Greenland Minerals and Energy Finalise Terms to Move to 100%

Securing 100% ownership of the Kvanefjeld project is an important step and comes at a time when the Company is making major technical advances in process development that will strengthen Kvanefjeld's great potential, and the environment and social impact assessments are progressing on schedule in close consultation with Greenlandic stakeholders. In the context of our future development, we believe the time is now right to secure 100% of what is clearly a tier 1 mining asset. rnFeasibility studies, conducted in close-consultation with Greenlandic stakeholders and regulatory bodies, are well-advanced in identifying a robust and sustainable development scenario. Initial studies indicate that Kvanefjeld could be developed as a large-scale multi-commodity mining operation that would have one of the world's largest rare earth production capacities. The diversified revenue streams that would stem from multi-commodity production strengthen the projects economics, and ensure a highly-competitive equivalent cost of rare earth production. This acquisition is in line with the GMEL's stated objective to develop the Kvanefjeld project. To this end the executive team recognised the importance to now move to 100% control of the asset in a manner that is clearly value accretive for the company's shareholder base. Importantly, 100% ownership will place GMEL in a strong position to engage potential strategic partners looking to gain access to the extensive resource base, and facilitate its development. Greenland Minerals and Energy Ltd ("GMEL" or "the Company") today announces that it has finalised an agreement with Westrip Holdings ("Westrip") and Rimbal Pty Ltd ("Rimbal") to acquire the outstanding 39% of the exploration license (EL 2010/02) over the northern Ilimaussaq Complex in Greenland that contains the Kvanefjeld multi-element deposit (rare earth elements, uranium, zinc) and nearby satellite deposits; namely Zones 2 and 3. Kvanefjeld's significance is underpinned by the world's largest JORC-code or NI 43-101 compliant resource of rare earth oxide with substantial resources of uranium and zinc (contained metal inventory of 6.6 Mt total rare earth oxide, 350 Mlbs U3O8, 3 Blbs zinc). Three drill rigs are currently operating on the recently discovered satellite deposits, with the program anticipated to lead to a substantial increase in the project's overall resource base.

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