Greenland Resources Malmbjerg Concept Study Results       

NOT FOR DISTRIBUTION TO UNITED STATES WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES

TORONTO, July 30, 2018 (GLOBE NEWSWIRE) -- As a follow up to our May 14, 2018 press release, Greenland Resources Inc. (“Greenland Resources” or the “Company”) is pleased to announce some of the results from the Concept Study conducted by several engineering firms that aimed to improve the Wardrop 2008 Malmbjerg project feasibility study (“2008 FS”). The Company believes that the results contained in the Concept Study are very encouraging and therefore is now conducting a Preliminary Economic Assessment (“PEA”) with results expected to be released this year.

Scope of Concept Study

The study considered project development engineering and operations opportunities that could be utilized in the optimization of the 2008 FS that could result in significant reduced project CAPEX and OPEX costs. The study analysis included:

• Review previous 2006 and 2008 technical, construction and operating CAPEX and OPEX costs parameters and determine in which operating areas improvements could be realistically expected
• Perform multidisciplinary engineering reviews of mining, metallurgical process and associated infrastructure to reduce previously generated project CAPEX and OPEX costs
• Prepare a conceptual level CAPEX and OPEX cost estimate and project economics
• Compare Concept Study cost estimate to the 2008 FS cost result and define opportunities to achieve additional CAPEX and OPEX cost reductions for the PEA analysis

The Concept Study was prepared by DRA Americas Inc. (“DRA”) with the input from the following engineering firms:

Concept Study Options

A preliminary technical analysis of each option described in Table 1 was performed and Option 3 was determined to be potentially the most economically favourable capital and operating cost option as compared to the other options, including the base case.

Table 1: Malmbjerg Project Study Options

Option #3. This configuration is comprised of the following:

• A surface gyratory crusher is located on the eastern segment of the open pit
• An underground SAG milling complex processes gyratory crushed ore into a 450-micron product for transportation by gravity in an enclosed concrete pipe flume to the concentrator, located 25 km to the north at Mestersvig inlet
• The concrete pipeline is located in a tunnel for 11 km. The pipeline exits the tunnel and travels on surface for the remaining 7 km to the concentrator
• The tunnel, 6 m in diameter provides access to the mine for all personnel, consumables, mobile equipment parts, and includes conduits for electrical and communications systems, diesel fuel, and the hydraulic ore transportation (concrete pipe flume)
• Concentrator, concentrate loadout, powerplant, warehouse & maintenance shops and administration / accommodation complex are all constructed in an overseas shipyard on shallow draft vessels and installed permanently at the Mestersvig inlet
• Concentrator tailings pipeline is 25 km long and discharges tailings to a subaqueous tailings management facility at Noret inlake which outlets into King Oscars Fjord. Noret inlake is located just to the north of the airport at the nearby Danish naval base, which can support Boeing 737-800 and Hercules operations.

Mr. Jim Steel, P.Geo., M.B.A., a Qualified Person under National Instrument 43-101 has reviewed and approved the technical information in this press release.

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.  

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.