A Texas-based oil company chaired by an entrepreneur thought to be close to U.S. President Donald Trump is moving drilling equipment in Greenland in preparation for an oil drilling campaign.<\/p>\n
However, the drilling plans or the moving of the equipment have not been authorized by the Greenland authorities yet, although a process to do so is under review at present.<\/p>\n
That’s why Greenland’s government has recently said<\/a> a strong warning would be sent to the licensee “with a warning that all future logistical matters must be advised and approved by the mineral resources authority \u2013 before they are carried out.”<\/p>\n The licensee is London-listed company 80 Mile, but its partner in the operation is U.S. Greenland Energy Company<\/a>, which has said it will fund 100% of the costs associated with\u00a0up to two exploration wells, designed to delineate the hydrocarbon potential of a project in the Jameson Land Basin.<\/p>\n Larry Swets, Jr., believed to be close to President Trump, is chairman of the board at Greenland Energy.<\/p>\n This weekend, Swets reposted<\/a> on X on the issue with the lack of authorization with a “well said” commentary on a post that an article in The Guardian was “seemingly determined to manufacture a Trump controversy while burying the facts” about 80 Mile and Greenland Energy.<\/p>\n The Greenland government said in its statement that no approval was granted at the time of the moving of the equipment. But authorities noted that “an approval to move drilling equipment has since expired and has not been renewed, but is under consideration.”<\/p>\n In a letter to shareholders last week, Greenland Energy said<\/a> it “has continued advancing preparations for what we believe will be one of the most significant onshore exploration programs undertaken in Greenland in decades.”<\/p>\n 80 Mile Plc, the licensee of the Jameson Land joint venture, continues to lead the permitting process and stakeholder engagement. Greenland Energy, for its part, “remains actively engaged in supporting technical planning, operational readiness, logistics, and overall project coordination.”<\/p>\n “Together, our objective is to ensure that once all required approvals are received, the project is positioned to commence drilling safely, efficiently, and in accordance with Greenland’s rigorous regulatory standards,” Greenland Energy said.<\/p>\n “Recent high-level meetings between project leadership and Greenlandic regulatory and oversight authorities have been constructive, and we continue to be encouraged by the progress being made toward the remaining approvals required for drilling,” the company told shareholders.<\/p>\n Following discussions with government officials, the parties agreed that concentrating the 2026-2027 Winter program on one exploration well, rather than pursuing two wells during the current field season, represents the most responsible course of action, Greenland Energy said.\u00a0<\/p>\n Related: Egypt and Libya Near $1 Billion Oil Pipeline Deal<\/a><\/p>\n Greenland has seen oil exploration since the 1970s involving major oil firms, including ExxonMobil, Shell, and Eni. None has resulted in a major discovery.<\/p>\n If Greenland Energy’s project moves to drilling, it would be the first in Greenland in many years and a potential restart of oil exploration in Denmark’s autonomous territory that’s the size of about a fourth of the continental U.S.<\/p>\n Greenland is estimated to hold oil and gas resources, as well as critical minerals and rare earth elements\u2014all of which could be great assets to its holders.<\/p>\n But that’s only in theory.<\/p>\n In practice, Greenland’s resources are extremely expensive and hard to extract. The lack of energy infrastructure or any processing capabilities puts in doubt the feasibility and economic rationale of trying to mine rare earths and critical minerals, analysts say.<\/p>\n Following 50 years of unsuccessful and sporadic exploration in the inhospitable Arctic climate and waters, Greenland\u00a0abandoned<\/a> the quest for oil in 2021. Back then, the government of Greenland said that it considered that the environmental concerns were far greater than the potential benefits of becoming an oil producer.<\/p>\n “Despite its hydrocarbon and critical mineral potential, Greenland is not Venezuela 2.0.,” Wood Mackenzie’s top analysts\u00a0say<\/a>, noting that the large island is remote, inhospitable, underexplored, difficult to explore, and very high cost.<\/p>\n Major oil companies have seen harsh operating environments, but Greenland is on another level, WoodMac’s Simon Flowers and Gavin Thompson wrote.<\/p>\n Short summers, thick ice requiring icebreakers and specialized offshore equipment for surveys or exploration, and\u00a0fewer than 100 miles of paved roads, although its territory is about 25% of the size of the continental U.S., discourage resource development offshore and onshore Greenland.<\/p>\n Throughout its decades-long history of exploration, Greenland has seen just 25 exploration wells drilled, predominantly in the Southwest basin. Each was unsuccessful, Wood Mackenzie notes.\u00a0 \u00a0\u00a0<\/p>\n By Tsvetana Paraskova for Oilprice.com<\/p>\n More Top Reads From Oilprice.com<\/p>\n Oilprice Intelligence<\/a> brings you the signals before they become front-page news. This is the same expert analysis read by veteran traders and political advisors. Get it free, twice a week, and you’ll always know why the market is moving before everyone else.<\/p>\n You get the geopolitical intelligence, the hidden inventory data, and the market whispers that move billions – and we’ll send you $389 in premium energy intelligence, on us, just for subscribing. Join 400,000+ readers today. Get access immediately by clicking here.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"A Texas-based oil company chaired by an entrepreneur thought to be close to U.S. President Donald Trump is…\n","protected":false},"author":2,"featured_media":143422,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[5],"tags":[68409,46304,29056,57,38861,58],"class_list":["post-143421","post","type-post","status-publish","format-standard","has-post-thumbnail","category-greenland","tag-drilling-equipment","tag-exploration-wells","tag-government-of-greenland","tag-greenland","tag-jameson-land","tag-president-donald-trump"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@dk\/117073438870994774","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/posts\/143421","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/comments?post=143421"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/posts\/143421\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/media\/143422"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/media?parent=143421"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/categories?post=143421"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/tags?post=143421"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}