The U.S. is ready to expand its economic and security partnership with Greenland, the U.S. National Security Council (NSC) has told Newsweek. The statement follows the Arctic island granting a permit this week to a Danish-French consortium to mine a rock critical to aluminum production.
Greenland, which is rich in minerals, oil and natural gas, has been at the center of international attention since U.S. President Donald Trump said he wanted to acquire the autonomous territory, which is part of the Kingdom of Denmark.
After announcing the deal with Greenland Anorthosite Mining (GAM), the island’s mineral resources minister Naaja Nathanielsen told Reuters there had been visits by U.S. delegations, but this spotlight had not resulted in any American financial commitment into Greenland’s business community.
Newsweek has contacted the government of Greenland for comment.
Why It Matters
Greenland is autonomous although part of the Kingdom of Denmark. The strategic and economic importance offered by its Arctic location have been cited by Trump in his statements about wanting to acquire the island.
Greenland’s government has said that it is not for sale and in announcing the deal to mine anorthosite, comments to Reuters by Nathanielsen suggested that dialog with European partners over investment was progressing better than with the U.S.
What To Know
GAM, backed by French investment firm the Jean Boulle Group and state investment funds in Greenland and Denmark, has been granted a 30-year permit to extract anorthosite near the Qeqertarsuatsiaat fjord in the west of the island.
Anorthosite is a white rock composed mainly of aluminum, micro silica, and calcium. The deal will see it used for the fiberglass industry with longer term plans for it to be a climate-friendly alternative to bauxite in the production of aluminum, Reuters reported.
Nathanielsen told Reuters that U.S. business delegations had visited the island but so far, there was no formal dialog with the new U.S. administration or any increased interest in direct investment.
In response to a question on whether Trump still intended to acquire Greenland and/or do a deal regarding its resources, NSC spokeswoman Kylie Newbold told Newsweek in a statement that the president remained committed to ensuring the security of Greenland, which in turn is critical to U.S. national and economic security.
Newbold said that Trump respects the Greenlandic people’s right to determine their own future.
“The United States stands ready to further expand our partnership with Greenland on economic, cultural, and security issues,” the emailed statement added.
Jesper Willaing Zeuthen, associate professor at Aalborg University in Denmark told Newsweek previously that Trump’s interest in Greenland’s resources is not likely to be the immediate development of mines but rather long-term investment objects, and securing the minerals in the future.
But Greenlandic legislation makes this approach difficult, because mining licenses are temporary and require costly activities on the sites to uphold the licenses.
In response to Trump’s calls for the U.S. to take control of the autonomous Danish territory, Greenland’s Prime Minister Jens-Frederik Nielsen said in April that the island is not a “piece of property that can be bought.”
Speaking alongside Danish Prime Minister Mette Frederiksen in Copenhagen, Nielsen said Greenland and Denmark must stand together in the face of “disrespectful” US rhetoric.
In an interview with NBC News’ Kristen Welker aired on May 4 the president refused to rule out using force to annex Greenland.
What People Are Saying
NSC Spokeswoman Kylie Newbold: “The President remains committed to ensuring the security of Greenland, which is critical to U.S. national and economic security.
“As the President has said, he respects the Greenlandic people’s right to determine their own future, and the United States stands ready to further expand our partnership with Greenland on economic, cultural, and security issues.”
Greenland’s Mineral Resources Minister Naaja Nathanielsen told Reuters that despite Trump’s attention, “all the fuss has not resulted in increased appetite for investment directly in Greenland.”
What Happens Next
Trump told CNN on May 4 that “we need Greenland very badly…for international security,” although what his next move will be is unclear.
Meanwhile, Zeuthen said GAM will still need to look for investors to begin construction, a step many other projects have previously failed to achieve, although Nathanielsen expressed hope it could be up and running within five years.
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