REG-Pensana Plc: MOU with Toyota Tsusho Corporation for Rare Earth Offtake

PensanaAnnouncement

16/06/2025 07:05

16 June 2025

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION

 

Pensana Plc

("Pensana" or the "Company")

MOU with Toyota Tsusho Corporation for Rare Earth Offtake

Pensana Plc (PRE.LSE) is pleased to announce that it has signed a non-binding
Memorandum of Understanding ("MOU") for a rare earth offtake agreement with
major Japanese partner, Toyota Tsusho Corporation ("Toyota Tsusho").

Key terms of the MOU include:
* 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.
* Toyota Tsusho intends to collaborate with Pensana to develop a new,
independent, and sustainable supply chain for rare earth materials, utilizing
the Indian processing facility operated by its wholly owned subsidiary,
Toyotsu Rare Earth India (TREI).
* Toyota Tsusho is also exploring deeper cooperation with Pensana as both
parties jointly assess additional opportunities across the rare earth value
chain.
Since 2013, Toyota Tsusho has been processing rare earth materials at its
Indian facility and continues to expand operations to meet the growing demand
from Japanese magnet manufacturers.

Mr. Tsutomu Aoki, General Manager of Metal Resources Department at Toyota
Tsusho, commented:

"This MOU represents a significant step in the development of a global rare
earth supply chain-not only to support Toyota Tsusho's direct customer base
but also to strengthen and diversify the broader rare earth value chain."

Mr. Paul Atherley, Chairman of Pensana, added:

"This partnership with Toyota Tsusho marks the next strategic step in
establishing Longonjo as the most important rare earth development in over a
decade."

Signature of the MOU marks another key milestone in Pensana's journey to
deliver rare earth products into the global value chain and underscores the
Company's commitment to building a resilient and sustainable supply network.

 

About Toyota Tsusho

 

Toyota Tsusho Corporation is the trading arm of the Toyota Group, operating
globally across a wide range of industries including automotive, energy,
metals, chemicals, food, and infrastructure. Established in 1948 it has a
strong commitment to sustainability and innovation, and plays a key role in
building resilient supply chains and advancing carbon neutrality. Through its
subsidiary, Toyotsu Rare Earth India (TREI), the company has been processing
rare earth materials since 2013, supporting the growing demand from Japanese
magnet manufacturers. Toyota Tsusho is actively engaged in initiatives that
contribute to economic development and environmental sustainability worldwide.

 

 

 

 

About Longonjo

 

Pensana has spent over 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 electrification of motive power is arguably the biggest energy transition
in history and needs rare earths for permanent magnets.

 

Initial production will be 20,000 tonnes of a highly marketable clean MREC. A
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 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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