- Rare earth (RE) sector is undergoing substantial restructure with major near-term demand growth owing to the roll-out of EV’s.
- Greenland Minerals seeks to develop a globally significant international RE business.
- GGG’s primary focus is development of the Kvanefjeld RE project in south west Greenland- an apparent future cornerstone to global RE supply and a large-scale, low-cost, long term supplier of products.
- Key appointment of Executive General Manager and significant probable economic and environmental implications of production of by?products from the Project have been recent milestones in progressing Kvanefjeld project.
Australian explorer Greenland Minerals Limited (ASX:GGG) has garnered impressive market traction over last one month, generating 37.50% return. The stock soared 6% to $ 0.175 on 24 July 2020.
The Company is currently focused on developing the Kvanefjeld RE Project in southern Greenland, that is centred on the Ilimaussaq Alkaline Complex. Distinctive Project attributes can potentially make Kvanefjeld a globally significant supplier of RE for many decades, including direct shipping access through the year, massive bulk resources mostly outcropping, and ores conducive to simple cost-competitive processing.
Moreover, test works conducted in China and Australia under the guidance of strategic partner Shenghe Resources hint that Kvanefjeld possibly bears the lowest costs of undeveloped RE projects in ASX?listed companies.
To know more about the Project, READ HERE: Greenland Minerals well positioned to be a future cornerstone to global rare earth supply
While Greenland Minerals continues to develop Kvanefjeld to become a significant western world producer of RE, let us cast an eye on its latest developments:
Significant Economic and Environmental Benefits Of Kvanefjeld By-Products
On 9 July 2020, GGG reported that upon development, Kvanefjeld could be one of the world’s largest producers of RE, producing over 30,000 tpa of RE oxide (equivalent) in an intermediate product. The intermediate product is likely to consist of considerable quantities of critical magnet REs- terbium, dysprosium, neodymium as well as praseodymium.
Subsequently, GGG expects the Project to recover a series of by?products during production of the RE intermediate product that may have substantial economic and environmental benefits-
- While RE is forecast to contribute over 90% of Project revenues at current prices, Kvanefjeld may produce commercially significant quantities of uranium oxide, zinc concentrate, and fluorspar.
- Annually, by products are likely to generate USD 60 million in Kvanefjeld’s revenue, reducing cost of RE manufacture by ~ USD 1.90/kg or 40% of cost of manufacturing a RE intermediate product (in Greenland).
- Incremental cost of by?product recovery may remain low, and by?product revenue could contribute to lower production cost of RE.
- On the environmental front, recovery of by?products has the effect of eliminating environmentally unfavorable elements from tailings streams. Consequently, this shuns overall environmental effect.
Key Appointment of Executive General Manager
On 2 July 2020, Greenland Minerals updated about a significant addition to its team. Mr Jørn Skov Nielsen was appointed as Executive General Manager, who brings experience in international government and commercial negotiations and possesses deep understanding of the Greenlandic society and business sectors.
Mr Nielsen is likely to play an instrumental leadership role, driving several in?country activities pertaining to Kvanefjeld. In particular, he would focus upon licensing and regulation in Greenland and Denmark, along with strategic and commercial developments into Europe.
To further acquaint with Mr Nielsen and his role at GGG, PLEASE READ: Greenland Minerals: New Executive General Manager May Propel Kvanefjeld Project’s In?country Activities
As Mr Nielsen believes- Kvanefjeld has far?reaching strategic and commercial significance for Greenland and on a global scale. It has potential to become a world leader in extraction of RE metals.
Notably, the Company has been developing Kvanefjeld as a unique, industrial, world-class RE project that could contributing to improved energy efficiency, increasing renewable power generation capacity, and reducing greenhouse gas emissions on a world scale.
In compliance with all relevant COVID-19 measures, Greenland Minerals will be conducting its AGM on 31 July 2020 at the Subiaco Arts Centre, Subiaco WA.