US interest in GREENLAND22 Oct 2020 00:22
Old article but interesting monetheless
UFO have won a mining contract in Greenland. News of this has not yet formally been released to the market. However for interest here's an article as to why Donald Trump was interested in buying Greenland.
https://www.ft.com/content/f418bb86-bdb2-11e9-89e2-41e555e96722
President Donald Trump’s idea to buy Greenland may be fantasy, but the US has staked an interest in the island’s resources — in particular, its rare earth minerals.
The US recently signed a memorandum to co-operate with the autonomous territory on rare earth mining in order to promote investment in the sector, amid wider efforts to secure alternative supplies after China hinted that it could constrict exports to the US.
Greenland is estimated to hold 38.5m tonnes of rare earth oxides, while total reserves for the rest of the world stand at 120m tonnes.
“Stipulated production is substantial, backed by the resources,” said Per Kalvig, chief consultant at the Geological Survey of Denmark and Greenland.
China dominates the global production of these rare earths, a group of 17 metals difficult to commercialise but critical to high-tech applications, including electric vehicles, wind turbines and military technology. More than 70 per cent are mined, and an even higher percentage processed, in China.
The two companies in Greenland best positioned to mine rare earths have contrasting opinions on the need to co-operate with China — and, ultimately, whether the US and Europe can secure competitively priced non-Chinese rare earths.
Tanbreez Mining, an Australian privately owned company, claims to hold promising resources, rich in the heavy rare earths.
Video: How Greenland hopes to capitalise on the Donald Trump effect
Greg Barnes, Tanbreez’s chief geologist, said Chinese participation in its project was unnecessary because the unique ore lacks usual contaminants — such as thorium or fluorine — and can be processed for a low cost with a high return of rare earths, eliminating the need for refining in China.
“Our operation doesn’t need any Chinese technology, so we don’t need to go to them,” he said.
However, industry analysts said that rare earth projects cannot avoid relying on China further down the value chain.
“Chinese companies are considered leaders in complex technology to transform mineral concentrates into commercial products and China is the largest market,” said Patrik Andersson from Aalborg University. “Therefore, it is difficult to envisage how a project that completely excludes Chinese expertise could succeed.”
The Arctic nation’s other rare earths mining group, Greenland Minerals, has Chinese producer Shenghe Resources as its largest shareholder.
Rare metals and their uses
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