REG-Pensana Plc: MOU with ReElement Technologies to develop a sustainable rare earth supply chain

PensanaAnnouncement

Yesterday 07:02

23 June 2025

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION

 

Pensana Plc

("Pensana" or the "Company")

 

MOU with ReElement Technologies to develop

 a sustainable rare earth supply chain

 

Pensana Plc is pleased to announce the signing of a Memorandum of
Understanding (“MOU”) with American Resources Corporation (NASDAQ:AREC)
(“American Resources”) and ReElement Technologies (“ReElement”) a
leading U.S. critical mineral refiner supplying the automotive, defense, and
advance manufacturing industries in the US.

 

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 Noblesville, Indiana facility. The
company continues to expand capacity, including major development at its
large-scale Marion, Indiana supersite, to meet growing demand from U.S. and
allied defense and commercial industries.

 

Mark Jensen, CEO and Chairman of ReElement, commented, “Our partnership and
MOU with Pensana represent a major advancement toward building a true
mine-to-magnet global rare earth supply chain. Securing mineral independence
requires innovation, not imitation - and legacy solvent-based refining methods
simply won’t be competitive or scalable in the modern market.

 

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 U.S. industry."

 

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.”

 

Tim George, CEO of Pensana, added, “We are thrilled to begin our
collaboration with ReElement. Both teams share a clear vision for establishing
an efficient, scalable, and resilient supply chain for magnet-metal rare
earths – critical to the U.S. and allied defense and commercial industries.

 

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 UK and Asia.

 

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 American Resources Corporation (NASDAQ: AREC)

 

American Resources Corporation is a leader in the critical mineral supply
chain, developing innovative solutions both upstream and downstream of the
refining process. The company and its affiliates focus on the extraction and
processing of metallurgical carbon and iron ore, essential ingredients in
steelmaking, as well as critical and rare earth minerals for the
electrification market and recycled metals.

Leveraging its affiliation and former parent status of ReElement Technologies
Corporation, a leading provider of high-performance refining capacity for rare
earth and critical battery elements, American Resources is investing in and
developing efficient upstream and downstream critical mineral operations.
These operations include mining interests in conventional and unconventional
sources, recycling, and manufacturing.

American Resources has established a nimble, low-cost business model centered
on growth, which provides a significant opportunity to scale its portfolio of
assets to meet the growing global infrastructure and electrification markets
while also continuing to acquire operations and significantly reduce their
legacy industry risks. Its streamlined and efficient operations are able to
maximize margins while reducing costs. For more information visit
americanresourcescorp.com (http://www.americanresourcescorp.com/) or connect
with the Company on Facebook (https://www.facebook.com/americanresourcescorp),
Twitter (https://twitter.com/amerresources), and LinkedIn
(https://www.linkedin.com/company/american-resources-corp/).

About ReElement Technologies Corporation

 

ReElement Technologies Corporation, a portfolio company of American Resources
Corporation (NASDAQ:AREC), is a leading provider of high-performance refining
capacity for rare earth and critical battery elements. Its multi-mineral,
multi-feedstock platform technology focuses on the refining of recycled
material from rare earth permanent magnets and lithium-ion batteries,
concentrated ores and brines, as well as coal-based waste streams and
byproducts to create a cost effective and environmentally-safe, circular
supply chain. ReElement has developed its innovative and scalable “Powered
by ReElement” process which collaboratively utilizes its exclusively
licensed intellectual property within its partners’ material processing flow
sheets to more efficiently support the global supply chain’s growing demand
for magnet and battery-grade products. For more information visit
reelementtech.com (https://www.reelementtech.com/) or connect with the Company
on Facebook (https://www.facebook.com/reelementtech), Twitter
(https://x.com/ReElementTech), and LinkedIn
(https://www.linkedin.com/company/relementtech).

 

Learn more about ReElement Technologies’ process and technology here - Video
(https://vimeo.com/784241066).

 

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 US$ 70 million over the past six years on exploration,
technical and environmental studies on the Longonjo rare earth project in the
Huambo district of Angola approximately 350 kilometres Southeast of the
capital Luanda.

 

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 US$ 268 million for the Longonjo rare earth project. The Board of the
Africa Finance Corporation has approved its US$ 81.2 million participation in
an approximately US$ 160 million syndicated loan facility alongside major
South African bank Absa Bank Limited.

 

The facility will provide senior funding for the Phase 1 development of the
Company’s Longonjo rare earth mine (“Longonjo”) in Angola through its
84% owned subsidiary Ozango Minerais SA.

 

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 Angola. The downstream development of the mine
and processing facilities to a mixed rare earth carbonate go beyond the
conventional dig and ship approach

 

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
(https://pensana.co.uk/wp-content/uploads/2022/09/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 CICERO and more recently were
awarded a Gold Medal by EcoVadis, a leading sustainability ratings provider,
placing it among the top 5% of the companies assessed.
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
be in the public domain. The person responsible for 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

Paul Atherley, Chairman

IR@pensana.co.uk

Tim George, Chief Executive Officer

Rob Kaplan, Chief Financial Officer



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