Greenland intends to deny the exploration licence renewal for Energy Transition Minerals\u2018 (ASX: ETM) Kvanefjeld rare earth project, threatening one of the world\u2019s largest undeveloped critical mineral deposits.<\/p>\n
The Ministry of Business, Mineral Resources, Energy, Justice and Gender Equality issued a draft decision<\/a> to decline the application, citing the 2021 Uranium Act<\/a> \u2014 which bans uranium prospecting, exploration and exploitation \u2014 and arguing that continued exploration no longer serves a purpose under the existing legal framework.<\/p>\n Shares in the Australian-listed company fell 5.6% to A$0.051 when trading resumed after a halt.<\/p>\n Kvanefjeld sits in southern Greenland with year-round direct shipping access and contains rare earth elements alongside uranium \u2014 placing it in direct conflict with the uranium ban. ETM submitted its licence renewal in September 2025, ahead of the formal expiry on December 31, 2025.<\/p>\n ETM rejected the reasoning, calling the draft inconsistent with past regulatory practice. Greenland had previously renewed the licence multiple times after the Uranium Act took effect, and had denied ETM permission to pause exploration spending during ongoing legal proceedings \u2014 only to now declare that further exploration lacks purpose.<\/p>\n \u201cThis draft position appears inconsistent with the historical treatment of the project,\u201d the company said<\/a>.<\/p>\n Managing Director Daniel Mamadou said the rationale raises serious legal questions. \u201cETM has invested in this project over many years, has met all its obligations, and has previously been granted licence renewals, including during the course of the active legal dispute,\u201d he said.<\/p>\n