�ݺ�ߣ

GREENLAND MINERAL E X P L O R AT I O N N E W S L E T T E R

M I N E X 4 0 · N ov e m b e r 2 0 1 1
The views, opinions and evaluations taken or quoted
from external sources are not necessarily those of the
publisher (GEUS/BMP)

BMP visit to China demonstrates Several exploration companies are
the Greenland mineral potential for approaching the exploitation stage
base metals, REEs and iron ore After a couple of years of dedicated exploration activities,
The Greenland Bureau of Minerals and Petroleum (BMP) a number of exploration companies are now getting close
will be exhibiting at the China Mining Congress & Expo to the exploitation stage. The companies have demonstra-
for the first time on the 6-8 November 2011 in Tianjin, ted constant engagement in Greenland and a number of
China. At the BMP booth, visitors will have a unique projects have been elaborated to such a degree that the
opportunity to learn about the Greenland geology as well logical next step; exploitation – is just around the corner.
as the mineral potential for base metals, rare earth ele-
ments (REEs), iron alloys and ‘how to apply for mining
licences’, which are among the main topics on display. On London Mining moving towards
7 November at 2-3.30 pm there will be a special exploitation of its Isua iron ore
Greenland session with participation by the Greenlandic project
Minister, senior officials from the Greenland Government, In March 2010 London Mining reported a JORC resource
the Geological Survey of Denmark and Greenland and estimate, completed by Snowden Mining Industry
among others companies active in exploration for iron, Consultants, of 951 Mt at 36% Fe.
copper and REEs in Greenland. In 2011, London Mining mandated the Canadian engi-
neering company, SNC-Lavalin Inc. to carry out the Bankable
Feasibility Study (BFS) for its Isua Iron Ore Mine Project in
Greenland.The BFS is for the design of a 15 Mtpa project
capacity for the production of high quality concentrate at
70.2% Fe, and with a mine life of 15 years. The BFS is
scheduled for completion by December 2011.
The Isua project will include the following major com-
ponents: A deep water port facility to allow for year
round shipping of the concentrate product; an access road
of some 100 km to link the port facility to the process
plant area; a slurry pipeline along the access road to deliv-
er the concentrate from the process plant down to the

3D-model of the process plant facility
to be constructed in connection with the
mining operation at Isua (London
Mining).

Drilling at the Isua project in 2011. As
the iron deposit dips beneath the Inland
Ice the company need to drill through
100-160 m of ice before the deeper
parts of the deposit can be tested (MT
Højgaard).

G E O L O G I C A L S U RV EY OF DENMARK AND GREENLAND BUREAU OF MINERALS AND PE T RO L E U M

2 M I N E X 4 0 · N ov e m b e r 2 0 1 1

port facility, where it will be dewatered for shipping; the
mine, and other essential infrastructures such as power Aappaluttoq ruby and pink sapphire
plants, accommodation facilities, equipment maintenance project preparing for mining permit
facilities, fuel storage and airstrip. Rubies and pink sapphires (red and pink varieties of the min-
After three successful seasons of exploration drilling in eral corundum) were first identified in Greenland in 1966.
2008, 2009 and 2010, London Mining pursued resources True North Gems (TNG), a Canadian company, has been
drilling from May to October 2011 with a drilling program actively exploring for corundum in the Aappaluttoq area
of 7,000 to 8,000 meters in order to further convert in- since 2004.TNG is now planning to develop a mine at
ferred resources into indicated resources. In 2011, London Aappaluttoq to extract the corundum for sale around the
Mining also carried out an extensive geotechnical and geo- world.
mechanical drilling program at the Isua project site in sup- The corundum showings at Aappaluttoq typically include
port of mine design and infrastructure design as part of occurrences of co-existing red ruby and pink sapphire.
the engineering work for the BFS. All this field work was Exploration work has consisted of drilling, mapping, and bulk
conducted and managed from the London Mining Isua sample collection. Since 2007, 65 holes have been drilled
camp and Nuuk office in Greenland. totalling 6,457 m of drilling data. Bulk samples were collect-
The Environmental Impact Assessment (EIA) and the ed by standard techniques and recovery procedures includ-
Social Impact Assessment (SIA) Study for the Isua project
are also scheduled for completion by the end of 2011.
Both the EIA and SIA were executed in compliance with
the guidelines and directives of the Greenland authorities.
The permitting process will start in January 2012 with
submittal to BMP of the complete draft of the EIA and
SIA, along with London Mining’s application for the
exploitation licence for the Isua project. Construction of
the Isua project is scheduled to start in September 2012
and to continue until the end of 2014. Isua is planned to
come into operation and production during the 1st quar-
ter of 2015.

Close-up of ruby crystal from the Aappaluttoq deposit.
True North Gems camp site at Aappaluttoq.

G E O L O G I C A L S U RV E Y OF DENMARK AND GREENLAND BUREAU OF MINERALS AND PETRO L E U M

M I N E X 4 0 · N ov e m b e r 2 0 1 1 3

ing cutting with chain saws, chisels, and use of low intensity Extensive metallurgical testwork has been undertaken on
blasting. samples of ore taken from the TANBREEZ deposit. In 2009
To date TNG has invested DKK 87.5 million (about 16.5 and in 2011 the company directed an Australian metallur-
million Canadian dollars) in ruby exploration.TNG is cur- gical test laboratory (Ammtec) to conduct detailed metal-
rently preparing a bankable feasibility study, including a social lurgical testing to establish the parameters required for
and environmental impact assessment to be submitted the design of a physical processing circuit for the ore. The
together with an application for exploitation to the BMP.The results of the testwork are to be included in the design
current plans will involve the development of a mine and criteria to enable the completion of a feasibility study.
process facility at Aappaluttoq along with associated infra-
structure and the construction of a corporate office and Key processing characteristics of the ore include:
corundum sort house in the Greenland capital of Nuuk.The
ore at Aappaluttoq will be extracted using open pit mining • The TANBREEZ deposit contains three main mineral
methods. species; arfvedsonite, eudialyte and feldspar.
• The eudialyte contains all the valuable metals of inter-
est in the ore. The valuable elements have been shown
TANBREEZ prepares a definitive to occur in constant proportion to the zirconium con-
feasibility study on its Zr-REE project tent. This has enabled testwork and design to progress
Current work on the TANBREEZ deposit (also known by based on Zr assays.
its Danish name ‘Kringlerne’) indicates a resource of no • The eudialyte is liberated at the relatively coarse grain
less than 1,000 Mt grading 2% ZrO2, 0.25% Nb2O5, 0.5% size of 330 µm.
REO, 0.1% Y2O3 and 0.025% Ta2O5. The distribution of • The eudialyte can be physically upgraded by a factor of
light and heavy REEs in eudialyte is reported to be 88% three by magnetic separation.
and 12% respectively.
On the 22 September 2011, TANBREEZ Mining The three primary minerals within the ore-body have
Greenland released the following note on the latest been shown to have specific magnetic properties. The
development of the TANBREEZ deposit: arfvedsonite is highly magnetic and the feldspar is non-
magnetic, while the eudialyte exhibits magnetic behaviour

3D-model of the process plant and
shipping facility to be constructed in
connection with the mining opera-
tion at Kringlerne (TANBREEZ
Mining Greenland).

Ariel view of the Kringlerne deposit
and TANBREEZ camp site (marked
with red circle) (TANBREEZ Mining
Greenland).


4 M I N E X 4 0 · N ov e m b e r 2 0 1 1

in a strongly magnetic field. These properties have been Kvanefjeld, where a 619 Mt JORC-code compliant
utilised in formatting a testwork programme at Ammtec resource has been defined that contains 6.6 Mt total rare
with the results from that campaign taken into the feasibil- earth oxides (TREO), 350 Mlbs U3O8, and 1.4 Mt Zn.
ity study. Zones 2 and 3, demonstrate that mineralisation is far
The following programs of testing are currently being more widespread than previously recognised. Geological
conducted at Ammtec. evidence suggests that Zones 2 and 3 represent outcrop-
ping, or near-surface expressions of a mineralised system
• Bench scale magnetic separation tests to refine specific that extends over several kilometres from Kvanefjeld, and
process criteria. is interconnected at depth. The 2011 drilling programme
• Bulk high pressure grinding rolls and semi-commercial aimed at generating an initial resource estimate for both
scale magnetic separation testing to produce sufficient Zones 2 and 3.
eudialyte and feldspar samples for downstream pro- The 2011 drilling at Zone 2 is now complete, with 10
cessing by others. holes drilled to depths of approximately 550 m. All drill
• Tailings settling studies and waste rock testwork to holes intersected mineralised lujavrite (host rock to REE-
provide input to the environmental aspects of the feasi- U-Zn), which remains open to the east, north and west.
bility study. The results adds to the geometry of the main mineralised
zone that was established from holes drilled in 2010.
These initial holes identified an upper high-grade lens
Kvanefjeld mineralisation more (e.g. 185 m at 1.2% TREO, 442ppm U3O8, 0.34% Zn), over-
widespread than expected lying a broad lower-grade lens. The drill hole array at Zone
On 24 August Roderick McIllree, Managing Director of 2 now covers an area of 800 m by 500 m, and extends to
Greenland Minerals and Energy Limited (GMEL) reported depths of up to 550 m. A JORC-code compliant 619 Mt
that the company had issued an update on the 2011 drill resource has been defined at Kvanefjeld. The primary
programme that is currently underway on the Kvanefjeld objective of the 2011 drill program is to establish initial
multi-element project (REEs, U, Zn) in Greenland. Major resource estimates at Zones 2 and 3. There are also plans
focus for the program is on generating sufficient data to to produce a resource estimate at Steenstrupfjeld were
establish initial resource estimates on Zones 2 and 3, both further holes have been drilled. A metallurgical core has
located within the broader northern Ilímaussaq project also been drilled at Kvanefjeld. The initial JORC-code
area. These zones both represent satellite deposits to compliant resource estimates on Zones 2 and 3 are antici-

Overview map of GMEL’s multi-element project with location of zones 2 & 3 (Greenland Minerals and Energy).


M I N E X 4 0 · N ov e m b e r 2 0 1 1 5

Drilling at the Kvanefjeld multi-element deposit in 2011 (Greenland Minerals and Energy).

pated to be finalised in Q1 2012. There is also potential • 2011 Phase One assays have extended the ST1 body by
for generating an initial resource estimate at Steenstrup- at least 200 m to the north-east.
fjeld, where seven additional holes have been drilled. • Wide zones of mineralisation include 128 m of 1.7%
and 142 m of 1.4% TREO.
• Drilling at ST40 continues to intersect a very high ratio
Hudson drills highest grade of neodymium oxide to TREO at 46%
intervals to date at its Greenland • Preliminary Economic Assessment (PEA) on track for
REE project completion in 4-6 weeks
“Hudson Resources is pleased to announce the 2011 • Metallurgical test programs ongoing at two facilities
Phase One drill results for the Sarfartoq rare earth ele-
ment project in Greenland. Phase One drilling of the James Tuer stated, “We are very pleased with drilling results
2011 program included 4,891 m of infill and step out of our 2011 Phase One programme. The results continue to
drilling at the ST1 Zone, where the company has outlined define the ST1 Zone and confirm our belief that there are
an NI 43-101 compliant inferred resource of 14.1 Mt of
1.5% TREO. The ST1 Zone contains over 40 million kilo-
grams of neodymium oxide, which is the key component
in permanent magnets and the fastest growth sector of
the rare earths industry. An additional 3,328 m of
exploratory drilling was also completed regionally to the
north-east of ST1.” This announcement was released on 9
September 2011 by the Hudson President, James Tuer.
Phase Two drilling of an additional 8,338 m is now com-
plete, with results pending. In total 16,557 m over 71
holes were drilled this year. All 2011 Phase Two holes
have been split and bagged for shipment to ALS Chemex
in Vancouver for assaying. The Company has also extracted
a four-tonne metallurgical bulk sample from the surface of
the ST1 Zone for use in additional metallurgical test work
over the winter.

2011 Highlights:
Drilling continues to confirm high-grade zones at the ST1
body including 10 intercepts of 10 meters or more grad-
ing from 2.5% to 4.3% TREO (averaging 3.3% TREO over
13m) Overview map of the thorium radiation and project localities of the
Sarfartoq REE project (Hudson Resources).


6 M I N E X 4 0 · N ov e m b e r 2 0 1 1

Well exposed outcrop at Hudsons ST1 zone.

distinct high-grade zones of rare earths, which will be an im- veloped zinc projects and is being evaluated to mine at a
portant contributor to the project value going forward. We rate of 3 million tonnes per annum and produce zinc and
are continuing to expand the mineralisation to the north and lead concentrates for delivery around the world. Ironbark
have intersected significant widths of carbonatite some 200 m announced an upgraded resource in December 2010. Key
north-east of the previously drilled intersections.The deposit points of this resource upgrade were;
remains open to the north, south and at depth. We have left
two rigs on site for a quick start in the spring of 2012”. • Large resource category upgrade, with majority of min-
eralisation now upgraded to the Measured and Indicated
category after having previously been mostly classified
Ironbark finalising feasibility study under the Inferred category.
on its Citronen Fjord base metal • Increase in contained metal at equivalent grade in global
project resource with a 13% increase in zinc and lead content at
Ironbark is currently finalising a feasibility study on the +4% zinc (Zn) + lead (Pb) grade to now 11.8 billion
wholly owned Citronen Base Metal Project. The study pounds (lb) of Zn+Pb using 2% Zn cutoff.
include plans for on-site processing, concentrate storage • Esrum and Beach mineralisation joined with open-ended
and shipping facilities. Ironbark is targeting a production mineralisation within Level 3 sulphide horizon extend-
between 100,000 and 150,000 tpa zinc metal and c. 10,000 ing continuously in excess of 3,500 metres based on
tpa lead metal over a mine life of at least 16 years. current drilling.
The Citronen project is one of the world’s largest unde-

3D-model of the shipment, storage and
process plant facilites to be constructed
in connection with a mining operation at
Citronen Fjord (Ironbark Zinc Limited).


M I N E X 4 0 · N ov e m b e r 2 0 1 1 7

Zn-concentrate flotation test
of high grade zinc ore from
the Citronen deposit
(Ironbark Zinc Limited).

Drilling at the Citronen
deposit (Ironbark Zinc
Limited).

• Spectacular intercepts reported within 2010 explo-
ration drilling at Valley and XX-Zone, not included in Greenland uranium policy remains
resource figures yet, as the drilling density is not suffi- unchanged
cient to be classified under JORC but the intercepts On 9 September 2010 the Greenland Government
represent high priority drilling targets for 2011. (Naalakkersuisut) approved a clarifying addition to the
rules which regulate exploration for mineral resources.
The metal content reported at Citronen for the global This clarification means that companies which have found
resource (2% Zn cutoff) increased by 13% to 11.8 billion and demarcated mineral resources containing radioactive
pounds of zinc and lead (Zn+Pb) .This is primarily due to elements can apply for a licence to prepare assessments of
increases in the tonnage of material which forms the Level the environmental impact and social sustainability.
3 sulphide horizons subsequent to increased geological In making this addition to the Standard Terms, Naalakker-
information allowing Beach and Esrum Zones to be suisut hopes to bring about more knowledge on the health
joined. Drilling was also successful in defining spectacular and safety issues relating to radioactive elements in occur-
structurally controlled, high-grade mineralization at the rences where the actual goal is other metals than the radio-
XX Zone, which returned 35m at 9.6% Zn+Pb including active ones.This addition is in line with Naalakkersuisut’s
21 m at 14.4% Zn+Pb and interpreted continuations of ambition to secure more knowledge about the consequences
the Discovery mineralisation in the Valley Zone. of exploration and exploitation of radioactive elements.


G E U S

M I N E X 4 0 · N ov e m b e r 2 0 1 1

The addition to the rules does not give right to a licence
to exploit radioactive elements. Citronen Fjord
Therefore Greenland’s uranium policy remains unchanged
and the zero tolerance for exploitation of radioactive ele- Station Nord
ments continues intact.

New issue of the series ’Geology &
Ore’ with themes on Greenland
exploration
2011, Geology & Ore No.20: The rare earth element
potential in Greenland, 12 pp.

Sarfartoq
Isua
Nuuk
Qeqertarsuatsiaat
Aappaluttoq
Kringlerne
Kvanefjeld

Announcing ‘Greenland Day’ Down
Under, in Perth 7 December 2011 logical environment and the potential for mineral deposits
The Bureau of Minerals and Petroleum in Greenland will with focus on rare earth elements and base metals.
be hosting Greenland Day in Perth on Wednesday 7
December 2011 at the Parmelia Hilton. This conference, • The REE potential are demonstrated in talks on the
which in its third year, will see senior officials from the Sarfartoq REE deposit, the Qaqarssuk and Tikiussaq
Greenland Government give an overview of the deposits, the Kvanefjeld REE deposit, the Kringlerne Zr
Greenland economy and showcase a range of focused and REE deposit and the Motzfeldt Sø Ta-Nb-REE Stop press date: 12 October 2011 • Editor: Karsten Secher & Lars Lund Sørensen, GEUS
investment opportunities in the country. In addition, a deposit.
range of Australian and international resource companies • Base metals are highlighted especially from North and
with projects in Greenland will also present their invest- East Greenland including the Citronen Fjord zinc Sedex
ments. deposit.
Layout: Carsten Egestal Thuesen, GEUS • Printers: Afet Neimi, GEUS

The conference program will cover a range of topics
from operating conditions in Greenland and how to apply For further information please contact Henrik Stendal:
for mining licenses, right through to a review of the geo- hdal@nanoq.gl

GEOLOGICAL SURVEY OF DENMARK AND GREENLAND (GEUS)
Øster Voldgade 10 • DK-1350 Copenhagen K • Denmark
Tel: +45 38 14 20 00 • Fax: +45 38 14 20 50 • e-mail: minex@geus.dk • homepage: www.geus.dk

BUREAU OF MINERALS AND PETROLEUM (BMP)
Government of Greenland • P.O. Box 930 • DK-3900 Nuuk • Greenland
Tel: +299 34 68 00 • Fax: +299 32 43 02 • e-mail: bmp@nanoq.gl • homepage: www.bmp.gl
ISSN 1602-2475

�ݺ�ߣ

Minex no. 40

More Related Content

Minex no. 40