British company Pensana Plc said it has signed a non-binding Memorandum of Understanding for an offtake with a major Japanese partner, Hanwa Co. Ltd, Report informs via FT.
Key terms of the memorandum include an offtake proposal for up to 20,000tpa of ultra-clean Mixed Rare Earth Carbonate from the Longonjo mine over 5 years at prices to be discussed.
Hanwa intends to cooperate with Pensana in the marketing and distribution in the global market but also work towards developing a strategic and sustainable supply chain for magnet metal material.
The MOU also allows for Hanwa to consider providing financial support and to jointly study support opportunities from Governmental and financial institutions for the various Pensana projects. These include Coola and Sulima west expansion, the separation facilities and metallization project.