LONDON (ShareCast) - Rare Earth Minerals (REM) expects to benefit from a vote on Thursday by Greenland’s Parliament in favour of ending the country’s longstanding prohibition on mining for radioactive materials such as uranium.

The AIM-listed minerals investment and development company’s Executive Chairman David Lenigas said REM had a number of approved exploration licences that should benefit “significantly” from this new Greenland government decision.

REM’s 38 square kilometre exploration license 2013/20, which was only granted last month, is in a particularly good spot since it is adjacent to the large Kvanefjeld deposit which is said to contain 575 million pounds of triuranium octoxide and 10.3m tonnes of rare earth oxide.

Lenigas said: “A decision like this automatically accelerates foreign direct investment into mineral and metal exploration in Greenland. REM will now work closely with its geological consultants, SRK Consulting, to accelerate the search for rare earth elements on its concession.”

One stumbling block could be the fact that while Greenland is self governing, Denmark still has a say in security and defense issues and so this uranium decision may need to win the approval of the Danish parliament.

Shares in REM were up 2% at 0.78p at 09:34 on Friday.

TB

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