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Greenland gets greenbacks for Kvanefjeld

Greenland Minerals has raised nearly US$4.8 million as it waits to get approvals to develop a large rare earths mine in the namesake country it operates.
Greenland gets greenbacks for Kvanefjeld Greenland gets greenbacks for Kvanefjeld Greenland gets greenbacks for Kvanefjeld Greenland gets greenbacks for Kvanefjeld Greenland gets greenbacks for Kvanefjeld

Greenland Minerals gets market support for big picture rare earths play in Greenland

Staff reporter

The funding was raised from undisclosed Australian institutions and was priced at A12c per share. The stock (ASX: GGG) traded between 14-15c this week, capitalising the company at A$165-170 million.

Greenland Minerals is up about 300% since March, with rare earths taking centre stage in resource sector equity markets for a period earlier this year as trade tensions saw the threat of China withdrawing supply from global end-user markets. Its major shareholder Shenghe Resources is an integrated Chinese rare earths producer.

Greenland Minerals' Kvanefjeld project is "centred on a multi-billion tonne outcropping ore seam" that could cost US$550 million to develop.

A key advantage of the project, according to its owner, is the non-refractory nature of the minerals at Kvanefjeld, giving it a processing advantage that represents a "seismic shift".

Greenland Minerals formally lodged a mining licence application last month.