NunaMinerals A/S, which is looking for gold in Greenland, rose to the highest price in 19 months in Copenhagen trading after the arctic island passed a law making it easier for its mining industry to attract foreign labor.
NunaMinerals rose as much as 16 percent to 220 kroner, the highest since May 2011, making it today’s biggest winner in the Copenhagen all-share index. The stock advanced 15 percent to 217 kroner at 10:26 a.m. in the Danish capital with trading volume at 180 percent of the three-month daily average.
The legislation, which was passed late Dec. 7, aims to make it easier to complete large-scale projects by reducing labor costs based on international wage levels, Greenland’s government said in a statement. NunaMinerals, which is based in the island’s capital city, Nuuk, is developing more than a dozen mining prospects on the island, including deposits containing gold, diamonds, rare earth minerals and copper.
Greenland’s Industry Minister Ove Karl Berthelsen met with the China Development Bank and members of the Asian country’s cabinet last month to discuss mining projects. Greenland, which is part of the Kingdom of Denmark, relies on income from fishing and subsides from the Danish government for most of its economy. Its government has invited mining companies and oil explorers over the past decade to help tap its natural resources as it seeks to diversify its economy.