Greenland has issued a formal warning after a U.S. oil firm with ties to former President Donald Trump moved drilling equipment toward Jameson Land without the required permits. Greenland Energy says it will invest $60 million to drill two wells and estimates up to $1 trillion in crude, while authorities say necessary approvals have expired and remain under processing. The company says 300 containers of equipment could ship from Canada in September with a planned operational start in October. The case highlights legal, environmental and political tensions over Arctic drilling.
Greenland Issues Strong Warning After Trump-Linked Firm Moves Drilling Gear Toward Jameson Land
A demonstrator (C) holds a sign that reads "Make America go away" as others wave flags during a protest outside the US consulate in Nuuk, Greenland. File Photo Oscar Scott Carl/EPA
Greenland’s government has issued a formal, public warning after residents spotted a barge carrying drilling equipment toward Jameson Land owned by a U.S. firm with ties to former President Donald Trump.
What Happened
Local residents in southeastern Jameson Land reported seeing a barge loaded with drilling gear that journalists identified as belonging to Greenland Energy, a Texas-based exploration company chaired by Larry Swets, who has been described in reports as close to Trump’s inner circle. Greenland Energy says it plans to spend $60 million to drill two wells and has suggested there could be as much as $1 trillion in recoverable crude in the area.
Government Response
The Greenlandic Department of Industry and Minerals said the company "did not have the necessary approvals from the mineral resources authority in place before initiating this operation." The government added it has issued a "strong warning" to the operators and that the relevant approval has expired and is currently under processing.
"The approval has since expired and has not currently been renewed, but is under processing," a government statement said.
Company Plans and Deal Details
Media reports say Greenland Energy acquired exploration rights previously held by the British firm 80 Mile in a deal in which the U.S. company would fund exploration in exchange for retaining a majority share of any proceeds. Transferring those rights requires formal government approval, which authorities say has not been completed. A company spokesperson told reporters that about 300 containers of drilling equipment could be shipped from Canada in September, with an operational start targeted for October.
Political and Environmental Context
Greenlandic officials have not issued new oil licenses since 2021, citing environmental concerns in the fragile Arctic region. The episode also drew attention on social media: two days after Greenland’s rebuke, former President Trump posted an AI-generated image on Truth Social showing a giant Trump looming over the island with the caption, "Hello, Greenland!"
Why It Matters
The incident raises legal, regulatory and environmental questions about resource exploration in Greenland, the authority of local regulators to enforce permitting rules, and the role of politically connected investors attempting to accelerate projects in the Arctic. Officials in Denmark and Greenland have consistently rejected past proposals for U.S. acquisition of the territory.
Help us improve.
