Greenland Resources enters molybdenum supply agreement with Cogne

On May 20, 2025, in Toronto, Greenland Resources Inc., a Canadian public company focused on developing molybdenum deposits in Greenland, announced signing a memorandum of understanding (MOU) with Cogne Acciai Speciali S.p.A., an Italian leader in the special steel industry. This MOU establishes a framework for a long-term supply of molybdenum, which is critical for Europe's steel production. The European Union stands as the second largest consumer of molybdenum globally but relies entirely on imports, posing significant challenges in supply security and environmental sustainability. Greenland Resources aims to supply approximately 25% of the EU’s yearly consumption from its Climax-type primary molybdenum deposit located in central-east Greenland. This collaboration is more than a commercial agreement; it also underlines the importance of sourcing molybdenum responsibly. The projected high-grade output from Greenland's deposits is expected to enhance steel products' performance while addressing environmental concerns associated with mining operations. Furthermore, the project, which includes magnesium as a by-product, reinforces the strategic significance of Greenland Resources in the transition toward sustainable industrial practices. The signing of this MOU is seen against the backdrop of shifting dynamics in mineral supply chains, particularly as global attention turns toward resource security within the EU. This partnership is positioned to provide not only economic benefits but also to contribute positively to the European Raw Materials Alliance (ERMA), which emphasizes local resource utilization for sustained industrial growth while minimizing carbon footprints. The road ahead involves navigating regulatory approvals, fulfilling community expectations, and ensuring that technical challenges encountered during planning and execution are addressed. Greenland Resources plans to utilize comprehensive approaches through environmental and social assessments, ensuring that all involved stakeholders align with the project's goals detailing mutual benefits. The agreement represents a forward-looking strategy by Cogne, which seeks to secure quality materials necessary for its production while providing a market for the molybdenum sourced from Greenland, aiming for a sustainable future in material sourcing.