An amendment to the Mineral Resources Act (‘Amending Act’) came into force 1 January 2020. The Amending Act outlines three amendments to Greenland’s overarching mineral law. All three amendments relate to the application for an exploitation licence and/or terms under an active exploitation licence. The aim of the Amending Act is to smooth the transition from exploration to mining.
1) “Commercially exploitable deposits”
The Amending Act removes the requirement that the applicant must delineate “commercially exploitable deposits” in order to obtain an exploitation licence. With this amendment, the Government of Greenland recognises that the investors and lenders take responsibility for a project’s profitability, not the Government.
2) Prospecting and exploration under exploitation licence
The Amending Act outlines that a company with an exploitation licence, and exclusively this licensee, may carry out prospecting and exploration within their exploitation licence.
3) Deadlines under exploitation licence
The Amending Act outlines that if an exploitation licence holder does not meet the Government-set deadlines under their exploitation licence, their licence may be lapsed or revoked by the Government.
Related documents and information to the Amending Act:
Mineral Resources Act
Greenland Parliament Act No. 39 of 28 November 2019
Explanatory notes to the Greenland Parliament Act No. 39 of 28 November 2019
For enquiries regarding the Amending Act, contact us directly at [email protected].