U.S. Pressures Greenland’s Largest Rare Earths Developer Not to Sell to China
The U.S. and Danish officials have been actively lobbying Tanbreez Mining, the developer of Greenland’s largest rare earths deposit, not to sell its project to Chinese-linked firms. This revelation was first reported by Reuters, with the company’s CEO confirming regular contact with Washington while exploring funding options.
The intervention highlights a long-standing U.S. economic interest in Greenland, predating President-elect Donald Trump’s recent musings about acquiring the Danish territory. The U.S. has been keen to secure access to critical minerals like rare earths, which are essential for various industries including electronics and defense.
Tanbreez Mining is currently reviewing its funding options as it plans to develop the Island’s critical mineral resources. The company’s ties with U.S.-based Critical Metals, which is in the process of buying a controlling stake in Tanbreez, may have drawn additional attention from U.S. officials.
The Reuters report sparked significant interest across various media outlets. Meanwhile, shares in Critical Metals surged by nearly 14% during early trading following the news, indicating market confidence in the company’s strategic position.
Rare earth elements are a group of 17 chemically similar metals that play a crucial role in modern technology due to their unique magnetic and luminescent properties. China is currently the world’s largest producer and exporter of rare earths, holding a significant global market share. The U.S., however, is eager to reduce its dependence on Chinese supplies and secure alternative sources.
Greenland’s vast mineral reserves present an attractive opportunity for the U.S. to diversify its supply chain. The country’s strategic location between North America and Europe also adds to its appeal. As the U.S. continues to engage with Greenland and its businesses, the future of rare earths mining in the region is likely to remain a contentious issue, with geopolitical and economic implications for all involved parties.