Greenland strips Chinese mining firm of licence to iron ore deposit

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COPENHAGEN (Reuters) – Greenland has stripped a Chinese mining company of its licence to an iron ore deposit near the capital Nuuk because of inactivity at the site, its government said on Monday.

General Nice, a major Chinese coal and iron ore importer, took control of the Isua mine project in 2015, replacing previous owner London Mining, which went bankrupt.

It was the first Chinese firm to have the right to exploit metals and minerals in Greenland, which has gained renewed internataionl interest as climate change has opened up waterways and access to the vast Arctic island’s mineral resources.

“We cannot accept that a licence holder repeatedly fails to meet agreed deadlines,” Greenland’s Resources Minister Naaja Nathanielsen said in a government statement.

The company also failed to make the agreed guarantee payments, the statement said.

The government requested that all geological data is returned, that remaining payments of 1.5 million Danish crowns are deposited, and that the mining area is cleaned up.

(Reporting by Jacob Gronholt-Pedersen; editing by Barbara Lewis)



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