Greenland Mines (NASDAQ: GRML) says the new security agreement involving the US, Denmark and Greenland shows the territory’s importance for critical minerals, securing it and protecting its resources from non-ally countries.
The rare earth and precious metals company said its Greenland projects could form part of a secure allied critical-minerals supply chain. It is also proposing a North Atlantic Critical Metals Corridor linking the territory’s resources with downstream processing and industrial infrastructure in allied countries.
“Today’s announcement underscores what we have long believed: Greenland is becoming one of the most strategically important regions in the world,” Greenland Mines president Bo Møller Stensgaard said. “We believe that the same strategic importance extends to the critical minerals required for defense, advanced technology and energy security.”
Stensgaard added that this new agreement will help advance a framework that strengthens security, cooperation among allies and recognizes Greenland’s importance to the future of the US and other Western countries, especially when it comes to critical minerals.
The deal, announced on Sept. 18, is expected to be signed during the 81st session of the United Nations General Assembly.
Greenland Mines holds two major assets on the island. Its Sarfartoq project in southwest Greenland contains neodymium-praseodymium rare earths, with the potential to provide 34% of all neodymium and praseodymium oxide currently refined outside China at 2025 consumption levels. Skaergaard, in southeast Greenland, has palladium, platinum, gold and vanadium.
Deal to be signed
The security pact builds on longstanding US defence arrangements in Greenland and would allow Washington to expand its military presence without changing the territory’s sovereignty while also prohibiting American adversaries from building their own bases there, CBC reported.
President Donald Trump has pushed for greater US control over Greenland since the beginning of his second term, at times proposing that the US acquire the territory. Denmark and Greenland rejected those proposals and have maintained that Greenland is not for sale.
The new agreement instead preserves Danish sovereignty and Greenlandic self-determination while expanding Washington’s security role. It would also prevent non-North Atlantic Treaty Organization (NATO) countries from building military bases in the region.
Trump posted on Truth Social after the deal was announced that the United States would “FOREVER have the complete ability to do what is necessary in Greenland in order to secure and defend the security of Greenland, and the United States of America.”
For Greenland Mines, the agreement adds a security dimension to the growing Western focus on the island’s mineral potential. The company says Sarfartoq and Skaergaard could eventually help supply materials used in defence and advanced technologies while supporting its broader strategy of linking Greenland production with allied processing capacity.
Sarfartoq to expand
As the new pact could help develop new mineral projects in the territory, Almonty applied for a new license to gain more control at Sarfartoq.
If granted, the new license would more than double their footprint in the rare earth and carbonatite district.
“Our strategy is straightforward: advance ST1 toward development, unlock the value of the less-developed known ST zones and systematically test the wider district for the next rare earth discovery,” Stensgaard said.
Shares in Greenland Mines were up 227% to $9.33 apiece by mid-day Monday in New York, valuing the company at $51.5 million.
