Energy Transition Minerals Ltd (ASX:ETM) provided a legal update on 2 September 2026 on proceedings brought by its Subsidiary Greenland Minerals A/S against the Government of Greenland and others concerning the Kvanefjeld (Kuannersuit) Mining project in Southern Greenland. The High Court of Greenland issued its decision on 1 September 2026 on which defendants will remain parties to the case.

The court decided that all defendants except the Greenlandic Parliament and the Self-Government of Greenland will remain, a result the company described as predominantly in line with its position.

About Energy Transition Minerals

Energy Transition Minerals Ltd is an exploration and development company focused on developing and financing Supply chains for metals and materials that are critical to decarbonisation. It manages exploration projects in Western Europe and North America and has recently completed the Acquisition of the Penouta Tin-Tantalum-Niobium Mine in Galicia, Spain.

The company has been involved in the development of the Kvanefjeld Rare Earth Elements Project since 2007, and its right to the grant of an exploitation licence for the project remains subject to legal proceedings in the courts of Greenland and Denmark. ETM is also involved in the Villasrubias Lithium-Tantalum Project in the region of Castile and León, Spain, and in the Solo and Good Setting Lithium Projects in James Bay, Quebec. It has offices in Perth, Greenland and Spain.

Latest Development: High Court of Greenland Decision (2 September 2026)

Following Greenland Minerals A/S withdrawing its proceedings against the Government of Denmark from the High Court of Greenland, the court on 1 September 2026 decided which Greenlandic defendants are to remain. It ruled that all defendants except the Greenlandic Parliament (Inatsisartut), listed as defendant 7, and the Self-Government of Greenland, listed as defendant 8, will remain parties.

The defendants had argued that the case against all parties other than Naalakkersuisut, the Government of Greenland, should be dismissed. The court did not agree and instead agreed predominantly with Greenland Minerals. In excluding Inatsisartut, the court found that, under established Danish practice, challenges to the lawfulness of enacted legislation and related claims, including damages, should be directed against the executive branch of government. Naalakkersuisut is therefore the proper defendant in respect of the application of the Uranium Act and the process leading to its adoption in Parliament. The Self-Government of Greenland was excluded because Naalakkersuisut is already a party and Parliament will not be a party going forward, which the company characterised as a technical exclusion of a redundant party. The company said the exclusions do not affect the scope or substance of its claims.

The court directed the defendants to file a response on the merits by 27 October 2026. It also granted the parties until 10 November 2026 to revert on the anticipated duration of the oral hearing, and indicated that a hearing could be scheduled as early as autumn 2027 or in the first half of 2028.

The High Court awarded costs against Greenland Minerals in favour of the two excluded parties, in an aggregate amount of DKK 150,000.

Managing Director Daniel Mamadou said the company is pleased with the decision but that Kvanefjeld should be a mine today, creating jobs in Greenland and supplying rare earths needed by Europe, adding that the delay carries a cost to Greenland's economy and to Europe's supply chain ambitions. The parallel litigation in Denmark against the Danish Government is not affected. Those proceedings remain pending but have been paused while the main case in Greenland progresses. ETM and Greenland Minerals are assessing the decision with their legal advisors and will update the market as more information becomes available.

Risks and Uncertainties

The ruling concerns which parties remain in the case, not the merits of the claims. The outcome of the claims has not been determined, and the company's right to the grant of an exploitation licence for Kvanefjeld remains subject to the legal proceedings in Greenland and Denmark.

A hearing on the merits could be scheduled from autumn 2027 or in the first half of 2028, so a substantive determination is not expected in the near term. The defendants have yet to file their response on the merits.

Costs of DKK 150,000 were awarded against Greenland Minerals. The company's cautionary statement lists a range of risks that may affect future performance, including title risk, renewal risk, regulatory risk, Commodity price movements, foreign currency fluctuations, native title and cultural heritage risk, reliance on key personnel and development, construction and commissioning risk.

Milestones to Watch

  • Filing of the defendants' response on the merits, due by 27 October 2026.
  • The parties' submission on the expected length of the oral hearing, due by 10 November 2026.
  • Scheduling of the oral hearing, which the court indicated could take place as early as autumn 2027 or in the first half of 2028.
  • Any update to the paused litigation in Denmark.
  • Further updates from ETM and its legal advisors following assessment of the decision.