The Government of Greenland has recently carried through a public consultation on a Bill on local mineral activities.
Today, regulation on all mineral activities is laid down in the Mineral Resources Act – including hydrocarbon and industrial mining activities and as well as “small scale” private or commercial collection of minerals by locals. The Government of Greenland has decided to split this legislation, and the first step was the passing of the new Act on Mineral Activities (“the Mining Act”) which comes into force on 1 January 2024.
The purpose of the current Bill is to make a separate act on local mineral activities and create an updated and more simple, clear, appropriate and user-friendly regulation. The purpose of the Bill is also to further develop local mineral activities and to ensure the local population’s right to exploit their own natural resources, both in relation to traditional exploitation of minerals and commercial exploitation.
In some respects, the Bill contains a simplification of the framework conditions for local mineral activities. But, in relation to other mineral exploration activities, it creates more uncertainty about the framework conditions.
In order to continue to attract investment to the mining industry in Greenland, it is crucial that there is a clear legal framework for mineral activities, which of course must benefit both the mineral resources industry and local mineral activities.
Nuna Law has sent a consultation response to the Government of Greenland in relation to the Bill on local mineral activities in Greenland, and you can find an English translation here. It is also posted on the consultation portal of the Government of Greenland in Danish.