US private sector delegation heads to Greenland

By Valerie Volcovici

WASHINGTON (Reuters) - A U.S. private sector delegation, led by a former Trump administration official, is set to visit Greenland this week to explore investment opportunities in the Arctic island's vast natural resources.

U.S. interest in Greenland, a self-governing territory of Denmark, has increased since Donald Trump took office in January, causing political tension with Copenhagen. Trump has refused to rule out taking Greenland by military force if Denmark won't sell it.

This visit marks the first by a private sector delegation to the Arctic island since the election of Jens-Frederik Nielsen of the pro-business Demokratiit Party as its premier.

The delegation includes representatives from mining firms Critical Metals Corp, Cogency Power, American Renewable Metals and Refacture.

Drew Horn, CEO of GreenMet and former chief of staff for the Office of International Affairs at the Department of Energy during the first Trump administration, will lead the group.

"I'm not trying to do anything crazy like orchestrate a purchase or acquisition of Greenland by the United States," Horn told Reuters.

"We're looking simply to do traditional private sector business development," he said, adding that he is representing a consortium that includes established institutional investors including Cerberus Capital Management and Cantor Fitzgerald.

The trip will happen just days after a visit by Denmark's King Frederik, a symbolic gesture underlining unity between Greenland and its former colonial ruler.

Last week, during a visit to Copenhagen, Premier Nielsen affirmed ties with Denmark and called for greater respect from the U.S.

Greenland, with substantial mineral deposits potentially worth trillions of dollars, has a mining sector dominated by Australian, Canadian, and British firms, with limited U.S. investment.

Horn said he believes that capitalization and legitimate private sector growth will facilitate greater collaboration in an independent Greenland backed by U.S. private development.

The delegation plans to visit the Tanbreez mining deposit, one of the world's largest rare earths deposits.

Horn said he believes Greenland's openness to private sector investment will bolster its independence and ensure a viable business model.

The delegation will also visit Copenhagen at the beginning and end of the Greenland trip.

(Reporting by Valerie Volcovici; Editing by Alexandra Hudson)