LOS ANGELES, CA – Greenland Mines (NASDAQ: GRML) announced the closing of its acquisition of the Sarfartoq Nd-Pr Rare Earths Project in southwest Greenland on Sept. 1, 2026. The transaction, valued at $20 million in cash and $15 million in securities, positions the company to develop one of the few rare earth projects outside China capable of producing significant quantities of neodymium-praseodymium (NdPr) oxide, a critical input for permanent magnets used in electric vehicles and wind turbines.
The Sarfartoq project's planned annual NdPr oxide production would represent approximately 34% of all NdPr oxide refined outside China at 2025 consumption levels during each of the project's nine scheduled operating years. This underscores the strategic importance of the asset in diversifying the global supply chain for rare earth elements, which are currently dominated by Chinese production and refining.
An independent Initial Assessment, based solely on the ST1 deposit, outlines a high-case pre-tax net present value (NPV) of approximately $2.05 billion and a pre-tax internal rate of return (IRR) of 118.6%, including Indicated and Inferred Mineral Resources. These figures highlight the potential economic viability and high return on investment for the project.
With the acquisition complete, Greenland Mines plans to advance the project toward a Pre-Feasibility Study through targeted infill drilling, pilot-scale metallurgical test work, mine engineering planning, environmental and social baseline studies, and drone-based magnetic surveys. This comprehensive work program aims to de-risk the project and enhance its technical and economic confidence.
In a related development, Neo Performance Materials has become a strategic shareholder in Greenland Mines through the transaction and retains offtake rights for up to 60% of future Sarfartoq ore or mineral concentrate production. This offtake agreement will supply Neo's Silmet rare earth separation facility in Estonia, strengthening the Western supply chain for processed rare earth materials.
The acquisition aligns with Greenland Mines' broader strategy of building a multi-asset platform with exposure to rare earth magnet materials, precious metals, and selected midstream processing opportunities. It also advances the company's North Atlantic Critical Metals Corridor vision, which aims to link Greenland's mineral resources with allied downstream jurisdictions and industrial infrastructure.
Greenland Mines, a Nasdaq-listed company, operates through two divisions: Mining and Biotech. The Mining division focuses on the Skaergaard Project in southeast Greenland and now the Sarfartoq rare earths project. The Biotech division includes Klotho's KLTO-202, a candidate for treating ALS.
The completion of this acquisition marks a significant step forward for Greenland Mines and the broader effort to secure a diversified and reliable supply of critical rare earth elements outside China. As the world transitions to cleaner energy technologies, projects like Sarfartoq will play a crucial role in meeting the growing demand for permanent magnets.
For more information on the full press release, visit https://ibn.fm/rTIg0. For the latest news and updates on Greenland Mines, see the company's newsroom at https://ibn.fm/GRML.
