The Trump administration has discussed taking a stake in Critical Metals Corp (CRML.O), a move that would give Washington a direct interest in Greenland’s Tanbreez rare earths project, four people familiar with the matter told Reuters. The deposit is the largest of its kind in Greenland, the Arctic territory that former President Donald Trump once controversially suggested buying.
If finalized, the deal would represent the latest political turn for Tanbreez. Former President Joe Biden had previously lobbied to secure the sale of the project to New York-based Critical Metals for $5 million in cash and $211 million in stock — a price far below what a Chinese company had offered. Rare earths are vital to high-tech industries from electric vehicles to missile systems, making supply security a growing priority for the U.S. and its allies.
Washington has already taken stakes in Lithium Americas (LAC.TO) and MP Materials (MP.N), highlighting Trump’s push to secure control over critical minerals. Discussions about converting a $50 million Defense Production Act grant application into an equity stake began in recent weeks, three of the sources said. A conversion of that size would give Washington roughly 8% of Critical Metals, though talks remain ongoing and the final terms could change.
“Hundreds of companies are approaching us trying to get the administration to invest in their critical minerals projects,” a senior Trump administration official told Reuters. “There is absolutely nothing close with this company at this time.” Critical Metals did not respond to requests for comment, and the Danish Embassy in Washington declined to comment.
The U.S. Export-Import Bank (EXIM) is separately considering a $120 million loan to support the Tanbreez project, according to two sources. Once operational, the mine is expected to produce 85,000 metric tons of rare earth concentrate per year, along with gallium and tantalum — metals over which China has imposed export restrictions.
Greenland’s mining sector has been slow to develop, constrained by investor caution, environmental hurdles, and its remote Arctic geography. But U.S. interest in Tanbreez underscores Greenland’s strategic appeal. Trump even sent Vice President JD Vance to the island in March, while Biden officials visited Nuuk last November to encourage private investment.
If successful, the investment would cement Washington’s direct role in Greenland’s mining future and deepen its efforts to reduce dependence on Chinese-controlled supply chains.
