Investors have taken a more cautious approach to investing in foreign countries since the recession but forecasts indicate a return to pre-crisis figures by 2016. Location has become increasingly important to compete in today’s global market, since access to customers, a skilled workforce, modern infrastructure and liberal tax incentives can make or break a business. Switzerland, situated between some of the largest economies in Europe, with above-average margins, high price stability and low inflation rates, has become a magnet for foreign companies and international organisations to set up base.
Greenland Minerals and Energy is listed on the Australian Securities Exchange (ASX) and has a sole focus on identifying and developing high-quality mining assets in Greenland. The Company has been operating in Greenland since 2007.
2. What projects are you currently working on?
The company’s main focus is the Kvanefjeld specialty metals project in south Greenland. Kvanefjeld is underpinned by the worlds’ largest undeveloped resource of rare earth metals and uranium. The project is soon to enter the permitting phase, and then will be entering the development pipeline. Kvanefjeld is slated to produce a stream of critical rare earth concentrate, with by-production of uranium oxide, lanthanum and cerium products, zinc and fluorspar. By-product revenues will stand to make Kvanefjeld the lowest-cost producer of critical rare earth metals globally.
There is extensive political agreement in Greenland that the country’s mineral sector should be developed into a principal industry contributing positively to economic development and the creation of new jobs. This objective is a vital element of the plan for long-term economic development, which includes the development of business sectors as an alternative to the fisheries sector. Greenland’s government aims to maintain a high level of mineral exploration to further incentivize the mineral resources industry to obtain exploration and exploitation licenses. In an interview, Peter Beck of Greenland’s Ministry of Finance and Henrik Stendal of the Ministry of Mineral Resources explain this strategy.
1. Can you provide us with an overview of Greenland’s current economic status, including its main industries and trading partners? Economic outlook
There was a drop in economic activity in Greenland in both 2012 and 2013, and the decline seems to have continued in 2014. This is due to a combination of declining shrimp fishing, falling resources activities, a drop in tourism and less building and construction activity. Experimental mackerel fishing is contributing to increased economic activity but was not sufficient to prevent the economy decelerating in 2014.
Nickel is one of the oldest known metals, with uses tracing back more than 5,000 years. It is a fundamental metal that is needed for every day applications, particularly in stainless steel. Nickel has corrosion-resistant properties that make it a vital component in various alloys and super alloys. Some common applications include household appliances, computers, cellular phones, vehicles, medical and heating devices as well as industrial, military, aerospace, marine and architectural applications.
North American Nickel is a Canadian junior mineral exploration company focused on advancing and developing high quality nickel-copper sulphide projects. The company’s key asset is its 100%-owned Maniitsoq project located in southwest Greenland. North American Nickel is listed on the TSX Venture exchange and is well funded with strong cornerstone investors.
Free Trade Agreement between China and Iceland help to boost investment.
Iceland is an advanced economy, located strategically between Europe and North America, part of the common European Market, enjoying a free trade agreement with Canada and most favoured nation status in the US market. Bearing this in mind the new extensive free trade agreement with China offers investors multiple opportunities.
With more and more opportunities available, the resource-rich Arctic territory of Greenland is once again attracting attention among the international investment community. It’s almost 50 years since the United States tried to buy Greenland for €100 million – an offer the Danish purportedly ignored – but Greenland is once again in the sights of major international players. And when you consider all it has to offer, this is not surprising.
For many years, there has been broad political agreement in Greenland that efforts should be made to develop the country’s mineral sector into a principal industry contributing positively to economic development and to the creation of new jobs. This goal is an essential element of the plan for long-term economic development, a plan that includes the development of business sectors as an alternative to the fisheries sector.
Emden is the third largest Germany North Sea port. It is a modern and highly productive universal facility that has evolved into one of Europe’s most significant roll-on/roll-off ports for new cars, and it plays a vital role in the emerging market for green energy, particularly wind energy. Components for both onshore and offshore facilities are manufactured, assembled and shipped in and out of Emden. The port serves as a base for the pre-assembly, transport and maintenance of the facilities and equipment of multiple wind farms. Here, we interview, Lord Mayor of the City of Emden Mr. Bernd Bornemann, who explains the port’s significance.