000 t neodymium/praseodymium and total rare-earth oxide (TREO) of 767 000 t.

The mine execution plan is based on a staged development of the mine and processing facilities.

At full production, once the phased development is complete, the Longonjo mine will target production of up to 38 000 t/y of mixed rare-earth double sulphate or mixed rare-earth carbonate (MREC), containing 14 000 t of TREO and up to 4 400 t of neodymium/praseodymium oxide, equating to about 5% of the worldwide production of neodymium/praseodymium oxides a year for downstream processing or to be sold on the international market.

Initial feedstock will be shipped as a clean, high-purity mixed rare-earth sulphate to Pensana’s Saltend rare-earth oxide separation facility, in the UK.

Potential Job Creation
The mine will employ about 650 people during construction and will create 420 permanent high-value jobs.

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
Initial capital costs are estimated at $200-million.

Planned Start/End Date
The project can be put into production in less than 18 months.

Latest Developments
Pensana's engineering team has successfully completed a modular redesign of the Longonjo neodymium and praseodymium mine and processing facility, with a total capital expenditure (capex) of $200-million.

In an update on the financing of the Longonjo and Saltend projects – the latter being in the UK – on October 31, the company revealed that financial institution Absa, which had been mandated as the lead arranger for a $120-million loan facility, had provided high-level commercial debt terms, which include support from the South African Export Credit Agency.

The company stated that the Fundo Soberano de Angola (FSDEA) and a pan-African multilateral development financial institution are working to provide the $80-million equity investment required to support the debt facility.

The FSDEA has provided a $15-million bridging loan facility toward the $80-million investment, which is available to meet operating cash flow requirements to facilitate early-stage development and the route to main finance.

An updated mineral investment contract is being worked on, which could potentially include various additional tax incentives, including a reduction in the rate and deferral of the payment of the corporate income tax rate, along with a reduction in the tax applicable to the distribution of profits and dividends.

Pensana has said it is in advanced discussions with several parties for the offtake of the marketable, radionuclide-free MREC and is expected to be in a position to sign up to 100% of the production of the high-value, clean MREC from the Longonjo processing facility.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Pensana Rare Earths, email

Edited by Creamer Media Reporter



SAIMC (Society for Automation, Instrumentation, Mechatronics and Control)
SAIMC (Society for Automation, Instrumentation, Mechatronics and Control)

Education: Consulting with member companies to obtain the optimal benefits from their B-BBEE spending, skills resources as well as B-BBEE points


Our Easy Access Chute concept was developed to reduce the risks related to liner maintenance. Currently, replacing wear liners require that...


Latest Multimedia

sponsored by

Magazine round up | 19 April 2024
Magazine round up | 19 April 2024
19th April 2024
Resources Watch
Resources Watch
17th April 2024

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
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?







sq:0.069 0.118s - 92pq - 2rq
1: United States
Subscribe Now
2: United States