Transaction will add an advanced magnet rare earths asset in Greenland to complement Skaergaard and solidifies Greenland Mines' position in the global critical minerals race

Neo Performance Materials will become a strategic shareholder and secures offtake rights for up to 60% of future Sarfartoq production

TRANSACTION HIGHLIGHTS

  • Sarfartoq stands as one of Greenland's most advanced and compelling rare earths projects, backed by a historic NI 43-101 Mineral Resource Estimate, a Preliminary Economic Assessment, over 15 years of drilling, extensive metallurgical test work, engineering and environmental baseline studies.
     
  • Historic resources at the ST1 zone, which hosts approximately 27 million kg of neodymium oxide (Nd₂O₃) and 8 million kg of praseodymium oxide (Pr₆O₁₁) – with Nd-Pr comprising an exceptional 25–40% of total rare earth oxides (TREO) — one of the highest ratios reported globally and the key value driver in today's rare earths market.
     
  • Neo Performance Materials has offtake rights on up to 60% of future ore or mineral concentrate production, directly bridging a Greenlandic source of Nd-Pr feedstock to Neo's downstream rare earth separation and permanent magnet platform.
     
  • Sarfartoq contains the rare earth elements powering the future: permanent magnets for electric vehicles, offshore wind turbines, defense systems and robotics — the segment of the rare earths market where demand growth and non-China supply gaps are most acute.
     
  • Creates a Western-aligned critical minerals platform with two advanced critical metal projects in Greenland under one listed vehicle (NASDAQ:GRML): high-value magnet rare earths at Sarfartoq and palladium-gold-platinum at Skaergaard.

CHARLOTTE, N.C., May 21, 2026 /PRNewswire/ -- Greenland Mines Ltd ("Greenland Mines" or the "Company") (NASDAQ:GRML) today announced that it has entered into an Agreement (the "Agreement") to acquire Neo North Star Resources, Inc., owner of the Sarfartoq Rare Earths Project in southwest Greenland, from its stockholders including Neo Performance Materials (TSX:NEO). The transaction will be structured as a merger between Neo North Star Resources, Inc. and a newly-formed, wholly-owned subsidiary of the Company.

Next Steps

Closing of the acquisition is subject to customary closing conditions, including approval from the Government of Greenland under Section 69 of the Greenland Mineral Activities Act for the indirect transfer of the mineral rights licenses, as well as certain other regulatory and third-party consents. Greenland Mines and Neo have agreed to use commercially reasonable efforts to obtain all necessary approvals as promptly as practicable.

After closing, Greenland Mines intends to advance Sarfartoq through an updated technical and economic work program, including discussions with Wardrop / Tetra Tech — the consulting group behind the historical PEA — on a possible fast-tracked PEA update to incorporate current Nd/Pr pricing, which is approximately two times higher than the assumptions used in the 2011 PEA. The Company will also engage with the Government of Greenland on an Exploitation License pathway, supported by the historic Mineral Resource, prior project description work and the environmental baseline investigations initiated in 2023 by WSP Denmark. Sarfartoq will be advanced in parallel with Skaergaard, drawing on Greenland Mines' extensive in-country capabilities and technical consultant network.

At closing, total consideration for the acquisition will be US$35 million, paid in the form of US$20 million in cash and US$15 million in newly issued shares of Greenland Mines common stock.