Greenland Minerals and Energy (ASX:GGG) has made substantial progress in closing out environmental studies associated with the Kvanefjeld Project located in Greenland.
Recently, meetings were held in Copenhagen with representatives of Greenland’s Environmental Agency for Mineral Resource Activities (EAMRA), and Danish Centre for the Environment (DCE) to work through outstanding issues.
The additional work programs to expand some datasets are underway and are expected to be concluded over the next couple of months.
The results will then be incorporated into the updated studies.
As Greenland Minerals advances through the permitting process, active work programs are also underway with strategic partner Shenghe Resources Holding Co. Ltd (SHA:600392).
These work programs aim to improve the project cost structure and ensure that it is effectively aligned with downstream rare earth processing.
The Kvanefjeld Project is well‐positioned to become an integral cornerstone of new global rare earth supply networks.
Dr John Mair, managing director, commented
“Through 2017 we’ve made a lot of progress toward closing out all environmental studies associated with Kvanefjeld.
“Reviews by expert consultants on behalf of the Greenland Government provided recommendations and guidance to constructively assist in presenting very robust studies.
“Importantly, no major issues have been identified, but our aim is to deliver high‐quality assessments to support stakeholder confidence.
“With input from the EAMRA and DCE we planned some additional work programs, which have been implemented and are progressing well.”
The US$1.59 billion Kvanefjeld Project
Greenland Minerals' vision is to develop a stable, long-term source of materials for clean energy generation and energy efficient technologies.
Kvanefjeld is one of the world's most advanced rare earth and uranium projects with defined JORC compliant resources of over 1 billion tonnes containing 11.1 million tonnes of rare earth oxide and 593 million pounds of uranium.
As per the updated feasibility study, the net present value of the project is US$1.59 billion and the internal rate of return is 43.4%.
Project financing costs are US$831.9 million and the project has a payback period of 5 years.