Greenland Mines (NASDAQ: GRML) has completed the acquisition of the Sarfartoq Nd-Pr Rare Earths Project in southwest Greenland, a move that positions the company to contribute substantially to the global supply of neodymium and praseodymium (NdPr) outside China. The transaction, valued at $20 million in cash and $15 million in securities, closed on Sept. 1, 2026, and includes an offtake agreement with Neo Performance Materials, which has become a strategic shareholder.
The Sarfartoq project is expected to produce approximately 34% of all NdPr oxide refined outside China at 2025 consumption levels during each of its nine scheduled operating years. This potential output underscores the project’s strategic importance in a market where China dominates rare earth production and refining. An independent Initial Assessment based solely on the ST1 deposit estimates 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.
With the acquisition complete, Greenland Mines is accelerating its advancement of Sarfartoq toward a Pre-Feasibility Study (PFS). The company plans to conduct targeted infill drilling, pilot-scale metallurgical test work, mine engineering planning, environmental and social baseline studies, and drone-based magnetic surveys. These activities are designed to further delineate the resource and de-risk the project’s development, paving the way for a comprehensive PFS.
The strategic partnership with Neo Performance Materials is a key component of the transaction. Neo, a global leader in rare earth products, retains offtake rights for up to 60% of future Sarfartoq ore or mineral concentrate production. This material will be processed at Neo’s Silmet rare earth separation facility in Estonia, which is one of the few rare earth processing facilities outside China. This arrangement not only secures a market for Sarfartoq’s output but also strengthens the Western rare earth supply chain by linking Greenland’s resources with allied downstream processing capabilities.
Greenland Mines’ acquisition of Sarfartoq aligns with its broader strategy of building a multi-asset platform with exposure to rare earth magnet materials, precious metals, and selected midstream processing opportunities. The company is also advancing its vision of a North Atlantic Critical Metals Corridor, which aims to connect Greenland’s mineral resources with allied downstream jurisdictions and industrial infrastructure. This approach is intended to reduce reliance on Chinese rare earth supplies, a critical concern for industries ranging from electric vehicles to wind turbines.
The closing of this acquisition comes at a time when global attention is focused on securing a diverse and stable supply of critical minerals. Rare earth elements, particularly NdPr, are essential for the permanent magnets used in clean energy technologies and defense applications. By potentially providing a significant share of non-Chinese NdPr oxide, Sarfartoq could play a pivotal role in meeting the growing demand for these materials while mitigating supply chain risks.
Greenland Mines’ next steps at Sarfartoq, including the planned PFS, will be closely watched by investors and industry stakeholders. The project’s robust economics and strategic offtake agreement position it as a potential cornerstone of the company’s mining division. However, the company’s other ventures, including the Skaergaard Project and its biotech division, also remain part of its diversified portfolio.
For more information on Greenland Mines and its projects, visit the company’s newsroom at https://ibn.fm/GRML. The full press release is available at https://ibn.fm/rTIg0.
