Canada, EU Launch Alliance on Critical Raw Materials
Greenland Resources welcomed the new Canada-EU Alliance for the Future and an EIB-Canada agreement on EU investment in critical raw materials.
Updated on Nov. 2, 2026 in Economic Indicators
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Canada and the European Commission launched the Canada-EU Alliance for the Future in Montreal, including an agreement between the European Investment Bank and Canada to facilitate EU investment in critical raw materials. Greenland Resources said the initiative is positive for its European market strategy.
Why it matters
The alliance aims to strengthen access to critical raw materials for Europe's industrial and defence needs. For Greenland Resources, it aligns with the European Commission's RESourceEU initiative, which named its Malmbjerg molybdenum project a priority EU project.
The Feasibility Study assumes molybdenum at US$18 per pound, while the current market price is about US$33 per pound, and the project's 245 million tonnes of reserves contain 571 million pounds of molybdenum. Whether the project will be financed on the planned schedule has not been disclosed.
The players
European Commission
The executive body of the European Union, which presented the RESourceEU initiative and named the Malmbjerg project a priority EU project.
European Investment Bank
The European Union's public bank, which signed an agreement with Canada to facilitate EU investment in critical raw materials.
Greenland Resources
A mining company developing the Malmbjerg molybdenum project in east-central Greenland and headquartered in Toronto.
The details
Greenland Resources received a non-repayable contribution from the Government of Canada this year and has signed binding long-term agreements with Outokumpu and SSAB, as well as MOUs with steel companies in Germany, Austria, Italy and Denmark. The company is working with the European Commission and EU steel industry to finance part of its capital expenditures.
Timeline
December 3, 2025: European Commission presented RESourceEU and named the Malmbjerg project a priority EU project.
This year: Greenland Resources received a non-repayable contribution from the Government of Canada.
Late October 2026: Canada-EU Alliance for the Future was launched in Montreal.
Economic Indicators Context
The Canada-EU Alliance for the Future follows the European Commission's RESourceEU framework, which seeks to reduce Europe's reliance on imported critical raw materials. The Malmbjerg project's designation places it within that effort to secure molybdenum supply for steel and defence uses.
For European buyers of steel and defence-related products, expanded domestic molybdenum supply could affect future sourcing and pricing. The project's progress will depend on securing financing and advancing through development stages before any supply reaches the market.
The takeaway
Securing critical raw materials has become a shared priority for Canada and the EU, and projects like Malmbjerg show how government alliances and financing can shape supply chains for essential metals.
Further reading
Explore more on Economic Indicators to see how trade and resource policy shape the broader economy.
Source note: This article includes information reported by Chatham Daily News.
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