What minerals are found in Greenland?

Greenland has significant deposits of copper, zinc, graphite, gold, and rare earth elements.

Why isn't Greenland's mining industry booming?

Extreme logistical challenges, harsh weather, lack of infrastructure, and difficulties securing long-term financing hinder large-scale mining operations.

How long does it take to develop a mine in Greenland?

Developing a mine in Greenland typically takes around 16 years from the initial idea to full production.

Home / Business and Economy / Greenland's Mineral Riches: Logistical Hurdles Stall Boom

Greenland's Mineral Riches: Logistical Hurdles Stall Boom

10 Jan

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Summary

Greenland's extreme logistics and harsh weather hinder mineral extraction.
The island has vast mineral wealth but lacks infrastructure and labor.
Securing long-term financing and navigating strict environmental rules are crucial.

Greenland's Mineral Riches: Logistical Hurdles Stall Boom

Greenland possesses significant mineral wealth, including copper, zinc, and rare earth elements, vital for modern industries and defense. As global powers seek to diversify supply chains away from China, the island has garnered increased interest. However, Greenland presents extreme logistical hurdles, lacking roads between towns and facing challenging weather that can halt operations. These factors, combined with limited labor, make mineral extraction exceptionally difficult, preventing a widespread mining boom.

The island's only fully operational mine, Lumina Sustainable Materials, produces anorthosite for industrial applications. This mine's success is attributed to meticulous planning, constructing its own infrastructure, and a business model adapted to Greenland's constraints. Developing a mine in Greenland typically takes 16 years from conception to production, requiring substantial upfront investment and patience from investors due to the long wait for profitability.