Japan to explore rare-earth mining in Greenland to cut reliance on China

Japan's government, through the state-controlled Japan Organization for Metals and Energy Security (JOGMEC), is launching exploration at two rare-earth-element sites in Greenland. According to Nikkei Asia, Tokyo will commit an initial 30 billion yen (around 195 million dollars) and sign agreements with the Denmark-based Greenland Anorthosite Mining and local partners.

The work will focus on neodymium, praseodymium and dysprosium — the elements critical to permanent-magnet motors for electric vehicles, wind turbines and advanced weapons systems. China has been tightening rare-earth refinery output in recent months, and Beijing's foreign ministry announced a new export-licence regime for the category last month.

Japan's Minister of Economy, Trade and Industry Yoji Muto stressed that the deal will be coordinated with the EU and the US. The European Commission's Critical Raw Materials Act and the US Department of Energy's Defense Production Act funding had both kept Greenland sites on a monitoring list. Scientists estimate that the Killavaat Alannguat formation on Greenland's southern coast contains up to 5% of global rare-earth reserves. This is not investment advice.