Greenland has been of long-standing historical interest to the United States, particularly due to its strategic location and rich reserves of rare earth elements. In 1867 following the purchase of Alaska from Russia, Secretary of State William H Seward explored the possibility of buying Greenland from Denmark. The U.S. desire to control North America drove this interest. After World War II in 1946, President Truman formally offered Denmark $100 million in gold for Greenland. During the Cold War, observers viewed the island’s vital location for military bases as strategically important.
“When President Donald Trump talks about the United States acquiring Greenland, it’s partly for its strategic trade and military location in the Arctic, but also for its mineral and hydrocarbon resources. According to one Greenland official, the island possesses 39 of the 50 minerals that the United States has classified as critical to national security and economic stability. While the island, an autonomous territory of Denmark, has made clear it is not for sale, its government is signaling it is open to business, particularly in the minerals sector. In March 2025, Greenland’s elections saw the ascendance of the pro-business Demokraatit Party, which has promised to accelerate the development of the country’s minerals and other resources.”
Greenland holds a significant estimated amount of Rare Earth Elements (REEs). Various sources provide different figures, but they consistently highlight Greenland’s substantial potential.
Here are some key estimates and details:
Reserve Size
- Overall Reserves: The U.S. Geological Survey (USGS) in 2024 listed Greenland as having 1.5 million tons of rare earth reserves. This places it among the top countries in the world for REE reserves, behind leaders like China (44 million metric tons), Brazil (21 million metric tons), and Vietnam (22 million metric tons). We should note that the USGS estimate is much lower than the European Commission’s estimate. According to a report by the European Commission’s Joint Research Center[1], Greenland’s reserves could make up almost 20 percent of the available reserves and nearly 10 percent of the overall global resources. Its potential world-class deposits could be capable of meeting 25 percent of current global rare earths demand.[2]
- Percentage of Global Reserves: According to the European Commission’s Joint Research Centre, Greenland contains 18 percent of the global reserves for key magnet rare earths like neodymium, praseodymium, dysprosium, and terbium. Older estimates suggested Greenland could meet a quarter of global demand. Common uses of these metals have a broad range of applications from magnets for electric vehicle motors to wind turbines, aircraft engines, glass and ceramics as a colorant, laser and fiber optics, nuclear control rods, data storage, lighting for TVs and solid-state devices.
Specific Projects
- Kvanefjeld (or Kuannersuit): This is considered one of the world’s largest known rare earth deposits. Estimates quantify it to contain 6.6 million tons of rare earth oxides. It’s particularly notable for its high concentration of heavy rare earths.
- Kringlerne: Located near Kvanefjeld, this project is estimated to contain roughly 5 million tons of rare earth oxides. However, a larger share of these are typically the less valuable cerium and lanthanum.
- Sarfartoq: This deposit is estimated to contain 214,200 tons of rare earth oxides, with a sizable share of neodymium and praseodymium.
- Tanbreez Project: This project, described as one of the largest REE deposits globally, has an initial Mineral Resource Estimate (MRE) of 44.97 million metric tons of rare earth materials (indicated and inferred resources). This represents approximately 1% of the total host rock, with the overall host rock estimated at 4.7 billion metric tons.[3][4]
Challenges Mining Deposits in Greenland
It’s important to note that while the estimated reserves are vast, their extraction faces significant challenges. These include the island’s complex geology and harsh logistical conditions—the harsh arctic climate, rocky terrain, lack of roads and processing infrastructure, and evolving regulatory frameworks—pose considerable obstacles for mining companies.
We list the specific known deposits above, but none are productive currently. Significant technical complexities exist in processing the ore. Many rare earth mineral deposits are closely contiguous to radioactive elements such as uranium and thorium that pose environmental concerns.
Greenland’s relationship with the EU
Greenland is an autonomous territory of Denmark. Greenland officially withdrew from the EU on February 1, 1985, because the country wanted full control over its fishing resources. Today, Greenland has a special association with the EU as an Overseas Country and Territory (OCT). This status allows for cooperation and financial support in areas like education, sustainable development, and critical raw materials. It also grants duty-free access for Greenlandic fishery products to the EU market. EU Citizenship: Interestingly, even though Greenland itself is not part of the EU, Greenlandic nationals hold EU citizenship because they are also citizens of Denmark, which is an EU member state. This means Greenlanders can move and reside freely within the EU.
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[1] https://publications.jrc.ec.europa.eu/repository/handle/JRC122671
[2] https://chinaobservers.eu/de-risking-rare-earths-the-greenland-stalemate-and-the-critical-raw-materials-act/
[3] Critical Metals Corp.’s Tanbreez Valued at $3 Billion With
[4]https://grist.org/energy/greenland-rare-earths-mining-geopolitics-china-us/
