The Government of Greenland, the Municipality of Kujalleq and the mining company Nalunaq have entered into an agreement on social sustainability, which has now entered into force from 1 January 2026.
The agreement contains a number of commitments to ensure that the gold mining project serves the interests of the local community and the country. It is also called an ‘Impact Benefit Agreement’.
– I am happy and proud that we have signed an agreement that all parties can see themselves in. We support and back the development of the mining industry in South Greenland and look forward to the already close cooperation, says Mayor Malene Vahl Rasmussen (D).
Here are some of the points from the agreement:
• Use of local workforce: In 2026, 40% of the workforce in the mining project must be Greenlandic citizens. This will increase to 45% in 2027 and to 50% in 2028 and all subsequent years. In case of non-compliance, 100,000 DKK per %-point below the target will be paid to the Mineral Resources Fund.
• Investment in local skills development: The company commits to spending at least DKK 250,000 annually on courses, internships and further training for local workers. If this is not achieved, the difference will be paid to the Mineral Resources Fund.
• Use of Greenlandic suppliers: A minimum of 10% of the operating budget must go to local companies. If this is not achieved, the difference will be paid to the Mineral Resources Fund.
• Sale of gold to locals: Every 3 months, 500 grams of gold must be put up for sale to people with a Greenlandic address.
– We are grateful for the support we have received from local stakeholders in creating a positive development in Greenland. We remain firmly committed to continuing to unlock Greenland's resource potential and continue our productive cooperation with the regulatory authorities, says CEO of Nalunaq A/S Eldur Olafsson.
