Greenland Resources Inc says it has signed a Memorandum of Understanding (MoU) with Nuna Group of Companies for the construction and commissioning of the infrastructure at the Malmbjerg molybdenum project in Greenland.
Nuna is a Canada-based, majority Inuit-owned civil construction company that specialises in remote Arctic infrastructure, construction and logistics. Its expertise includes mine construction, maintenance and operations, and the construction and oversight of specialty technical services that include maritime structures and docking, fuel farm and storage facilities, electrical reticulation setup, tailings management facility (TMF) operations and aviation facilities, among others, Greenland Resources says.
Greenland Resources views Nuna’s successful long track record in developing mine projects in the Canadian Arctic, combined with the collaboration of the Nunavut Inuit and the Greenlandic Inuit people, as well as the government of Canada’s views of molybdenum as a critical mineral, as very favourable for the development of the project.
The MoU sets the path for the construction and commissioning of the mining, processing and TMF management infrastructure to tie in all the unit operations associated with mining, Ropecon conveyor transportation, metallurgical processing and shipping the final product to EU end users.
A 2022 definitive feasibility study on Mambjerg by Tetra Tech outlined proven and probable reserves of 245 Mt at 0.176% MoS2. It also outlined a 20-year open-pit mine life with average annual production in years 1-10 of 32.8 MIby of contained molybdenum metal at an average grade of 0.23% MoS2 and average annual life of mine production of 24.1 MIb with a cash cost of $6.38/lb Mo.