Greenland Energy (NASDAQ: GLND) is advancing development of the Jameson Land Basin in East Greenland, an onshore petroleum basin that CEO Robert Price described as one of the world's last largely undrilled frontier oil regions. In an interview with Energy, Oil & Gas Magazine, Price said the company holds rights to up to a 70% interest in the basin and is leveraging extensive seismic data originally collected by Atlantic Richfield Company (ARCO) during the 1970s and 1980s. Modern reprocessing of the historical data has helped refine potential drilling targets within a geological system the company believes shares characteristics with the North Sea.
Price said independent evaluations have suggested upside potential of up to 13 billion barrels across the basin, with the first drill location estimated to contain approximately 2.9 billion barrels. He added that project preparations are underway, including refurbishment and transport of a drilling rig, road construction and logistics planning led by Halliburton, with initial drilling targeted for October 2026.
According to Price, the project could play an important role in future energy security while also contributing to Greenland's long-term economic development. Drawing comparisons to the impact of resource development in Norway and Denmark, he said stakeholders increasingly view the basin's potential hydrocarbon resources as a possible catalyst for infrastructure investment, public revenue generation and broader economic growth.
The Jameson Land Basin has never produced a commercial discovery despite decades of study dating back to the 1970s. A 2008 U.S. Geological Survey report stated there is less than a 10% chance of containing a technically recoverable hydrocarbon accumulation. The company faces significant operational challenges, including operating in a remote Arctic location with extreme climate, harsh weather, limited daylight, no existing infrastructure, and seasonal access windows for equipment and personnel. Estimated well costs are $40 million for the first well and $20 million for subsequent wells.
Greenland Energy also faces regulatory and political risks. In 2021, Greenland imposed a drilling moratorium, though existing licenses were grandfathered. However, future regulatory changes could jeopardize operations. Geopolitical tensions, including U.S. interest in acquiring Greenland and Greenland's internal independence movements, could also affect operations. Drilling requires Environmental Impact Assessment approval and Field Activities Application approval from Greenlandic authorities.
The company acknowledges that it is a development-stage company with no operating history, revenues, or proved reserves. It requires significant capital beyond current resources to complete the drilling program. Commodity price volatility and energy transition risks, including potential decline in global oil demand due to electric vehicle adoption and renewable energy policies, could impact project viability. Despite these challenges, the company is moving forward with preparations, aiming to drill its first well in October 2026.
