oil minerals 1

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GREENLAND

Oil & minerals

Hotel Arctic would like to welcome you to Ilulissat. Our extra focus on the vulnerable environment that

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The key to business lifein the land of

opportunities

SulisitsisutThe Employers Association of Greenland

businesscatalog

Business

Focus on

in Greenland

Employers Association of Greenlandwww.ga.gl | Tlf. +299 32 15 00 | Fax nr. +299 32 43 40 | [email protected]

The book Focus onBusiness in Greenland

presents 100 skills ofGreenlandic companies

in relation to oil and

gas extraction, mineralprospecting and mining.

It thereby documents the

dynamics that are makingmore and more Greenlandic

enterprises the strongand natural partners of

international operators.

The Employers Association of Greenland covers 85% of the countrysbusiness life across the boundaries of industries, ownership structures,geographical locations and company sizes. We thus represent national andinternational companies of all types from small, personally-ownedbusinesses to small and medium-sized enterprises, all the way to our largest,

globally operating companies.

In addition to our role as an advisor and sparring partner in the areas of law,economics, industrial policy and the labour market, we are also an organisation

that takes initiatives and exerts inuence: both politically, economically,educationally and socially. Our activities include organising courses, conferencesand international visits to strengthen the business community of Greenland andequip it to meet the demands of the future.

Greenland is the land of opportunities, and the Employers Associationof Greenland is the key to the countrys business life.


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Published by Sermitsiaq.AG

Sipisaq avannerleq 10 Postbox 39 3900 NuukPhone +299 383950 mail [email protected]

www.Sermitsiaq.AG

CVR: 387083 GER & SE: 12341954

Editor in chief: Poul Krarup, [email protected]

Ass. editor: Nicolai Jacobsen, [email protected]

Graphics design: Linda Lyberth Rachlitz & Najaaraq Rosing

Sales / advertising: Peter S. Rasmussen, [email protected]

Translation: Copenhagen Post

Print: Lynge Olsen reklame & kommunikation A/S

Oil hunters get a helping hand from above. . . . . . . . . . . . . . . . . . . . . . . 4

Greenland Conference on Minerals and Oil . . . . . . . . . . . . . . . . . . . . . . . 5

Did you know that about Oil? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

Greenland is NOT for sale. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

Industrialising Greenland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12

Cairn Drilling for Billions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13

International Politics concerning Rare Soil Types . . . . . . . . . . . . .17

The Secrets of the Seabed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20

Cairn Lures Foreign Workers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21

Next Stop North-East Greenland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25

This is new for all of us . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .28

Presentation and Launch Event . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .29

Room for a Large Oil Harbour . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .32

Offshore courses in great demand . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .33

International Praise for ArteksPlans for Collaborative Effort . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .36


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Some 720 kilometres above your head hovers a 711kilogram-heavy pile of electronics, which could possiblyhave a decisive supporting role in Greenlands attempts tobecome nancially independent. At least if the nancialrewards are to be reaped from oil adventure prots.Cryosat-2 is the name of a European climate satellite thatis circuiting around the poles. All year round, the satellitedelivers data to researchers and oil companies withoutremuneration which are interested in knowing the thick-ness of the ice. The risk-taking Scottish oil hunters fromCairn are probably some of the most dedicated users ofthese data.

Knowledge of the maximal ice thicknesses, and the sizeof the large ice embankments are of direct interest to theoil companies, emphasises Ren Forsberg, Head of SpaceDepartment at the Technical University of Denmark.They need this information for seismic prospecting, andto assess the viability of test drilling and the establishing ofproduction facilities.DTU Space has an ongoing collaboration with the RawMaterials Directorate regarding the measurement of theice thickness, and changes in the ice mass. Earlier meas-urements have been carried out by plane in connectionwith the licence tender bid in Bafn Bay. In addition, thereis assistance to be had from the American ICESat satel-

lite. It uses laser technology to measure changes in the icemass, both onshore and offshore. But one of the great-est disadvantages is that the clouds encumber ICESatsfunctionality. This means that Cryosat-2 has the best pairof eyes in our galaxy, xated on the sea ice movement, infor example Bafn Bay.Cryosat-2 is to provide better measurement of the seasso-called bumps, both in the ice-free sea, and below theice, continues Forsberg.The bumps are caused by changes to the earths eldof gravity, which in turn reects the construction of thesubsoil.

The satellite was launched on 8 April 2010, and becausethe climate satellite data are of a completely new type,there is still quite a lot of work to be done in terms of hav-ing the measurements veried particularly in the thinnerrst-year ice in Bafn Bay. DTU Space is working on this incollaboration with the European Space Agency. In addi-tion, DTU Space is drawing up gravity eld maps based onsatellites. Based on these, Cryosat is to improve the data.We place these at disposal free of charge to the oil com-panies, and are currently improving them in collaborationwith a couple of the companies, reveals Forsberg.

By Mads Nyvold, [email protected]

Oil hunters get a helping hand from aboveA climate satellite delivers valuable ice data for the upcoming prospecting and extractions

GRAPHICS:ESA/AOESMEDIALAB

Cryosat-2 can measure the freeboard height, i.e.the smallest protrusion of sea ice and polar capsthat rises above the water. The measurement iscarried out using a high-precision radar heightmeasuring device, and using the freeboard height,it is possible to estimate the thickness of the ice.


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Joining Forces 2011: Greenland Conference on Mineralsand Oil is a two-day conference focusing on new businessopportunities in the mineral and oil industries in Green-land. The rst day will be devoted to minerals, and thesecond to oil. A wide range of professional experts will talkabout their experiences in the mining and oil industries inGreenland, Norway, Newfoundland, the Faroe Islands andDenmark, with a view to contributing to the overall themeof the conference: how we can join forces and identify thenecessary priorities, according to the size and industry ofthe relevant companies.

Joining Forces 2011: Greenland Conference on Miner-als and Oil will take place on 21 - 22 September 2011 inNuuk, Greenland. The conference will focus on the poten-tial new tasks for Greenlands companies and labour force,and will highlight some key issues not mentioned at earlierconferences on this topic, namely how to get from step 1,How do the new industries operate?, to step 2, Howdo we get started?

Key topics: arctic experience, B2B meetings, NetworkCulture, PreparationsThe conference will focus on a wide range of topics inorder to generate inspiration and highlight new ways in

which companies can prepare themselves for the comingtime. The presentations will include arctic experiences andrecommendations, key issues will be discussed at 6 differ-ent workshops, and there will be time for individual B2Bmeetings, and an evening event will introduce practicalissues regarding networking and performance.

Some conference topics will deal specically with businessdevelopment in relation to strategic partnerships: howcompanies, irrespective of their size, can prepare for thenew industries, and how to identify strategic partners forpartnerships, either between companies of similar size, orwith international enterprises.

Another topic will be skills enhancement: How can weidentify the demand for new skills? What kinds of educa-tion and training are currently available? And what will beneeded in the future?

The lack of an appropriate health and safety culture hasbeen mentioned by a number of the prospecting compa-nies operating in Greenland. Some development in thisarea will be necessary in order to enhance the opportuni-ties for Greenlandic companies and labour. A special work-shop at the conference will be devoted to this theme, andwill discuss where companies can obtain health and safety

training, both within and outside Greenland.

While we wait how can we prepare ourselves?The conference has a clear message: skills enhancementis never wasted in relation to winning contracts. But a keyissue is whether skills enhancement efforts should focusonly on the new areas of business, or whether this couldalso be benecial to existing businesses in Greenland. Busi-ness development in this area could potentially contributeas much, if not more, to progress in society in general.These and many other related discussions will take place atthis two-day conference.

Registration for Joining Forces 2011: Greenland Confer-ence on Minerals & Oil will begin late June. More informa-tion is available at: www.joiningforces.gl

The Greenland Conference on Minerals and Oil is jointlyorganised by the Bureau of Minerals and Petroleum, theMunicipality of Sermersooq and the Employers Associa-tion of Greenland (GA), and is planned to take place on anannual basis.

Joining Forces 2011:

Greenland Conference on Minerals and Oil

5


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6

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agentiifgaagut Helikopterinik

attartuisitsisinnaavugut Inuttassanik sulisunillu

piareersimasoqarpugutGMS kan tilbyde:

Egen de med pramme

Dykkerarbejder Vrft faciliteter i Qaqortoq Agent for udenlandske skibe Helikopter charter MandskabGMS can offer:

Own eet with barges Subsea work and repair Shipyard in Qaqortoq Agent for foreign ships Helicopter charter Personnel

www.gms.gl Nuuk +299 327913, Qaqortoq +299 647070

Company profileGrnlands Revisionskontor A/S was founded in 2005 in connection with

the takeover of the Greenland branch of PricewaterhouseCoopers. Today,Grnlands Revisionskontor A/S is a member of Revisorgruppen Danmark,

while remaining PwCs preferred partner in Greenland. We serve a widerange of Greenlands businesses within the fishing, manufacturing, trade,

servide and mineral prospecting sectors. With 25 years of experience in thecountry, Grnlands Revisionskontor A/S possesses a thorough knowledge

of trade and tax conditions in Greenland.

Responsible partners:Knud stergaard, state authorised public accountant

Per Laugesen, state authorised public accountant

Brief description of competencies and services

Auditing Taxation Financial advice

Book-keeping Company administration services

Contact informationGrnlands Revisionskontor A/SState authorised public accountants

Imaneq 18, Postbox 3193900 Nuuk

Tel. +299 323 133

[email protected]@grk.gl

www.revisor.gl

www.grk.gl

Grnlands

Revisionskontor A/S

Crude oil is the black organic uid that is most oftenextracted from the subsoil. The nickname black goldoriginated due to the colour of the uid, and becauseoil is extremely valuable. Crude oil apparently originates from high pressureexerted over thousands of years on plant parts andsmall animals that have been decomposed by bacteriaand enzymes in lakes and gulfs close to shore. Crude oilis used as a base for various fuels including gasoline,diesel, and petroleum and today is also used for pro-ducing plastic etc.

Crude oil is a limited resource and, at some point, glo-bal production levels will fall. Marion King Hubbert, theAmerican geophysician, is the instigator of a theory thatpredicts when this will happen. He predicted that globaloil production would peak in 2000. This did not hap-pen, but using Hubberts peak theory, several sources,including geologists from the Association for the Studyof Peak Oil and Gas, as well as USAs military engineer-ing corps, have stated that oil production levels peakedin 2005. If this assumption is correct, the remaining oilin, among other places, Greenland will become evenmore valuable and coveted.

Did you know that about Oil?


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7

O.S. Electronic ApS was ounded in 1982. The main ocus

was then to service the electronic equipment on modern

fshing trawlers, which was a ast expanding market in

Greenland.

Today O.S. Electronics is the main dealer in Greenland

or major ship electronic suppliers in the world, such asFuruno, Sperry Marine, Kelvin Hughes and others. Our

market has gradually expanded on land as well, supply-

ing easy and aordable communication to customers

such as the local fre department and transport compa-

nies amongst others.

Currently we are also the only supplier o equipment

rom CLS and Faria Watchdog in Greenland, which are

the only VMS type approved systems in Greenland at the

moment.

Some o our latest projects include installing and servic-

ing V-sat systems rom Orbit V-sat AL-7103 and Furunoradar 2x17 or M/tr Lomur, installation o complete bridge

system or M/tr Natarnaq and M/tr Akamalik whiledocked in Vigo Spain and installation o Nera Satellite

telephone system on M/tr Paamiut on site in Iceland.

We hope you will fnd our company o interest, matching

your needs, and stand readily available to service you in

the near uture.

O.S. Electronic ApS

Aalisartut Aqqutaat 3 / Fabriksvej 3 Postboks 134 3900 Nuuk Greenland

[email protected] [email protected] [email protected] http://www.os.gl

Phone: +299 323536 Mobile: +299 553553 Fax: +299 322779

O.S electronic Sisimiut

Kapornip Aqq.30 Postboks 1031 3911 Sisimiut

[email protected] Phone: +299 86 33 15 Fax: +299 86 33 15

DNV Certifkat no: MNBGL260-001-2008 DMA Autor. no: 200702317

Company presentation

Your local oil,EnErgY & miningpartnErin grEEnlandBlue Water Greenland is a part of internationalfreight forwarding company Blue Water Shipping,- the most versatile and largest freight forwardingcompany in Greenland.

We are offering all types of transport and logisticssolutions, customs clearance, agency, base facili-ties, offshore container rental and warehousing.

Blue Water Greenland A/S

Nuuk +299 325410

Sisimiut +299 866365

Ilulissat +299 942 210

www.bws.dk


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Fast wealth brings lots of risks. Not only with regardto the environment, but also with regard to an inux offoreign workers. You only have to take a look around theworld to see how bad things can turn out. Multinationalcompanies in the oil and mineral business like to try toinuence political decisions. We are already nding thatcompanies are trying to gain sway by inuencing the pub-lic in general, so it is important that we are ready, shouldGreenland become an oil and mineral nation. And there isfortunately wide political agreement about how we should

prepare for this.This was said by Premier Kuupik Kleist who, as highest po-litical leader, has a special responsibility for the way Green-land, as a nation tackles developments should oil feverreally take hold and gigantic mining projects are realised.Such projects could include Alcoas industrial project for analuminium smelter in Maniitsoq which will bring thousandsof immigrant workers. It is crucial to maintain a demo-cratic grasp if Greenland is to control the development ofsociety. Money must never take control. This would un-dermine our democratic institutions and a well-consideredstrategy for the development of society would go out thewindow, says Kuupik Kleist, who wants to see the mineral

resources sector develop into a leading industry.

An oil fund52-year old Kuupik Kleist, who has a long political careerbehind him, obviously sees better opportunities for Green-land in the future if the mineral industry is able to supplythe treasury with billion-krone revenue. Such an economicboost would make Greenland less nancially dependenton the dominating shing industry and on the annualblock subsidy of more than DKK 3.4 billion from Denmark. With increased revenue from, e.g. the oil industry wewould have more resources to develop and improve aseries of social concerns, including raising the standard of

living where necessary. But it is important that this takes

place through an economic model we can handle. Wehave been inspired by how the Norwegians manage therevenue from their oil industry. It is crucial to have a planfor the management of the economy so that the money isnot spent as soon as it is in our hands. So like the Norwe-gians, we will place the money in an oil fund and only usethe interest the capital earns, says Kuupik Kleist. Like hisfellow politicians in the government, he is not blinded bythe possible jackpot in the underground and investmentsare being made in the education sector as never before.

A safe bet.Greenland has experienced increased interest from theoil industry, particularly after the Scottish company CairnEnergy, which has spent more than DKK 2 billion on oil ex-ploration in Greenland, hit an area during test drilling westof Disko last year with positive indications for oil and gas.- Cairns test drilling has denitely put Greenland on themap, although all the applications in the 2010 licensinground were received before drilling started. The inter-national press has also shown interest in Greenland andwe will, of course, try to exploit this. We will also seek toexpand our international relationships, says Kuupik Kleist.

Sharp debateThe potential Greenlandic oil adventure has attracted greatinterest from Denmark. When Cairn Energy publicised itspromising test drilling results, Dansk Folkeparti was amongcritics of the passing in Folketing of the Greenlandic self-governance legislation that gives Greenland the opportu-nity to keep all oil revenue once, via an allocation formula,the block subsidy has been equalled out. The question is,therefore, what effect any oil revenue from Greenlandsunderground will have on the relationship between Green-land and Denmark when the oil starts to ow. Greenlandmay have achieved self-governance, but no-one has made

a secret of the fact that the ultimate goal is total autono-

Greenland isNOT for saleThe oil industry has taken a fancy toGreenland. But democracy should controldevelopment in society not money fromthe oil industry, states Premier Kuupik Kleist

Be prepared!Corporate Social Responsibility also called CSR is infocus these years and Air Greenland shared its experi-ences at a public meeting held in Katuaq this autumnwith, among others, oil giant Cairn. Air Greenland is aleading company in the business of supplying services tothe mining industry and now to the oil industry and ithas plenty of experience.At the meeting, Hans Peter Hansen and Finn Siegstadfrom Air Greenlands charter department explainedabout the many things businesses have to be aware of,in order to work together with the big, internationalcompanies, e.g. audits, insurance, ISO-certication,international conventions and various laws and regula-tions in different countries.


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my and this requires economic independence. The Danish press and several politicians got themselvesinto a paddy over the small oil and gas discovery. It showswhat effect the prospect of some kind of economic protscan have on the situation. The Danish debate has beenmuch sharper than in Greenland, where people have beenmore focused on their daily lives. It was not a pleasantsight, says Kuupik Kleist.

Present activities

At present, the oil companies have been awarded explora-tion licenses for a total of 20 license blocks. Furthermore,at the time of writing two companies have applied for alicence in Cape Farewell in South Greenland and JamesonLand in East Greenland, which is included in the so-calledopen-door policy where companies can make an offer atany time. But it doesnt end here. In 2012 and 2013 therewill be another licensing round for blocks in the sea off thecoast of North East Greenland.The government-owned Nunaoil A/S has a license shareof 8 or 12.5 per cent of the concessions. If an oil companynds oil in quantities that warrant commercial exploitation,Greenland much reach into its pockets to maintain the 8

or 12.5 per cent share. Depending on whether oil or gas isfound, Nunaoils share of the building of a single oil plat-form with accompanying facilities would be in the regionof DKK 9 billion, evaluates economist and administrator inNunaoil Peter E. Christiansen. 60 per cent of this invest-ment can be covered by interested partners on the basisof expected future earnings. This model has been usedbefore in the oil business. But there are other investmentmodels. Nunaoils license share can be sold wholly or inpart to international oil companies. In addition, it is a basiccondition that the companies must pay corporation taxand dividend tax as well as a progressive prot royalty. Thismeans that the royalty payments to the state will increase

when the prots from oil exploitation increase.

SafetyThe Arctic environment is delicate. An oil spill could havedisastrous consequences for shing which will still be themain industry for a long time yet. Greenland has thereforestrict regulations concerning oil drilling - probably thestrictest in the world.This was shown in practice when Cairn Energy drilled foroil and gas last autumn off West Greenland. The companyconstantly had two drill rigs lying close to each other, so itwould be possible to drill an alternative hole, if there was

an oil blowout. 12 ships were constantly close to the rigs.There was equipment for ghting oil spills and for drag-ging icebergs away, in case the rigs could not stop drillingand move out of the way. During exploration, the courseof almost 150 icebergs within a distance of up to 20 nauti-cal miles from the rigs was changed by the auxiliary ships.The ships were also capable of closing the drill hole if thiscouldnt be done in the usual way. Furthermore, a publiccontingency plan had been established, combining serv-ices from the police, the re department and the healthdepartment, the Bureau of Minerals and Petroleum, CairnEnergy and Greenland Command. Equipment to combatoil spills was placed on auxiliary ships which circled the

drill rigs, while extra equipment was located in Aasiaat. Inaddition, equipment was located in Southampton in SouthEngland which could be set in to combat oil spills in under48 hours. Finally, the license holders provided parent com-pany guarantees worth USD 10 billion before they starteddrilling. These are standard terms for all oil companies whowant exploration licences in Greenland. When you drill in Greenland, you must provide verylarge nancial guarantees to pay for any clean up, saysJrn Skov Nielsen, director for the Bureaus of Minerals andPetroleum.

Christian Schultz-Lorentzen

The rst and the thirdfrom the right are PremierKuupik Kleist and Ministerfor Mineral Resources OveKarl Berthelsen during avisit to Cairns drilling shiplast autumn.


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In May 2009 there was a referendum on whether ornot Greenland should obtain status as a self governingbody within the Danish Commonwealth. This status isconsidered as being the last step before obtaining fullindependence. Two thirds of the votes were in favour ofSelf Government. Greenland is receiving one quarter of its

GDP from the Danish State in the form of a block grant.According to the terms of agreement this block grant isfrozen, i.e. the amount will not increase as more areasof administrational responsibility are moved from Den-mark. Another signicant aspect of the agreement is thatGreenland has obtained full right to its subsoil. This leavesGreenland free to sell off its mineral wealth without havingto negotiate terms of revenue sharing with the DanishState in the now abolished Dano-Greenlandic MineralCouncil.

Greenlands only signicant export commodity consistsof seafood mainly prawn and halibut. The stocks are

depleting though and with plummeting world prices, theearnings forecast is rather gloomy looking.This has naturally spurred politicians - and governmentofcials not the least - to an increased interest in attractingtransnational corporation (TNC) investments mainly in theminerals and hydrocarbon extraction sector. Hydropowerpotentials are also targeted by heavy industry depend-ing on vast amounts of subsidised cheap energy, such asprimary aluminium producing TNCs (e.g. Alcoa Inc).

Allegedly active hydrocarbon systems has been identiedoff the coast of West Greenland in the summer of 2010,and Big Oil is now queueing up to secure exploration

licenses. Additionally, several mining megaprojects arelined up and each of these will have a considerable nega-tive environmental impact. In spite of this, they are seen bymany as inevitable if Greenland is to overcome its nancialtroubles. TNCs with a lengthy history of environmentalabuse are now seeking permission to operate in Green-land, assuring politicians, civil servants and the general

public that they are adhering to the highest ofenvironmental standards, utilising only the new-

est, greenest and best available technologies,ignoring the inherent destructiveness that

characterizes the overall activities of thesecorporations. And disturbingly these as-

surances are overwhelmingly accepted bypolicymakers and civil servants withoutcritical reection.

It appears that elements, which can be labelled as havingtraits ascribable to a neoliberal mindset, in parliament,among the cabinet members and the civil servants, seeswift industrialisation with a minimum of regulation andrestriction as the solution to provide the country with aself-sustaining economy. These elements are promoting

industrialisation solely on industrys terms, using industryslanguage to persuade sceptics in the public sphere aswell as sceptic politicians into accepting industrialisationwithout questioning the validity of the asserted premises.Industry and Government have apparently entered intoan extrasocietal partnership allegedly with the purposeof creating a sustainable economy. But where does thispartnership leave the interests of civil society and theenvironment?

Transnational corporate power has been subject to increas-ing attention, especially since the global nancial crisis hitin 2008. In Greenland this power has become substantially

present, excercising its inuence on societys fundamentalinstitutions as well as on ordinary peoples daily lives. Theproposed Alcoa smelter has already caused several newpieces of legislation and legislative changes, and is seem-ingly making political parties forget all about their policyagendas and praised ethical principles.

The advent of the TNCs and their great plans of industriali-sation have revealed fundamental aws in the perceptionof the concept of democracy among policymakers andcivil servants. Civil servants deliberately manufacture, playdown and distort information about the negative aspectsof several ongoing industrial projects while ignoring voices

of perfectly legitimate concern from the public as well asfrom members of the political establishment. This is a verydangerous development towards a pseudo-democratic so-ciety dictated by corporate interests. Therefore, in Avataqwe believe that it is of utmost importance to halt the megaprojects that are on the planning stage now and initiatea broad public debate about fundamental values such asdemocracy and public participation, because in presentGreenland these are concepts in peril.

By Mikkel Myrup, chairman, Avataq environmental organisation

Industrialising Greenland

12


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3.2 billion kroner.That is the size of the Scottish oil company Cairns budgetfor this years eld season.According to the plan, the company is to carry out testdrilling at up to four locations during the summer season.In addition to this are seismic tests the underground ex-aminations which according to the plan are to take place

in a 4,500 sq km large area.Cairns Commercial and Legal Director, Simon Thomson,assesses that the chance of success lies between 10 and20 percent.The best possible scenario is if we nd oil and gas tosuch an extent that we can exploit it commercially, heemphasises. But realistically, we have between 10 and 20percent change of success.The director expects that the greatest chance of successlies in the Lady Franklin and Atammik blocks to the westof Nuuk, as the company possesses more extensive datafor these areas than for the other two elds that lie to thewest of Disko Island.

All the drill elds are located between 160 and 200 kilo-metres from the Greenlandic coast.Extensive FleetIt is still unclear when the drilling will commence. But theequipment is getting sorted. This holds true for the LeivEiriksson drilling rig, which at the moment is located closeto Nuuk.In addition, Cairns eet this year contains the drilling ves-sel Corcovado, and at least 14 supporting vessels, whichincludes vessels for handling any icebergs moving towardthe drilling areas. In addition there are four transporthelicopters.

It is the second year in a row that Cairn is carrying out testdrilling. In 2010, the company discovered traces of oil andgas in the sea west of Disko Island.Local LabourIn 2010, the drilling season created approximately 50 jobsin Greenland. And Thomson expects the gure to be the

same this year.In addition, the company created a direct, local turnover of158 million kroner in 2010.In these areas, we also expect the situation to be thesame as it was in 2010, underscores Thomson. Fur-thermore, we have launched English courses and safetycourses, and informed the local companies about whichrequirements they must adhere to if they wish to functionas sub-contractors to Cairn.GreenpeaceAt the moment, the environmental organisation Green-peace is monitoring the transport of Leiv Eiriksson, and

activists from the organisation have earlier intercepted thedrill rig. In addition, the inspection vessel Vdderen is inthe vicinity of the drill rig.In this connection, Thomson emphasises that it is theGreenland Commando that decides on the location of theinspection vessel. And that Cairn merely follows the guide-lines laid out by the Greenland Commando.We respect Greenpeaces right to have an opinion aboutthe drilling activities. And any action taken by Greenpeacewill have to be dealt with by the Greenland Commando,and not by us. Our sole focus is to carry out this yearsoperation as safely as possible.

By Mads Dollerup-Scheibel, [email protected]

Cairn Drilling for BillionsAccording to the plan, the Scottish oil company is to carry out test drilling at four locations

13

Facts about Cairns drilling season: Cairn expects to carry out up to four drillings, andthe Greenlandic Autonomous Government has giventhe company permission to drill at seven differentlocations in total.

According to the plan, the drillings are to take placein the Atammik and Lady Franklin blocks to the westof Nuuk, and in the Napariaq and Eqqua blocks tothe west of Disko Island. The seabed in these areaslies at between 288 and 1,530 metres below sea

level. And the drilling areas are located between 160and 200 kilometres from the shore.

Source: Cairn


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14

KK Engros i/s

Brie description ocompetencies and services

Besides food products, we also workvery closely with the following suppliers: Ken storkkken

(kitchenware/furniture)

Brnnum (kitchenware) HW Larsen (kitchenware)

Jysk (bedclothes, furniture, etc.) Nybo Jensen (clothing)

Duni (serviettes/tablecloths, etc.) CC & Co. (disposable

packaging/ofce equipment)

Diversey (cleaning articles/cleaning machines)

Zederkof (furniture)

Contactinormation

Esben KampThuesen

ManagingDirector

+ 299 34 30 [email protected]

www.kkengros.gl

Company profle

KK Engros i/s is a Greenlandic company basedin Nuuk, which is a total supplier to the cateringmarket in Greenland.

We employ 15 people in Nuuk, divided betweenthe main warehouse and the Cash & Carry store.

Since 1982, KK Engros i/s has been sending

goods all over Greenland, from warehouses inboth Denmark and Nuuk.

We supply goods to restaurants, crches, kinder gardens, canteens, retirement homes, discotheques,hotels, ships and the mining and oil industry.

KK Engros i/s is a total supplier of food/provisionsin which we solve all our tasks in close co operationwith our owners, Food Service Denmark, and Pisifk.

Kalaallit Forsikring Agentur A/S(If Insurance Agency Greenland)

Industrial,Commercialandprivate

insurancesolutionsofallkind.

GreatexperienceinGreenland

ExperiencewiththeMineralSector

Languages:Danish,English,

GreenlandicandGerman.

KalaallitForsikringAgenturA/Sisa

privateownedinsuranceagencycom-

pany.WeoperateinGreenlandincon-

tractwithIfInsurance,theleadingP&C

insurancecompanyintheNordicand

theBalticcountries.

KalaallitForsikring,isawellknown

brandinGreenlandandtogetherwith

IfInsurancewehavebeenoperating

inGreenlandformorethan100years

andthereforehasgreatexperience

withGreenlandicculture,infrastruc-

ture,geographyandnature.

OurheadofceisplacedinNuukthecapitalcityofGreenlandbutweare

alsorepresentedwithofcesinSisi-

miut,IlulissatandQaqortoq.

Weadviseinanddistributeallkinds

ofinsurancesolutionstotheprivate,

commercial,industrialsegment.

KalaallitForsikringAgenturA/S

SipisaqAvannaleq1,Postboks1071

3900Nuuk

Tel:+299701243

Fax:+299324240

E-mail:[email protected]

www.forsikring.gl

Henrik Srensen

CEO

Cell:+299557446

Michael Linfos

SalesManager

Cell:+299552232

Yourpartner

inGreenland


15/40

Municipality of Qaasuitsoq - Greenlands best municipality for mineral resource activities

Whether you are looking for the best location for aplant on land or establishing contact with the localabour force, Municipality of Qaasuitsoq will provide

targeted assistance.

www.qaasuitsup.gl [email protected]

MINERAL RESOURCESCOOPERATIONPOTENTIALS


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Facts about Rare Soil TypesRare soil types are a col-

lective name for 17 differ-ent substances (soil types ormetals). Rare soil types are

completely common and can befound everywhere on the globe, but

because of great differences in theconcentration of the soil types, mining is

only protable in a few locations. In China,labour is extremely cheap, and therefore mining

is protable. There are production facilities in the USA,

but to a much lesser extent. Mining companies are now mak-ing a concerted effort to extract rare soil types in Greenland, Canada,

Australia, and South Africa.Rare soil types are required for the high-tech components used in wind

turbines, batteries for hybrid and electric cars, electric engines, low-energy pumps, lasers, bre-optic cables, mobile phones, at-screentelevisions, and low-energy bulbs. At the same time, rare soil types

have a number of other areas of application.The rare soil types are in particular in demand in green products,

because they have a better magnetic capability than other metals.This means that it is possible to create lighter products with the same

magnetic capability.Siemens for example uses up to two tonnes of rare soil types for mag-

nets in the generators of each and every one of its windmills withoutgears. Siemens has its magnets produced in China.


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17

Chinas monopoly on rare soil types is vexing the EU, whichwants access to the rare soil types. The extensive lobby-ing work for which Brussels is known has been launchedhead-on. The civil servants of the European Commissionand its parliament are working with determination to setup a trade agreement with Greenland on rare soil types.All communication formal and informal is of impor-tance to the lobbyists in Brussels. For this reason, the EUParliaments committee meeting on 13 April on Green-lands soil types was an important part of the process. TheEuropean Commission is planning a high-level meeting onthe 14 rare soil types.

Mattia Pellegrini, the representative for the EU Com-missioner for Industry, Antonio Tajani, said at the Aprilmeeting that the European Commission is taking the issueregarding the rare soil types seriously. For this reason, theEU Commission is in collaboration with the G20 whosechairmanship at the moment is under the auspices ofFrench President Nicholas Sarkozy planning to hold aconference on 14 June on the challenges the EU is facingin regard to the rare soil types. EU Commission ChairmanJose Manuel Barosso will open this meeting.Last year, a similar G20 conference was held in Africa.During the EU meeting, the heads of the business commu-nity presented their view on the trade situation pertaining

to the rare soil types. Adrian van den Hoven, Director for

International Relations in Business Europe, which is head-quartered in Brussels, questions whether the current EUtrade activities in the Arctic region are sufcient.There is a focus on shery-related trade, but the EUshould prioritise the trade possibilities as relates to rawmaterials, said Van den Hoven, who expressed his dis-satisfaction with Chinas monopoly.This monopoly must be broken, he told the audience.Flemming Knudsen, a member of the board of Canadianmining company Hudson Resources, talked during themeeting about the companys present activities and experi-ences in Greenland. At the same time he suggested that

the EU needs to work within several areas.Knudsen expressed a need for EU help within severalareas. He argued that The EU can support the mining com-panies operations by guaranteeing future customers, andthat it can create a dialogue between the mining compa-nies and buyers in the EU.There is also a need to review the nancial resourcesof the infrastructure, which must be based on normalbusiness conditions, added Knudsen, who appeared tobe indirectly requesting the EU to provide funding to themining companies.

By Rosa Thorsen

International Politicsconcerning Rare Soil TypesThe G20 countries are meeting to discuss rare soil types


18/40

18

Bringing Greenlandcloser to the world!Great connections from Europe and North-America via IcelandAir Iceland yes directly to Nuuk, Narsarsuaq, Kulusuk, Illulisat and Constable Point. We bring Greenland

closer to every Icelandair destination: e.g. New York, Copenhagen or Paris.

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ook your ticket online: airiceland.is

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19/40

19

Local advisor witha world of expertise.

In Greenland, we have three ofces, making us the largest accounting and

advisory services frm there. We provide a wide range o audit and advisory

services to all sectors and companies both to existing and emerging

businesses in Greenland and the North Atlantic area.

Please contact Claus Bech at +299 34 38 25 or [email protected].

Member of Deloitte Touche Tohmatsu Limited

LOCAL SERVICE

NATIONWIDE


20/40

20

The Scottish oil company Cairn searched for oil and gas inthree wells in Bafn Bay during the summer of 2010. Eventhough none of the wells contained anything of any com-mercial value, which made Cairns share value plummet,the wells are nevertheless worth money.

The question of whether oil drilling in the Arctic is nothingbut hype, or the market of the future, is giving the oil bar-ons grey hair and worry lines. Nobody knows for sure. Notleast because the knowledge of the amounts in and acces-sibility to the Greenlandic oil basins is extremely limited.

For this reason, the oil companies are hungry for moreknowledge. Several of them have contacted Cairn in order

to purchase the companys Greenlandic well data andinformation from their seismic tests. Cairn refuses to sell.Our greatest competitive edge is that we are a rstmover. Our data is of great value, and we plan to protectit, states Simon Thomson, Legal and Commercial Directorat Cairn.

He does not wish to reveal which companies have beenin touch. However, this summer it was in particular Dongfrom Denmark who in the Danish newspapers expressed agreat interest in acquiring Cairns seismic analytic material.

By Mads Nyvold, [email protected]

The Secrets of the SeabedThe oil companies are hungry for knowledge about what lies in Greenlands subterranean areas


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21

Greenland is still in the early stages of developing its

oil and gas sector, and the local companies have yet toacquire the knowledge and facilities required to carry out acomplete drilling programme. There will be new opportu-nities for people in Greenland, and for foreigners with theright qualications.

According to the newspaper The Chronicle Herald, thiswas the statement made by Daryl Johnson, Procurementand Logistics Manager at Cairn. This statement was madeat an industrial conference in the Canadian province ofNova Scotia, which had been arranged by the local areaassociation for offshore and onshore technology compa-nies.

Several companies had shown up to hear about the out-

come of the attempts made by Scottish company Cairnthis summer to nd oil in Bafn Bay. And not least to hearabout Cairns plans for 2011.

According to The Chronicle Herald, Johnson stated thatthere are enormous possibilities in Greenland for operatorsthat have the necessary qualications. He mentioned thatCairn, in the 2010 drilling season, for the most part usedmanpower and companies sourced from its bases in GreatBritain, but that Cairn is intent on working with and enter-ing into partnerships with Canadian companies in connec-tion with the 2011 oil drilling season.

By Mads Nyvold

Cairn Lures Foreign WorkersThe Scottish oil company is intent on entering into Canadian partnerships for this years drilling season

Workers from abroad see goodemployment possibilities in Green-land thanks to the budding oiladventure.


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22

Knowledge.Growth.Enthusiasm.Qeqqata Municipality is your natural platformfor business growth and development.

We are at the heart of Greenland and ourindustries are deeply connected with strong

traditions of education and entrepreneurship.

QEQQATABUSINESS COUNCIL

QEQQATAMUNICIPALITY

www.qeqqata.gl

+299 32 87 03 [email protected] www.nunaoil.gl


23/40

Europes one andonly base port forGreenland...Port o Aalborg - the base port or Royal Arctic Line

and their weekly departure to and rom Greenland.

A modern and fexible port with acilities or handling

all kinds o cargo. From heavy and complex project

cargoe to containerized cargo. Port o Aalborg is con-

nected to the international container network with

eeder and connects Greenland to the whole world.

Port of Aalborg Ltd. Tel. +45 99 30 15 00

[email protected] www.portofaalborg.com

Port of Aalborg

57o 0350 N, 10o 0320 E

- Strong on logistics and cooperation

Licensing Rounds offshore Greenland Sea 2012 and 2013

As authorised by the Government of Greenland and the DanishGovernment and within the framework and terms of the Act onMineral Resources in Greenland, Act No. 335 of 6 June 1991with subsequent amendments, cf. Consolidated Act No. 368 of18 June 1998, the Bureau of Minerals and Petroleum (BMP) isinitiating a Licensing Round for an offshore area in the Green-land Sea Area.

The licensing round in the Greenland Sea Area will follow a two-phased procedure that consists of a pre-licensing round and anordinary licensing round.

The conditions for the pre-licensing round and an ordinarylicensing round are stipulated at www.bmp.gl

Pre-Licensing Round for consortiums with participationof KANUMAS Group companies

On 1st May 2011, the Greenland Government has determinedand announced the designation of the 50,000 km2 licensingarea for the 2012 and 2013 Licensing Round.

On 1st January 2012, the Greenland Government shall deter-mine and announce the designation of the Pre-Licensing RoundArea of 30,000 km2.

Deadline for submission of non-obligating Pre-Qualicationapplication is on 1st March 2012.

Deadline for licence applications in the Pre-Licensing Round ison 15th December 2012.

Ordinary Licensing Round round open to all interestedparties

After completion of the Pre-Licensing Round, those parts of thetotal area of 50,000 km2 which are not covered by licences shallbe offered in the subsequent Ordinary Licensing Round.

Deadline for submission of non-obligating Pre-Qualicationapplication is on 1st July 2013.

Deadline for licence applications in the Ordinary LicensingRound is on 15th October 2013.

For more information se www.bmp.gl

Bureau of Minerals and Petroleum


24/40


25/40

25

The ink on the seven oil licences for Bafn Bay, whichNaalakkersuisut member Ove Karl Berthelsen of the RawMaterials Committee signed at Christmas time, is barely

dry, and yet Greenland is ready for the next big leap in thehunt for the black gold in the subsoil.

In 2012, the Greenland Autonomous Government willbe tendering large sea areas in northern Greenland in abidding round, and because of the weather conditions,these areas will set new standards for the oil hunt. Some202,075 square kilometres an area nearly ve timesthe size of Denmark. Today, an area of comparable size isalready covered by the 20 licences that have been issuedfor the prospecting and exploitation of oil and natural gasalong the west coast.

The rst mover is the Scottish Oil Company Cairn with 11licences, and the company has planned four test drillingsthis summer, partly off the coast of Nuuk, and partly offthe coast of Disko Island/Nuussuaq Peninsula.Cairn has taken over the Lady Franklin and Atammiklicences from the Canadian company EnCana, which hasgiven up oil prospecting in Greenland. And Cairn now hasthe state-owned Malaysian company Petronas as a partnerin six of its 11 oil elds.

The national oil company Nunaoil has an owners sharein all the 20 licences. The company is a rst-tier partner this means that Nunaoil only becomes nancially involved

when a commercial nd is put to production.

The Basalt Is Acting UpSeven elds in the waters west of Disko Island/NuussuaqPeninsula, where Cairn carried out three test drillings

already last year, are up for grabs.

A number of other oil companies also have licences in thisarea of the Davis Strait, and over the last number of years,many kilometres of seismic data have been collected.

Several of the companies have problems interpreting theseismic data because of the large amounts of basalt, Nu-naoils director Hans Kristian Olsen told Sermitsiaq. Theselarge amounts of basalt make it difcult to interpret whatlies beneath these volcanic rocks.

On 2 December, seven licences for Bafn Bay were allo-

cated to a number of oil companies.

The permissions came so late that it hasnt been possibleto hire ships for the seismic investigations this year, revealsOlsen.

The companies are presently busy interpreting the alreadyexisting data on Bafn Bay, and planning the activities forthe 2012 eld season.

On the next page you will nd Nunaoils map of the oilelds surrounding Greenland.

Kurt Kristensen, [email protected]

Next Stop North-East GreenlandThe oil licences along the west coast cover 202,075 square kilometres

The Director of the Raw Materials Directorate, Jrn Skov Nielsen,Ove Karl Berthelsen of the Naalakkersuisuts Raw Materials

Committee, and Nunaoils Director Hans Kristian Olsen during thesigning of the seven licences in Bafn Bay.


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26

-The frst choice in Arctic business

Anywhere!

Arctic Business Network Secretariat Denmark

Boulevarden 13 DK-9000 Aalborg

Tlf. +45 99 31 15 70 [email protected]

www.arcticbusinessnetwork.com

Arctic Business Network Secretariat Greenland

Aqqusinersuaq 8/901 Postboks 317 GL-3900 Nuuk

Tlf. +299 31 39 18 [email protected]

www.arcticbusinessnetwork.com

Arctic Business Network established in 2006 and represent-

ed in Greenland, Denmark and in Brussel. Business in the Arc-tic has developed rapidly since 1972, where members o the

network had their rst challe nges. Counting various branches

worldwide, the efective network today comprises more than

8.000 employees divided between 60 members.

Reliable partners in business projects

Large or small scale consortiums Consultancy assignments

Construction Catering IT/Communication

Environmental Technology Logistic Transport Energy Crew

The BANK of Greenland is the largest and oldest bank in Greenland. Our strong nancial performances

go years back. We have years of experience and great expertise in servicing Greenlands industry and

commerce.

We offer highly competent nancial advice in our home-language as well as English. We have our ears

on the ground in Greenlands business life no matter geography or sector.

We have up front knowledge of the new business opportunities, including the industries of mining and

raw materials.

We strive towards fast service and exible solutions at competitive prices.

Therefore, we are sure that we can help you in almost any banking matter, if you are interested in doing

business in Greenland

Call or write us for a non-committal talk.

Sincerely,

The Business Department

Doing business in Greenland ?

The BANK of Greenland

Tlf. +299 70 1234

www.banken.gl

We were founded in 1967.

We are traded at OMX Copenhagen Stock Exchange.

We are present in ve major Greenlandic cities.


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27

New Company profile on www.businesscatalog.gl

KITAA Architects architecture firmBranches in Nuuk, Sisimiut, Ilulissat and Qaqortoq

KITAA Arkitekter has over 50 years experience in Greenland,

primarily with design and construction. The Company has an

extensive local network and knowledge with a global outlook.

KITAA Arkitekter has a long history of working with local and

international private and public companies: Government of

Greenland and municipals, Air Greenland, the Government of

Denmark, The Republic of Singapore and US Air Force. The

Practice has been architectural advisor for US Air Forces

bases in Greenland.

KITAA Arkitekter has been involved in a wide range of

disciplines, from urban planning, construction projects and

designing to project management and supervision.

Planning and development

Design and Interior design

Project management and supervising

Prefab construction

Energy saving, Sustainability and Quality Assurance

KITAA arkitekter Qaqortoq

Storesvej B-782

Postbox 440

3920 Qaqortoq

Tel: (+299) 641431

Fax: (+299) 641432

[email protected]

KITAA arkitekter Sisimiut

Kunuuteralaap Aqq. 1

Postbox 229

3911 Sisimiut

Tel: (+299) 863008

Fax: (+299) 863009

[email protected]

KITAA arkitekter Nuuk

Kissarneqqortuunnguaq 7

Postbox 908

3900 Nuuk

Tel: (+ 299) 311737

Fax: (+ 299) 311738

[email protected]

KITAA arkitekter Ilulissat

Qupaloraarsuk 56

Postbox 1006

3952 Ilulissat

Tel: (+299) 942090

Fax: (+299) 942091

[email protected]

Wichmann Arkitekter

Copenhagen

Nrrebrogade 26, 5. Sal

2200 Copenhagen N

Tlf: +45 35356500

Fax: +45 35356511

[email protected]

KITAA Arkitekterwww.kitaa.gl

We handle a vast variety of tasks

and have extensive local knowledge

within most fields of society

We are part of Greenlands largest professional network,

specialized in management- organizational- and HR development.

We are experienced in planning conferences, seminars

and events.

With 20 years of hands on experience in the local mining

industry, we have the network and the insider knowledge to

assist companies in navigating within the cultural, social,

economic and political complexities associated

with developing and operating projects.

www.kompetencekompagniet.gl

Phone: +299 383838

E-mail: [email protected]

The GreatPerspective

We are a locally based consultancy

company with an ofce in central

Nuuk. We provide consultancy

services within:

Environmental and social

matters

Design and planning

o buildings and inra-

structure

Water and waste water

Working environment

- Anchored locally

Orbicon Grnland provides consul-

tancy services to a number o mining

companies, developers and decision

makers. In collaboration with industry

and authorities we provide baseline

studies and Environmental Impact

Assessments.

Orbicon GrnlandJens Kreutzmanns Vej 14Nuuk........................................www.orbicon.glpmje@orbicon.gl


28/40

No one knows what our future is going tobe like. This is new for all of us, and we needto learn from everything we do, Karl PeterHansen, 24, said of the hunt for oil of Green-lands western coast.Hired as new offshore coordinator by ArcticBase Supply in June, Hansen says the job is anexciting, if not challenging, one.We start working at 8am and you neverknow how the day is going to turn out. Thingschange all the time. Yesterday, for example,

a ship was supposed to arrive, but it was lateand we needed to change our plans.Hansen is originally a longshoreman, as well ashaving experience as a sailor aboard the train-ing ship Denmark and the Orasila.I took the chance and applied when I sawRoyal Arctic Line was seeking an offshore coor-dinator, Hansen said. I got the job, and tookit even though I was offered a trainee positiononboard the Orasila.Hansens father and grandfather were bothseamen, and their experiences played an im-portant role in his decision to give up a career

at sea.My dad always said to me that sailing andfamilies dont mix. I thought a lot about whathe said before I took the job.And even though hes still learning the ropesof his job, Hansen can already say he likes it.Its really exciting to be a part of the wholehunt for oil, even if we are only a small part ofit. Ive learned a lot, both professionally andpersonally. We only use English on the job, andIm sort of the go-between for Royal ArcticLines employees and Cairn Energy.He describes the Scottish people hes worked

with as helpful and nice.Hansen says much of the job has to do withservicing ships once they arrive by making surethere are enough people to load and unload,nding a berth and making sure it has enoughsupplies.There are a lot of different things to do, andwere all busy. No one is sitting around twid-dling their thumbs. Cairns employees havebeen especially busy. Sometimes it seems likethey never stop working.

By Irene Jeppson

This is newfor all of usNot knowing what the day will bring makesgetting up in the morning extra exciting foroffshore coordinator Karl Peter Hansen

Its really exciting to be apart of the whole hunt for

oil, according to Hansen. IRENEJEPPSON

28


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29

Inuit leaders from Chukotka (Russia), Alaska (US), Canadaand Greenland met in Ottawa in February to discuss theissues of Oil and Gas Exploration and Exploitation in theArctic, Mining and Impact Assessments.The Summit resulted in A Circumpolar Inuit Declarationon Resource Development Principles in Inuit Nunaat. TheDeclaration will be signed by the ICC Chair Aqqaluk Lynge,

and the ICC Vice Chairs Duane Smith (Canada), Jim Stotts(Alaska) and Carl Christian Olsen (Greenland) at thepresentation in Nuuk on May 11th, 2011.ICC was mandated to facilitate the Summit by the ICC2010 General Assembly, which recognized theArctics great resource wealth, the increasing globaldemand for the Arctics minerals and hydrocarbons, thescope and depth of climate change and other environmen-tal pressures and challenges facing the Arctic. Thus, Inuitdecided to continue advocating for respectfulness of theingenuity, resilience and wisdom of previous generationsof Inuit, be condent of the ability of every generation ofInuit to adapt to change, and to be determined to provide

for the material and cultural well-being of Inuit into thefuture.The Declaration of Principles sets the minium standardsInuit wishes state governments, regional governments,corporations and other resource development actors tofollow.A Circumpolar Inuit Declaration on Resource Develop-ment Principles in Inuit Nunaatwill be presented at alaunch event in Nuuk on May 11th at 17:00h to 18:00hin Katuaq Friendship Hall. ICC Chair Aqqaluk Lynge andICC Vice Chairs Duane Smith, Jim Stotts and Carl ChristianOlsen will attend the presentation of the Declaration.Languages used at the press conference will be Kalaallisut,

Danish and English.

For further information, please contact:ICC Chairs OfceAqqusinersuaq 3, 1 +299 32 36 323900 Nuuk www.inuit.org

Launch Event Programme:17:00h Welcoming by ICC Chair Aqqaluk Lynge

17:10h Signing Ceremony

Signatories:Aqqaluk Lynge, Chair, ICCDuane Smith, Vice Chair, CanadaCarl Christian Olsen, Vice Chair, GreenlandJim Stotts, Vice Chair, Alaska(Tatiana Achirgina, Vice Chair, Chukotka)

17:20h Presentation of the Declaration17:30h Q&A18:00h Press conference and launch event ends

A Circumpolar Inuit Declarationon Resource Development Principles in Inuit Nunaat

Presentation and Launch Event17:00h 18:00h May 11th 2011Katuaq Friendship Hall Nuuk

INUIT CIRCUMPOLAR COUNCIL INUIT ISSITTORMIUT SIUNNERSUISOQATIGIIFFIATICC HEAD OFFICE AQQUSINERSUAQ 3, 1ST FLOOR P.O. BOX 204 DK-3900 NUUK PHONE +299 32 36 32 FAX +299 32 30 01 WWW.INUIT.ORG

Participants at Inuit Leaders Summit, Ottawa


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30

Arctic Import A/S Tagholm 12 9400 Nrresundby Phone +45 96 32 19 00 Fax +45 96 32 19 10 [email protected] www.arcticimport.dk

Arctic Import A/S Industrivej 14 3900 Nuuk Phone +299 32 32 13 Fax +299 32 23 73 [email protected] www.arcticimport.gl

A STN PATN F TININ AN FFSINST IN NAN

Arctic Import Ltd. is a Green-

landic/Danish trade and service

company, with more than

30 years of experience withdelivering goods to the worlds

geographically most remote

areas where our competences

within logistics are at their best.

Our core competency within

the special functions of logistics

is an extensive knowledge of

the challenges to be encounte-

red in the Greenlandic markets.

Arctic Import offers a wide and

up-to-date trade platform with

a deep range of quality pro-

ducts and concept solutions.

As a total food and equipment

supplier to the mining and

offshore oil and gas industry,

we cover your needs and

demands within our business

areas.

It is always swift, easy and

reliable to trade with us!

Supplier to the Oil and Gas IndustrySupplier to the Mining Industry Supplier to Ships and TrawlersSupplier to Camps

kitchen facilities

Cooking- and Frying Equipment,Ovens and Ventilation

Hardware

Laundry Solutions

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An oil adventure only begins once oil has been found, anda decision has been made to extract it. If that happens, itis good for Greenland.Of course we would like to have an oil harbour inSisimiut, says Qeqqata Kommunias Mayor, HermannBerthelsen.But we also nd that we have solid arguments when itcomes to determining where in the country to place it, and

why Sisimiut would be the natural choice: Sisimiut is ice-free and always easily accessible.Berthelsen points to where the oil harbour could be lo-cated, at the approach to 1st fjord. The area here is opentowards the sea in the north, and towards the west thewater is shallow and lled with reefs and easy to ll.So the area surrounding the oil harbour would be largeand suitable, he says.But the plans also indicate the possibility of a smallerharbour in Akia, not far from the bridge and airport accessroad.The dream scenario politically and commercially alsoincludes the road to Kangerlussuaq.

The Atlant Airport in Kangerlussuaq should of course not

be shut down (Editors note: as recommended in the trans-port commissions report). Rather there should be a roadto connect Kangerlussuaq and Sisimiut with the airport inSisimiut and a future oil harbour.The physical framework is perfect, and the plan is on thetable, says Berthelsen.

Local Labour

Regardless of large or small, the oil harbour should be builtusing local labour, according to Berthelsen.Of course the workers in Sisimiut can build a harbour. Ido hope that the local employers are well equipped for thetask, he says.And it would be better for them to nd out whether theyare today, rather than tomorrow. It is the employers whoare to organise the project. Competition is a good thing,and might result in employers pooling their efforts to solvethe tasks. I sincerely hope that local companies will win thetender bid for an oil harbour, or that whoever does end upbuilding it chooses to use local labour.

Text and photo: Marianne Langvardt

Room for a Large Oil HarbourAnd for a smaller one. There are several possible locations,both close to Sisimiut by Akia, and at the approach to 1st fjord

A larger oilrbour could beocated at theapproach to

1st fjord. Hermann Berthelsen encouragesthe business community to be

prepared to build an oil harbour.

(Avannaat Nord) The cross-hatched area furthest to the right (area B2) is the suggested location for a smaller oil harbour.

3232


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Perhaps it will become the growth segment of the future.Perhaps not at all.But if the oil companies nd protable oil basins, andif they need workers in a harbour within the municipalborders of Qaasuitsup Kommunia, the local labour forceshould denitely not be lacking in qualications.Qaasuitsup Kommunia has already had two groups partici-pate in an offshore-related basic course.For the rst group, the municipality found that the numberof places offered on the course in no way matched thedemand. Thirty-ve people had applied to participate inthe offshore course, which only admitted 15. For the nextcourse, the number of places had been increased, whichmeant that 26 people were admitted to improve their

qualications within the offshore segment. The partici-pants come from, among other places, Ilulissat,Upernavikand Uummannaq. They have been studying for 744 hoursto learn colloquial and technical English, rst aid underArctic conditions, about work environment and safety asrelated to offshore and onshore, and to obtain their driverlicenses for regular vehicles, as well as for forklifts andcranes.Piareersark Aasiaat is the coordinator of the course, andthe collaborating partners are Qaasuitsup Kommunia, theAasiaat School for Iron and Metal, RAL Aasiaat, Sisak Te-knik, AMU-Center Esbjerg and local businesses in Aasiaat.

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Offshore courses in great demandQaasuitsup Kommunias basic courses for the oil industry are in great demand

Continuing educationcourses within

the offshore businessare popular

33


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Brndum Grnland A/SLarge capacity within complex technical installations and operation.

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We wish to maintain a high service level in Brndum Grnland A/S, and the positioning of our de-partments in Greenland proves this.

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36

The environmental debate in Greenland is now not onlymarked by how climate change is impacting on nature.More opportunities to navigate non-measured waters and,not least, the expected status as oil country have placedthis debate in an entirely new perspective. The Arctic areasare also receiving an increasing amount of attention frominternational bodies such as the EU and the Nordic Councilof Ministers. For this reason, Arteks research and, notleast, its focus on a collective plan for combatting oil pollu-tion in the region have aroused great interest in the entireregion.

On 25 February, Sermitsiaq published an article on com-batting oil pollution in icy waters. In this connection, JanneFritt-Rasmussen PhD accounted for a particular methodfor burning the oil on site - the efciency of which she hasdocumented through extensive studies in the Barents Sea.The burning of oil is a quick process, and once the re hasbeen put out, up to 90% of the pollution on the oceansurface may have disappeared into the air. Both this meth-od and the Center for Arctic Technologys general researchhave caused a stir far beyond the borders of Greenland.

The EU and the Nordic Council of Ministers are nowworking on establishing a collaboration on sustainability,environment, economics, and societal development in the

northernmost regions of the globe. In this connection, ameeting was held on 8 April for members of the EuropeanParliament and civil servants in Brussels, where a numberof experts gave a brieng on the special challenges in theArctic societies.One of these experts was Professor Arne Villumsen, whoaccounted for the burning method mentioned above,which has been developed in collaboration with SINTEF inNorway. However, he primarily argued the case that thismethod should be just one tool in an overall contingencyplan. A plan which Greenland through Artek has thepossibility to spearhead.

Environmental Pollution Does not Stop at National BordersThe information from ARTEK was very well-received inBrussels, recounts Villumsen. Not just Greenland, butthe entire Arctic Region must be much better preparedto counter pollution issues. We must be realistic, and thequestion is therefore not whether the waters surroundingGreenland will be subject to oil pollution or not. Becauseit will happen at some point or another, just like in otherparts of the world. What is paramount is to what degreewe are ready to handle a spill, whether this occurs froma drilling rig or a vessel. And as we know, environmentalpollution does not stop at national borders. It is thereforenecessary to draw up a thorough plan that covers the

International Praise for

Arteks Plans for Collaborative Effort

Professor Arne Villumsens lecture inBrussels was met with great interest.


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37

entire region, and in Brussels we were met with greatreceptiveness when we talked about our work in this area.This includes the plans to establish ve Arctic centres, whothrough a longer time period are each to work within theirsubject area. These ve centres are: Sustainable arctic mining and oil/gas exploitation, where

the burning method mentioned above accounts for oneof the focus areas.

Sustainable Arctic energy production. Arctic energy efcient buildings.

Arctic infrastructure. Arctic waste management.

The Nordic Council of Ministers in particular emphasisedthat we were not merely presenting a couple of stamps.What it meant by this is that many projects are presented,which might be interesting to examine closer, but whichaccording to the council only makes sense if they areviewed in connection with other projects. It is precisely thefact that we at ARTEK are pushing for a more cohesive ef-fort through the ve Arctic centres, which has caught theattention of the EU and the Nordic Council of Ministers. AsI said, I see the combatting of oil pollution as one of the

many elements that belongs in the centre that will workon sustainable mining and on the exploitation of our oiland gas deposits, perhaps in collaboration with the Centrefor Arctic Infrastructure.

We have a lot of individual, disseminated research onArctic conditions, but it is high time that we coordinateour efforts. If we can realise our plans, there is an actualpossibility for a real breakthrough. The Nordic Council ofMinisters avidly supported our viewpoints, so togetherwith, among others, Inuuteq Holm Olsen, a director ofthe Greenland Autonomous Government Foreign Ofce,we discussed these issues with both the Nordic Council of

Ministers and the EU.In particular, the EU found it positive that we are dealingwith concrete suggestions for action and not just words.At the moment, the EU is working on a type of actionplan, which is to be used to determine which focus areasare worthy of support. In this area, they also expressedinterest in a collective and tangible effort. It is my impres-sion that both the EU and the Nordic Minister of Councilsare having a hard time assessing which individual projectsto fund. For this reason, they are looking for a proper andthought-out plan on which the Arctic countries can agree.This is a very signicant and extensive task for Artek, butI am also of the opinion that we have all the prerequisites

to solve it, and at the same time represent Greenlandsinterests in the best way possible. It is a huge task to drawup a contingency plan that is to encompass an enormous,international body of water. But ARTEK employs profes-sional specialists within a number of areas, who have thetechnical insight required. Janne Fritt-Rasmussen is one ofthem.

As a university, we are obliged to cover all aspects withineducation, research, innovation, and consultancy servicesfor a number of different issues. Through this we have de-veloped skills that may be instrumental in placing Green-land on the research-related world map when it comes to

Arctic technology.

Michael Binzer: Artek has documented its worth for 10years

Air Greenlands CEO Michael Binzer is Arteks SteeringGroup Chairman (which corresponds to the role of Chair-man of the Board). He also sees great perspectives in anoverall and coordinated effort for the entire Arctic area.

In my opinion, the meeting in and feedback from Brus-sels clearly shows that there is a need for ARTEK, and atthe same time indicates the value of a collective effort toheighten the level of sustainable development in the Arcticarea, Michael Binzer tells Sermitsiaq.It is particularly uplifting that there is now focus on thetechnological possibilities, and not just as it has been un-til now the biological tests and research projects. Artekhas in the last 10 years proven its value, and the time isnow ripe to apply this competency within all the excitingdevelopment areas being made available to Greenland.Here I am in particular hinting at the search for miner-

als and oil, which require development and training, andwhich Artek can help to implement locally and nation-ally.

Binzers opinion is fully supported by Senior Advisor PeterHansen from the Chairmans Department in the Autono-mous Government.

Sermitsiaq will report on the actual contingency plan oncepolitical decisions have been made, international fundinghas been obtained, and concrete results are ready to bepresented.

By Finn Jrn Jakobsen

Janne Fritt-Rasmussens results have shown that the chemical

composition of oil, and in particular its ability to create water inoil emulsions, is a signicant contributing factor to how long anoil spill is ammable. She will be lecturing on the subject at

the oil seminar in Sisimiut at the end of this month.


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Joining Forces 2011:

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oil minerals 1

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