London, October 6th (Argus) - US company Critical Metals announced on Monday that the government of Greenland has approved its Tanbreez rare earth project's mining and closure plans. This means that before the project can commence construction, there is only the final regulatory approval process left, which is the operational license for specific activities.
Critical Metals stated on Monday that the approval is valid until September 8, 2050, covering 19 elements, including heavy rare earths such as terbium, dysprosium, and yttrium, as well as neodymium and praseodymium required for permanent magnets.
The mining plan specifies the proposed development and operation plans for the mine, processing facilities, ports, and related infrastructure located in southern Greenland. The closure plan covers the dismantling and site restoration of facilities after the project's operational life ends.
The above plans were approved on September 29th, applicable to Critical Metals' subsidiary Tanbreez Mining Greenland. The approval was based on the Greenland's "Mineral Activities Act" and mining license No. 2020-54. This license was granted in 2020 and covers the Killavaat Alannguat deposit located between Narsaq and Qaqortoq.
Critical Metals still needs to obtain relevant licenses for specific activities, including environmental management, maritime transportation, health and safety, as well as licenses for the export and sale of mineral products. The project can only commence construction after the approval of these licenses and the implementation of the required financial guarantees.
The approved list of mining elements also includes zirconium, hafnium, tantalum, and niobium, as well as a series of other rare earth elements. Critical Metals claims that Tanbreez is one of the largest rare earth deposits in the world.
Terbium and dysprosium can be used to enhance the performance of permanent magnets in high-temperature environments, while neodymium and praseodymium are key raw materials for the production of permanent magnets used in electric vehicles, wind turbines, and other applications.
Tony Sage, the chairman and CEO of Critical Metals, said that this approval provides a framework for the development of the Tanbreez project until 2050. The company will next proceed with the application for the remaining operational licenses.
Critical Metals is also developing the Wolfsberg lithium project in Austria.
