Greenland Minerals and Energy (ASX: GGG) is a mineral exploration and development company, focused on unlocking the mineral riches of Greenland, one of the world’s last natural resource frontiers.
The company strategy is to identify large mineral deposits with the potential to underpin long term, economically robust mining operations.
Greenland Mineral's flagship project is Kvanefjeld, a multi-element deposit located near the southwest tip of Greenland. Through focused exploration, Kvanefjeld is rapidly growing to become one to the world’s largest undeveloped deposits of rare earth elements, uranium and naturally occurring sodium fluoride.
Greenland Minerals and Energy new multi-element deposits could be larger than Kvanefjeld
Greenland Minerals and Energy has commenced the 2011 field program on the new multi-element deposits discovered in the Ilimaussaq Complex in Greenland, which have the potential to rival and surpass the already world-class Kvanefjeld Resource.
Greenland Minerals and Energy (ASX: GGG) is aiming to establish initial JORC Inferred resource estimates for three recently discovered multi-element deposits within the northern Ilimaussaq Complex in south Greenland by September.
Rod McIllree and the Greenland Minerals team are known to be especially "bullish" on the potential of the three deposits at Steenstrupfjeld, Zone 2, and Zone 3, and could be up to 15 to 20% larger than Kvanefjeld.
The Ilimaussaq Complex hosts the Kvanefjeld multi-element project, which has the world’s largest JORC rare earth Resource.
The company commenced the 2011 field program in mid-May and is focused on Resource definition drilling at the new multi-element deposits, ongoing environmental baseline studies and reconnaissance engineering studies that aim to evaluate the suitability of sites for key infrastructure items.
Two diamond drill rigs are currently operating on Zone 2 where over 2000 metres of core have been drilled to date. Upon completion of the planned drill holes at Zone 2, both drill rigs will move to the Zone 3 area located along the northeastern margin of the Ilimaussaq complex.
A third rig is scheduled to commence drilling in the Steenstrupfjeld area in the coming days, with about 15,000 metres of drilling is planned for the season.
Negotiations with local community
Stakeholder engagement programs are continuing, with a well-received open day having recently been held in the town of Qaqortoq, south Greenland.
Qaqatoq is located about 30 kilometres from the town of Narsaq where the company's operations are based.
Greenlandic stakeholders input is critical to the site selection process, along with the results from the Resource definition drilling. Significantly, the company is expecting Government environmental approvals within weeks, which would be a boost for the market value of the company.
The open day was the second by the company, and provided a comprehensive update on the Kvanefjeld project, with a strong emphasis on the feasibility studies and the environmental and social impact assessments.
The company has a good rapport with local communities and has its next open day in October.
A 619 million tonne (Mt) multi-element resource (rare earth elements, uranium, zinc) has already been defined at Kvanefjeld, which was the first focal point of resource definition within the northern Ilimaussaq project area.
With the global resource at Kvanefjeld including an inventory of 6.6 million tonnes of total rare earth oxides (TREO), the Resource definition drilling will add to the company's Resource base in Greenland.
There is also potential for Greenland Minerals to get a funding injection on the exercise of the company's June 30 options.
