Greenland Resources Completes Final Tranches of the 2017 Financings and Updates on Malmbjerg

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TORONTO, March 29, 2018 (GLOBE NEWSWIRE) --  Greenland Resources Inc. (“Greenland Resources” or the “Company”) is pleased to announce the completion of a non-brokered private placement for aggregate gross proceeds of $2,489,205. This financing completes the earlier financings announced on November 9, 2017. In addition, the Corporation is pleased to provide an update on the Malmbjerg Molybdenum Project.

Completion of Financings

On November 9, 2017, the Corporation announced the completion of non-brokered private placements in the amount of $2,015,000 consisting of the sale of common shares and Subscription Receipts, that were subject to certain conditions (collectively, the “2017 Financings”). To satisfy those conditions, the Company has now completed an additional non-brokered private placement consisting of the sale of 16,594,698 common shares at a price of $0.15 per common share for gross proceeds of $2,489,205. 

Pursuant to the terms of the 2017 Financings announced in the November 9, 2017 Company press release, the investors in the 2017 Financings have now acquired additional common shares of Greenland Resources, their Subscription Receipts have been exercised for common shares and the Company has issued their options. The investors will issue early warning press releases and file early warning reports on Greenland Resources’ profile at www.sedar.com. 

The net proceeds from the Offering will be used to fund exploration of the Greenland resource projects and for working capital. The common shares issued in the private placements are subject to a hold period of four months and one day.

Malmbjerg Molybdenum Project Update

The Company is pleased to announce that it has engaged Golder Associates Ltd. and Moose Mountain Technical Services (MMTS) to conduct a concept study of potential mining methods for the Malmbjerg deposit. MMTS developed the mine plan for the 2008 Malmbjerg Project feasibility study completed by Wardrop Engineering Inc. (now Tetra Tech, Inc.). Greenland Resources will update in subsequent press releases relevant results of this investigation. The proposed work plan for Golder and MMTS includes:

• Review the 2008 Malmbjerg feasibility study
• Investigate higher grade/lower cost mining methods for a project ramp-up (including block caving)
• Estimate achievable production rates for the most economic mining scenarios
• Estimate operating costs for the most economic mining scenarios
• Investigate the scalability of capital costs for the project components outside the mine, based on previous study results and escalated to current date.
• Develop revised production schedules, capital and operating cost estimates, and a cashflow model including a sensitivity analysis

Greenland announces that it has issued 7,000,000 common shares for past compensation due to management which includes work for successfully identifying and acquiring the Malmbjerg Molybdenum Project.

About Greenland Resources Inc.

Greenland Resources is a Canadian reporting issuer regulated by the Ontario Securities Commission, focused on the acquisition, exploration and development of mineral properties in Greenland. The flagship project is the Malmbjerg Molybdenum deposit, a world class Climax-type molybdenum deposit located in east-central Greenland. With offices in Toronto, the Company is led by a management team with an extensive track record in the mining industry and capital markets. For further details, please refer to our web site (www.greenlandresources.ca) as well as our Canadian regulatory filings on Greenland Resources’ profile at www.sedar.com.  

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CAUTIONARY STATEMENT: No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, the Company’s objectives, goals or future plans, statements regarding the estimation of mineral resources, exploration results, potential mineralization, exploration and mine development plans, the availability of financing, the timing of the commencement of operations and estimates of market conditions. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, failure to convert estimated mineral resources to reserves, capital and operating costs varying significantly from estimates including the costs of operations in remote mountainous environments, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, political risks, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and the other risks involved in the mineral exploration and development industry. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.

This news release does not constitute an offer to sell or a solicitation of an offer to sell any of securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.