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Greenland Minerals (ASX:GGG) to meet with government on uranium legislation

ASX News, Mining
ASX:GGG
20 December 2021 11:27 (AEST)
Greenland Minerals (ASX:GGG) - Managing Director, John Mair

Source: Greenland Minerals

Greenland Minerals (GGG) will meet with Greenlands Minister for Finance, Minerals, Justice and Gender Equality to discuss the future of its Kvanefjeld rare earths project.

Last month, the country banned uranium exploration and development, putting a spanner in the works for GGG’s Kvanefjeld rare earths project.

The new law came into effect on December 2 but the company’s exploration licence El 2010/02 was issued before this date.

However, the Department stated granting of an exploitation licence would be considered a separate, new licence, and therefore subject to the new Act.

Based on this, the company’s exploitation licence application would not be granted, based on the current development proposal for Kvanefjeld.

GGG now has two options for the project. It could maintain the present exploration licence, in which it would expect a refusal or recall the application or to recall the application and potentially hand in a revised application to comply with the new Act.

The company is now requesting a meeting with Greenland’s Minister for Finance, Minerals, Justice and Gender Equality, Naaja H Nathanielsen, to discuss these two options or remedy mechanisms if no development options are available.

On the market this morning, GGG was in the grey and trading at 8.2 cents per share at 11:27 am AEDT.

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