Energy Transition Metals (ASX:ETM) will not abandon its Kvanefjeld Rare Earths Project after Greenland refuses to issue a new exploration licence.
Energy Transition Metals has launched a high court challenge against the world largest island’s government. The company accuses Greenland authorities of using a 2021 ban on uranium mining to prevent exploration and production that creates the radioactive metal as a by-product.
“For them to deny the extension … on the basis of legislation that is, by the way, still being tested through the legal proceedings … I would be ashamed if I were a Greenlandic lawmaker,” Managing Director Daniel Mamadou tells the Australian Associated Press (AAP).
“[The company] has had its application for a rare earth and uranium exploitation permit rejected twice. The reason for not extending the exploration permits lies in these two rejections, which provide the basis for not having to explore further,” he adds according to the newswire agency.
The company’s exploration licence lapsed in December 2025. Mamadou does not believe that US plans to purchase Greenland have anything to do with challenges in obtaining a new exploration licence.
“No, of course not. The company and I do not support any [land acquisition] action that is illegal,” Mamadou tells the AAP.
A more likely reason is that Narsaq residents strongly oppose the project due to radioactive dust and tailings leaks concerns.
The company had planned to carry out a $10 million drilling program in 2026. Greenland’s Ministry of Minerals Resources said the decision is still just a recommendation and promised to give the company a chance to respond before a final decision is reached.
Energy Transition Metals is a rare earth elements exploration and development company with assets mainly in Spain, Greenland and Canada.
Write to Richard Szabo at Mining.com.au
Images: Energy Transition Metals
