Greenland Receives Request From Quadra to Mine for Molybdenum

Quadra Mining Ltd., the Canadian mineral explorer which last year bought International Molybdenum Plc, filed for permission to dig for the metal on Greenland.

Quadra wants to mine molybdenum, used to make steel resistant to high temperatures, at its Malmbjerg project near the eastern town of Mestervig, the Arctic island's home rule government said late yesterday on its Web site.

International Molybdenum has since 2004 conducted tests at the site for the mineral, which has increased sixfold in price over the past five years. Greenland's government, which has invited mineral and oil explorers to the island to reduce economic dependency on fishing and subsidies from Denmark, said Vancouver-based Quadra can start production in 2012 if the Danish and Greenlandic parliaments approve.

International Molybdenum said last year it may be able to produce as much as 20,000 metric tons a year of molybdenite concentrate at Malmbjerg.