According to a report from Mining.com, on the 19th, Greenland Resources obtained a 30-year license for the Malmbjerg molybdenum ore project, which is supported by the EU.
In the first 10 years after production begins, this open-pit mine is expected to produce 32.8 million pounds (approximately 14,900 mt) of molybdenum annually, capable of supplying a quarter of the EU's annual molybdenum demand.
Molybdenum is a silvery-white metal that enhances the hardness, heat resistance, and corrosion resistance of steel, making it crucial for the aerospace, energy, and defense industries.
The Malmbjerg molybdenum ore project is supported by the European Raw Materials Alliance (ERMA) and has already attracted the attention of industry leaders. Earlier this year, Greenland Resources signed supply agreements with Finland's Outokumpu and Italy's Cogne Acciai Speciali (CAS).
Naaja Nathanielsen, Greenland's Minister for Business, Mineral Resources, Energy, Justice, and Gender Equality, called the Malmbjerg molybdenum ore project an important step towards economic independence for the autonomous territory.
"The progress we are seeing in the mineral resources industry is good news for everyone," she said.
Nathanielsen pointed out that projects like Malmbjerg can contribute to Greenland's economic independence by creating jobs, providing opportunities for local businesses, and bringing direct benefits to communities.
The project's feasibility study indicates that over its 20-year operational period, the Malmbjerg project could generate nearly $1 billion in tax revenue.
The approval of the Malmbjerg project comes at a time of a general uptick in mining activities in Greenland. Last month, the government issued a development license to a Danish-French joint venture, and earlier this month, the EU included a Greenland graphite project in its list of 13 new critical material projects.
In March, the EU approved a list of 47 raw material projects within its borders.
Last week, the US Export-Import Bank (EXIM) announced that Critical Metals Corp., which is developing the Tanbreez rare earth ore project in Greenland, has preliminarily met the conditions for a $120 million loan.
This autonomous territory of Denmark is home to over 40 resources classified as critical minerals by the US and the EU. Since Trump expressed interest in purchasing the Arctic island, Greenland's mineral resource potential has attracted increasing attention.
