US oil firm sets up Greenland drilling gear without permission, draws government warning

A U.S. oil company has begun setting up drilling infrastructure in Greenland without official permission, prompting a strong warning from the semi-autonomous Arctic island's government. Greenland Energy is preparing to drill for oil in the Jameson Land Basin, an area described as one of the largest underexplored conventional hydrocarbon basins in the Western world.

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By placing logistics elements in there, preparing for the drilling, it sends a signal that we’re going to go ahead and do this with or without your approval. Or we’ll ask for approval after we have it, which you’ll have no choice but to give.

While Greenland Energy does not hold its own license, it plans to collaborate with a U.K. company, 80 Mile PLC, which possesses one. Greenland Energy stated that 80 Mile will lead the permitting process. However, the Greenland Ministry of Industry and Mineral Resources noted that 80 Mile had moved equipment under an old, now invalid, license.

The government issued a "strong warning" on July 30, emphasizing that all future logistical preparations must be notified and approved by the Mineral Resources Authority before they are carried out. This action sets a "difficult precedent" for protecting sovereignty, according to Maj. Gen. (Retd.) Scott Clancy, a fellow at the Canadian Global Affairs Institute.

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That sets a very difficult precedent as it pertains to the protection of sovereignty.

Greenland Energy defended its actions, explaining that waiting for permits before starting logistical preparations would "unnecessarily delay operations and risk losing valuable time within Greenland’s limited operating season." The company maintains that the permitting process is moving forward through "constructive engagement."

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one of the largest underexplored conventional hydrocarbon basins in the Western world

The article also notes that the firm has alleged ties to officials within the Trump White House, adding a layer of political context to the situation.

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to lead the permitting process