At this stage of the game I see a bit of a different picture than you and I don’t think either of us, or anyone else for that matter, has the definitive picture of Greenland’s present/future direction and how or even if GGG fits in there. We’re all just guessing based on what we can glean from open source information, so it’s good we share info and have different points of focus.
At the moment I don’t see China as a big threat. It already has a toenail hold in Greenland in that in 2019 it was getting a whopping 0.002% of Greenland’s export market and therefore was not a significant trading partner. Worth keeping an eye on though, as is China’s attempts to influence the Greenland politicians and key people in the country. It’s attempts to get in the back door by financing airports and communications infra structure look to have been blocked. By whom? My guess - the EU! Denmark is a significant and influential member of the EU and is the strategy for Denmark to step back from Greenland and the EU to fill the void? EU definitely wants an alternative supply of REE’s than China. The EU and Greenland have recently inked a 4 year fishing deal with the option of a 2 year extension. It’s worth an annual 16.5 million. The NIB bank Loan for the 2 airports - Greenland 1/3, Denmark 2/3 is interesting in that the membership of the bank is 3/4 EU countries.
The major threat to Greenland, as I see it, is the economy.
In its report, the Economic Council revealed that public finances in 2020 are estimated to land on a deficit of DKK 189 million. An amount that is assessed as "significant"
So now, having won the election based on not only opposing Kvanejfeld but promising to move forward to full self government, social reform in the areas of health, education and supporting their aging population, what to do? I see a change in tone from opposing Kvanejfeld to opposing uranium mining. There seems to be a way forward to strengthen their economy and move socially forward even though it possesses major political implications.
GGG Price at posting:
10.5¢ Sentiment: Buy Disclosure: Held
(20min delay)