Greenland Minerals Ltd ('GML' or 'the Company') is pleased to advise that it has achieved another important milestone in the path to a mining license for the Company's 100% owned Kvanefjeld Rare Earth Project.
Under Greenland's Mineral Resources Act, one of the main requirements for the granting of an exploitation (mining) license is the effective documentation of a deposit of exploitable minerals in the license area, and that this has been approved by the Greenland Government. Greenland's Ministry of Mineral Resources and Labour has provided written confirmation that GML's documentation (mineral resource and feasibility reports) for the Kvanefjeld Project (exclusive exploration license EL 2010/02) has been approved.
In the case of resource reporting, mineral resources are required to be of the 'indicated' (or higher) category as reported in accordance with the Australian JORC Code. The mineral resources for the Kvanefjeld mine plan (initial 37-year operation) are largely of the 'measured' category (highest confidence category).
Greenland's Ministry of Mineral Resources and Labour engaged Auralia Mining Consultants to conduct the evaluation. This involved the review of a series of reports on the Kvanefjeld Project, most of which had been conducted by SRK Consulting.
The Kvanefjeld Rare Earth Project is one of the most significant and advanced emerging rare earth projects globally. The Project is underpinned by a 1 billion tonne mineral resource, and a 108 million tonne ore reserve. Kvanefjeld is favourably located near existing infrastructure in southern Greenland with yearround direct shipping access to the project area.
Rare earth elements are critical to the electric vehicle revolution, as well as many other energy efficient applications. The Kvanefjeld Project is forecast to be a globally significant producer of all commercially important rare earth elements including neodymium, praseodymium, terbium and dysprosium, over an initial 37-year mine life. These rare earths are used to make high powered permanent magnets that are utilised in electric vehicles, along with many other applications. Kvanefjeld is well-placed to meet the major surge in rare earth demand that will be generated by the transition to electric vehicles.
Greenland Minerals Ltd has an internationally diverse shareholder base. The largest shareholder (11%) is Shenghe Resources Holding Co Ltd, a leading international rare earth company that supplies end-user industries globally with high purity rare earth metals and oxides. Shenghe have also played a key role in the successful restart of the Mountain Pass rare earth mine in the United States. Shenghe bring full rare earth value chain proficiency to the Kvanefjeld Project.
ABOUT GREENLAND MINERALS LTD.
Greenland Minerals Ltd (ASX: GGG) is an exploration and development company focused on developing high-quality mineral projects in Greenland. The Company's flagship project is the Kvanefjeld Rare Earth Project. A pre-feasibility study was finalised in 2012, and a comprehensive feasibility study was completed in 2015 and updated following pilot plant operations in 2016. The studies demonstrated the unique and highly advantageous strengths of the Kvanefjeld Project and outlined the potential for Kvanefjeld to be developed as a long-life, low cost, and large-scale producer of rare earth elements; key enablers to the electrification of transport systems
GML is working closely with major shareholder and strategic partner Shenghe Resources Holding Co Ltd to develop Kvanefjeld as a cornerstone of future rare earth supply. An exploitation (mining) license application for the initial development strategy was reviewed by the Greenland Government through 2016 -19 and was updated in 2019 following addition supporting studies. In 2017-18, GML undertook technical work programs with Shenghe Resources Holding Co Ltd that improved the metallurgical performance and simplified the development strategy and infrastructure footprint in Greenland, with optimised Feasibility Study outcomes announced in mid-2019. This defined a significantly enhanced project cost-structure and a direct alignment with downstream processing. In addition, the Company continues its focus on working closely with Greenland's regulatory bodies on the processing of the mining license application and maintaining regular stakeholder updates.
Dr John Mair
Greenland Minerals Ltd
Tel: +61 8 9382 2322
Greenland Minerals Ltd will continue to advance the Kvanefjeld project in a manner that is in accord with both Greenlandic Government and local community expectations and looks forward to being part of continued stakeholder discussions on the social and economic benefits associated with the development of the Kvanefjeld Project.