As the first in a series of 30 mineral companies, Greenland Resources CEO Ruben Shiffman took to the stage at the PDAC conference in Toronto on Monday to sign an agreement with Canadian Minister of Energy and Natural Resources Tim Hodgson.
An agreement that involves a subsidy of 7 million Canadian dollars (approximately 33 million Danish kroner) from Canada for the mineral project in Malmbjerget in East Greenland.
Cooperation agreement between Canada and Greenland
Naalakkersuisoq for industry, raw materials, energy, the justice sector and gender equality, Naaja H. Nathanielsen, also signed a cooperation agreement (Joint Declaration of Interest) with Tim Hodgson on the same occasion.
An agreement that, among other things, implies that Canada will offer Greenland important technological knowledge, investment opportunities and a well-developed unique industrial network that can promote Greenland's mining ambitions.
Greenland, on the other hand, can contribute to Canada with knowledge and experience about energy development in remote areas that are not connected by an energy network, but where stand-alone electricity production has instead been established.
The cooperation agreement is a precursor to an actual binding agreement with specific common goals and projects, and which will be negotiated and signed in the near future, the department informs.
Important recognition
After the signing ceremony, Ruben Shiffman told Sermitsiaq that the funds from Canada are important because they can help attract other investments to the project.
– It is very important for us, and a recognition of our project. We are working to increase equity, and this can attract other investments. We continue our good cooperation with the EU Commission, Germany and now also with Canada. In addition, we have both a buyer in place and a bank, so that is very positive.
From ambition to action
This is the second time that the Canadian government has invested massively in critical metals in an attempt to create more sustainable supply chains.
In a press release, Tim Hodgson states that Canada is now moving from ambition to action with investments in real capital in mineral companies.
"With these new initiatives, we are delivering the minerals the world needs and the prosperity and security Canadians deserve."
