For months, the world has questioned in regards to the said purpose of the president of the US to accumulate Greenland. Is he merely expressing a want to make America larger once more when it comes to territorial space? Is it a query of safety coverage? Or are vital minerals—and particularly Greenland’s immense uncommon earth riches—a key issue?
The primary two questions can’t actually be answered with no fuller understanding of the administration’s motives and techniques than is presently accessible publicly. However for that third query, there exists a wealth of information and context, each historic and modern-day.
Let’s begin with the trendy day. U.S. industries, like these of any developed financial system, rely on vital supplies. Numerous consideration now could be centered on the uncommon earths, a bunch of parts of bizarre significance due to their indispensability in important industrial, protection, and industrial functions. Roughly 90 % of processed uncommon earths come from China, creating supply-chain vulnerabilities that many international locations are actually attempting to keep away from, significantly since China introduced restrictions on the export of heavy uncommon earths in April 2025. Systematic research have indicated that Greenland has 10 necessary deposits of uncommon earth parts.
However in mining, it’s the main points that matter. To know the worth of a minerals deposit it’s necessary to contemplate the historical past and to make a actuality examine of documented assets. The information and the plain conclusions don’t at all times attain decision-makers, traders, and the media.
Greenland Is the World’s Largest Island, However It’s Not as Massive as You Assume
Greenland is the most important island on this planet, however folks usually get an exaggerated impression of how huge it’s as a result of the generally used Mercator projection distorts the dimensions of landmasses near the poles. Greenland is about 2 million sq. kilometers. Nonetheless, the ice-free half—which may rather more feasibly be mined than the opposite half—is roughly the dimensions of California, and with none scenic coastal highways. Touring between settlements is feasible solely by boat or airplane.
Greenland has had 9 completely different mines since World Warfare II, however just one, for the mineral anorthositeis lively at the moment. One other one, for goldis predicted to succeed in full manufacturing later this yr.
Greenland’s solely totally operational mine as of Might 2025 extracts anorthosite rock at a website referred to as White Mountain, on the central west coast of the island.Flemming Getreuer Christiansen
Greenland took over the dealing with of all mining licenses from Denmark in 1998 and full authority in 2010 after self-governance was launched. Greenland has developed a contemporary licensing system for mining with a component of competitors between firms and clear procedures for public enter on environmental and socioeconomic issues. The variety of licenses granted by the federal government has been excessive and comparatively fixed for a few years, however the degree of precise actions, corresponding to drilling, has been low over the previous decade. A number of licenses have been relinquished or revoked with none mining ever happening.
The explanations are many. A serious one is lack of human assets. The inhabitants of Greenland is simply 57,000, scattered round an space 3 times the dimensions of Texas. Another excuse is excessive operational prices as a result of harsh local weather and lack of infrastructure. Others embody restrictions favoring labor from Greenland or Denmark. Nonetheless others embody puzzling current bureaucratic adjustments within the authorized framework of mining associated to the necessities for useful resource assessments and feasibility research, and in addition environmental and socioeconomic necessities for acquiring an exploitation license. Advanced royalty schemes and comparatively excessive company taxes contribute to uncertainty and dangers that many traders have been unwilling to take. That is at a time when Greenland sorely wants investments to gas its goals of financial and political independence from Denmark.
In the summertime of 2021, the Greenland authorities stated no to issuing additional Petroleum License. It didn’t matter very a lot as a result of by then, all the most important oil and gasoline firms had already left Greenland on account of declining oil costs and growing prices brought on by the adjustments to rules. Because the Seventies, some 40 firms have been concerned, however they drilled solely 15 exploration wells and made no industrial discoveries.
The Ivittuut mine, seen right here in 1953, extracted large quantities of cryolite throughout World Warfare II. Ivittuut was one of many few locations on this planet recognized to have deposits of cryolite, which was essential for the smelting of aluminum. The mine closed in 1987.Kaj Skall Sørensen/Danish Arctic Institute
Nonetheless, there have been some industrial actions. Throughout World Warfare II, the Ivittut go in South Greenland produced cryolite for aluminum manufacturing and was essential for the U.S. conflict effort. Since that point, U.S. firms have proven solely a modest curiosity in Greenland; of the full of 250 firms which have been granted exploration licenses over the previous a number of many years, 10 have been American. Of fifty firms from numerous international locations which have been drilling in Greenland, 4 have been from the US, and of the 15 firms which have utilized for an exploitation license, exactly zero have been American. So traditionally the U.S. fingerprint on mineral exploration in Greenland is negligible, despite the fact that the door has been open for many years.
The Deposits Are Massive however Have Low Concentrations of Uncommon Earth Parts
In accordance with the European UnionGreenland has nice untapped potential for 25 of the 34 minerals recognized within the Union’s official checklist of uncooked supplies, together with uncommon earth parts, graphite, platinum group metals, and niobium. Taking a look at these in additional element, nevertheless, a extra advanced image emerges. In 2023, an investigationfor the Middle for Mineral Assets and Supplies of the Geological Survey of Denmark and Greenland discovered that Greenland’s mineral assets included all the pieces from minor occurrences to substantial deposits scattered across the island.
Of Greenland’s 10 necessary uncommon earth depositssolely two, Kvanefjeld (kuannersuit) and the pastries (Killavaat Alannguat), have attracted a lot consideration.
Regardless of being situated only a few miles aside in the identical advanced in South Greenland, these two uncommon earth deposits are very completely different for all parameters: geology and mineralogy, stage of exploration, and documented assets. They’re alike, nevertheless, in that each deposits have some critical drawbacks in comparison with lively mines or superior initiatives elsewhere within the West.
The Kvanefjeld plateau, close to the southern tip of Greenland, is the location of huge deposits of uncommon earth oxides, uranium, thorium, and different parts of commercial significance.Jan Richard Heinicke/laif/Redux
Kvanefjeld is the one mission in Greenland with well-documented reserves, however it suffers from–or, some would say, may probably profit from–a excessive content material of uranium and thorium.
In 2021, when the mission was within the remaining section of getting an exploitation license, the Greenlandic authorities dug in its heels and made it unlawful to mine deposits with greater than 100 components per million of uranium. The brand new rules have been used in opposition to the Australian firm behind the Kvanefjeld mission, rendering nugatory years of heavy investments; greater than US $100 million was reportedly spent on drilling and different work.
The corporate filed a request for arbitration in 2022, and in 2024 it commenced authorized proceedings in opposition to the Greenland and Danish governments. It might be years earlier than these instances are resolved. Within the meantime, this case is prone to hurt funding in Greenland as a result of local weather of excessive political threat it suggests.
The uncommon earths on the Kringlerne deposit are contained inside an igneous rock referred to as kakortokite.Jan Richard Heinicke/laif/Redux
At Kringlerne there are a lot decrease concentrations of uranium. The privately owned firm that has invested within the website, Tanbreez, claims that it’s the largest deposit of its sort on this planet, however that perception relies on little or no drilling. In 2020, the corporate bought an exploration license regardless of not having supplied documentation of assets, up to date research of feasibility, or of environmental and socioeconomic affect. Deadlines for offering monetary safety and plans for mining and closure have been prolonged for a few years. Tanbreez was partly taken over by a New York–based mostly firm registered on the NASDAQ, and the brand new house owners have been obligated to comply with worldwide requirements and disclose a confidential useful resource estimate from 2016. The report revealed significantly extra disappointing numbers with regard to ore grade and different traits.
Nor do Greenland’s deposits fare effectively compared with different mines or deposits. Typical ore grades at profitable mines or enticing deposits are between 4 and eight % uncommon earths. The ore on the mines at Mount Weld in Australia and Mountain Cross in California, and the deposits at Nolan Bore in Australia and Bear Lodge in Wyoming, all fall inside that vary. In Kvanefjeld the quantity is 1.4 %, and in Kringlerne, it dips as little as 0.38 %. The Greenlandic mines would consequently require bigger open pits and rather more vitality for crushing, separation, and refining, which might inevitably drive up prices for establishing mines and for really working them.
Nonetheless, the current U.S. curiosity in Greenland led to some shocking reactions on the inventory market, mixed with excessive volatility. The share worth of Kvanefjeld tripled after intense buying and selling at the beginning of 2025. The share worth of Kringlerne has dropped considerably for the reason that new house owners have been listed on the NASDAQ, however with many ups and downs following all kinds of inventory bulletins that referenced miscellaneous analyses of previous cores.
Greenland’s Flirtations With China Might Backfire
After the Trump administration touched off a tariff conflict, the geopolitical skirmishing between the US and China over uncommon earths grew to become a way more sophisticated conflagration involving the US, the European Union, and China.
And the Greenland authorities has continued to fan the flames by courting Chinese language funding. In March, for instance, Greenland’s international minister, Vivian Motzfeldt, reportedly recognized nearer cooperation with China as a precedence, and even touted the opportunity of a free commerce settlement between Greenland and China. In accordance with a report in The Diplomat, Motzfeldt’s actions have been ”largely pushed by the idea…that a mining increasefueled by Chinese language funding, was essentially the most practical path towards independence from Denmark—a purpose shared by most Greenlandic events.” Possibly so, however such strikes have been broadly perceived as a provocation in opposition to Denmark and the US. No matter their motivation, they might very effectively result in elevated U.S. stress. For the US it could be a geostrategic nightmare if China opened a mine in a distant a part of Greenland, with a city, communication strains, harbor, and an airfield that might clearly be used for functions apart from useful resource extraction and export.
Since Greenland took management of its mineral assets, Denmark has been reluctant to become involved in mining initiatives. That would very effectively change. Denmark and the E.U. could come underneath stress to put money into much-needed infrastructure and vitality initiatives and supply loans on extra favorable situations, if for no different motive than to maintain the US at bay.
Although the scenario is very unstable, it’s necessary to attempt, at the very least, to separate the geopolitical posturing from the realities of mining. In that vein, it’s secure to say there can be no working uncommon earth mines in Greenland through the time period of Donald J. Trump.
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