Greenland has issued a 30-year exploitation license to London-listed GreenRoc Mining Plc for the Amitsoq graphite deposit, marking the third such permit granted by the Arctic island's government this year amid heightened global demand for critical minerals.

Greenland, rich in natural resources, has been slow to develop its mining sector due to regulatory hurdles and limited financing. However, activity has increased this year, following U.S. interest in Greenland under the Trump administration.

The project, backed by the European Raw Materials Alliance, aims to produce graphite, a mineral deemed critical for the energy transition and widely used in batteries for electric vehicles and defense technologies.

The Amitsoq mine, located in southern Greenland, was last in production in 1922 and holds one of the world's highest-grade graphite deposits and is expected to produce approximately 80,000 tonnes of graphite concentrate annually, extracted from 400,000 tonnes of ore.

Mining operations are set to tap flake graphite with high crystallinity, suitable for lithium-ion battery anodes.

"(The) exploitation license is the result of focused political efforts to make Greenland more attractive for responsible investments, while seriously taking into account the concerns for people and the environment," Mineral Resources Minister Naaja Nathanielsen said in a statement.

In June, the European Union granted GreenRoc's Amitsoq project Strategic Project status under its Critical Raw Materials Act.

Both NATO and the EU have designated graphite as a critical raw material, particularly as China, which dominates the graphite supply chain, tightened export controls on the mineral last month.

"Graphite is an important raw material for the energy transition, and Europe lacks secure access to it," GreenRoc CEO Stefan Bernstein said. The permit was signed on Monday.