US EditionPublished • loading... • Updated
Reuters: Trump administration eyes stake in company developing Greenland rare earths mine
The Trump administration may convert a $50 million grant into an equity stake in Critical Metals, potentially gaining an 8% share in Greenland's largest rare earths mine.
- In the last six weeks, Trump administration officials began talks to convert a Defense Production Act grant into equity in Critical Metals Corp, aiming for a stake in the Tanbreez deposit, Greenland.
- Critical Metals applied in June for a $50 million Defense Production Act grant and bought Tanbreez last year for $5 million cash and $211 million in stock, while Washington recently took stakes in Lithium Americas and MP Materials, officials said.
- The Tanbreez project requires $290 million, and officials said a $50 million conversion would give roughly 8% stake in Critical Metals Corp, while EXIM considers a $120 million loan.
- The U.S. government shutdown is not expected to stop negotiations because staff are essential, though talks were delayed by a recent 8% stake discussion in Lithium Americas, officials said.
- Biden officials visited Nuuk, Greenland, as recently as last November to court private investment, but Greenland's mining sector has developed slowly and Tanbreez's remote, cold location poses challenges.
Insights by Ground AI
17 Articles
17 Articles
The American president previously would have bought the entire island, but now he is interested in participating in a project.
US President Trump makes no secret of his great interest in Greenland. After giving him a political rejection, he is now stepping up his efforts to exert economic influence.
Trump Administration Weighs Investment In Greenland Rare Earths Project
If finalized, the deal would mark the latest political twist for the Tanbreez rare earths deposit, which former President Joe Biden successfully lobbied to have sold to New York-based Critical Metals for far less than a Chinese firm was offering. The post Trump Administration Weighs Investment In Greenland Rare Earths Project appeared first on StratNews Global.
Coverage Details
Total News Sources17
Leaning Left2Leaning Right4Center5Last UpdatedBias Distribution46% Center
Bias Distribution
- 46% of the sources are Center
46% Center
L 18%
C 46%
R 36%
Factuality
To view factuality data please Upgrade to Premium
