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Greenland Warns Trump-Linked Firm Over Unauthorised Oil Drilling

Greenland Energy has brought drilling equipment ashore in Jameson Land despite not receiving approval from local authorities to begin exploratory drilling.

A man holds a map of Greenland covered in the American flag crossed out with an X during a protest against Trump's policy towards Greenland in front of the US consulate in Nuuk, Greenland. | Photo: AP/Evgeniy Maloletka
Summary
  • Greenland warned a Trump-linked US oil firm over unauthorised drilling activity

  • Greenland Energy brought equipment ashore without approval from local authorities

  • The company plans exploratory wells in resource-rich Jameson Land

Greenland's government has issued a "strong warning" to a US oil company linked to President Donald Trump after it brought drilling equipment ashore without approval from local authorities.

Greenland Energy, a Texas-based company established last year, has brought equipment to Jameson Land on Greenland's eastern coast as it prepares for exploratory oil drilling. The government said no permission had been granted for the equipment to be landed and that all future logistical activity must be approved by its mineral resources authority, The Guardian reported.

The company plans to drill for oil in the remote region and has said it could spend $60 million on two exploratory wells. Its executives have claimed that as much as $1 trillion worth of crude could lie beneath the Jameson Land area, as per the report.

Greenland's Warning

The Greenland government said an application for permission to proceed with the drilling was still being processed. It added that it would not be proportionate to demand that the equipment already brought ashore be removed.

Greenland stopped issuing new oil licences in 2021 on environmental grounds. However, UK-based 80 Mile had previously secured exploration rights in Jameson Land. Greenland Energy's corporate filings say it intends to take a majority stake in the project in return for financing the exploration.

The planned drilling area also appears to fall within a conservation area protected under the Ramsar Convention on wetlands.

Greenland Energy has said discussions with Greenlandic authorities over the remaining approvals have been constructive. The company has indicated that one well could initially be drilled.

Trump Connection

The development comes as Trump continues to push his interest in Greenland and has repeatedly argued that the Arctic territory is important to US security.

Greenland Energy executives have denied that their oil project is connected to US plans involving Greenland. However, the company has appointed a US Navy veteran involved with Trump's Golden Dome missile-defence programme as a director.

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Trump has described control of Greenland as "vital" to the missile-defence initiative.

Greenland Energy has said drilling could begin in October. A vessel carrying about 300 containers of drilling equipment is expected to leave Canada on September 12, according to the company.

Greenland is a self-governing territory within the Kingdom of Denmark, with decisions over its natural resources resting with its elected authorities.

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