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As the global race for critical minerals intensifies, few places are as strategically positioned as Greenland to help the West bridge a widening supply gap. With China tightening its grip on the export of key industrial and technology metals, Greenland’s vast and largely untapped mineral wealth presents a rare opportunity – both literally and figuratively.
In the past year, China has rolled out export bans or strict licensing requirements on a range of critical minerals, including rare earth elements (REEs), graphite, molybdenum, gallium, germanium, and tungsten.
These materials are indispensable to the production of electric vehicles, semiconductors, defense systems, and renewable energy infrastructure – all sectors at the heart of the green transition and geopolitical competition.
For Western nations increasingly wary of single-source dependencies, especially in the wake of rising global tensions, Greenland may soon emerge as a pivotal alternative.
The island’s unique geology, transparent regulatory environment, and proximity to North America and Europe make it an appealing candidate for resilient, diversified supply chains.
China’s clampdown – and why it matters
In July 2023, China banned exports of gallium and germanium to the United States, both of which are vital for high-frequency electronics and fiber-optic communication. This was followed by new licensing requirements for 20 categories of tungsten products and export permits for natural graphite as of October 2023.
Most recently, on April 4, 2025, Beijing introduced controls on seven heavy rare earth elements – including dysprosium, terbium, and yttrium – all critical to permanent magnets used in electric motors and defense technologies.
This series of restrictions has triggered urgent conversations among policymakers and industry leaders in the West, leading to fresh investment commitments, stockpiling efforts, and a renewed search for alternative supply sources.
Greenland: A natural counterbalance
While some in the mining industry still think of Greenland as a remote and icy outpost, the reality on the ground is shifting quickly. Greenland hosts a portfolio of world-class mineral resources that align almost perfectly with the materials now under Chinese export control.
Among the most notable are:
• Rare Earth Elements: The Kvanefjeld (Kuannersuit) project alone contains over 11 million tonnes of Total Rare Earth Oxides (TREO). Other major REE-rich zones include Tanbreez and the Ilímaussaq complex, which also contain strategic heavy REEs now under Chinese export restrictions.
• Graphite: The Amitsoq project in South Greenland features high-grade flake graphite – essential for lithium-ion battery anodes. With China now requiring permits for graphite exports, this project could become a critical alternative source.
• Molybdenum: The Malmbjerg deposit holds 245 million tonnes of proven and probable molybdenum disulfide (MoS₂) ore. Molybdenum is a key alloying agent in high-strength steels and plays a role in clean energy applications.
• Gallium and Tungsten: While gallium is not yet mined, it has been detected in eudialyte zones like Ilímaussaq. Large-scale tungsten targets have been identified in East and Northeast Greenland, especially in vein and skarn formations.
This is not speculative potential. These are real, measured resources, with NI 43-101 compliance in several cases, and development-ready conditions.
Location, logistics, and leverage
One of Greenland’s often overlooked advantages is geography. Several key deposits lie just tens of kilometers from natural deep-water ports – sheltered bays that can handle large cargo vessels without requiring costly port infrastructure.
This drastically reduces the capital expenditure typically associated with Arctic mining projects and shortens the logistical chain to both European and North American markets. For example:
• The Kvanefjeld deposit is located just seven kilometers from a natural, navigable deep-water fjord.
• The Amitsoq graphite project is roughly 15 kilometers from the deep-water fjord near Nanortalik – a bay that remains ice-free for most of the year.
These logistical advantages not only enhance operational feasibility but also improve the environmental and community footprint of mining operations – a growing concern for investors and regulators alike.
Greenland has a unique governance framework that requires foreign companies to partner with Greenlandic entities and prioritize local benefits.
A call to action: Strategic partnerships now
This is not merely about economics – it’s about strategic alignment. Greenland has a unique governance framework, including provisions in its Mineral Resources Act that require foreign companies to partner with Greenlandic entities and prioritize local benefits.
This legal and cultural framework offers Western governments and corporations a transparent and collaborative environment in which to invest in long-term critical mineral projects.
For Western miners, financiers, and governments, the window of opportunity is open – but not indefinitely. The time to act is now. Greenland can provide not just the materials needed for technological and energy transitions, but also the geopolitical insulation that supply chains so desperately need.
What Comes Next?
To catalyze this potential, several key steps are needed:
1. Exploration Incentives: More public and private funds must be funneled into geophysical surveys and advanced-stage exploration in Greenland.
2. Infrastructure Investment: Even modest investments in roads and local processing capacity can dramatically improve project economics.
3. Policy Coordination: Greenland’s licensing, permitting, and local partnership requirements must be well understood by potential foreign investors – and treated not as obstacles, but as assets for long-term sustainability.
4. Public Awareness: The mining community – especially in North America – must begin seeing Greenland not as a frontier, but as a future hub. Greenland isn’t just a backup plan. It is Plan A for a more secure, sustainable, and politically aligned mineral supply chain.
As China closes the door on exports critical to Western economies, Greenland offers to open another – rooted in collaboration, rich resources, and responsible development. The question now is: Who will walk through it first?
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