Rare Earth Elements Letter

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INVESTMENT ALERT August 2012

www.ggg.gl

Greenland Minerals and Energy Ltd. (A$ 0.39)

ASX OTC.US H+L prices (12 months) Net issued shares Fully diluted Market capitalization Next price target: A$ 1.50 : GGG : GDLNF : A$ 0.732 0.34 : 416.4 million : 440.6 million : A$ 160.3 million

INVESTMENT ALERT
Greenland Minerals and Energy (GMEL) finalises full ownership of Kvanefjeld Multi-Element Project
GMEL announced that it has finalised an agreement with Westrip Holdings (Westrip) and Rimbal Pty to complete the acquisition for the outstanding 39% of the exploration licence (EL 2010/02) that contains the Kvanefjeld, Srensen and Zone 3 deposits, with an equity-based transaction. In order to complete the transaction, GMEL was required under the original agreement (August 2011) to pay A$ 39 million in cash to Westrip/Rimbal, in addition to issuing 7,825,000 shares, and 5 million options exercised at A$ 1.50. Under the new equity-based terms, the cash component of the agreement can be finalised through the payment of A$ 5 million to Westrip/Rimbal, in addition to issuing 67 million ordinary shares in GMEL, priced at A$ 0.45 per share. The equity component of 7,825,000 shares from the original agreement remains, taking the total number of shares issued to complete the transaction to 74,825,000. The agreement is subject to shareholders approval with completion scheduled for 5 business days following approval.

Rare Earth Elements Letter International

Special Situation August 2012 Investment Alert

Post-finalization the shares issued in order to complete the acquisition of the outstanding 39% of the Companys core asset, the Kvanefjeld multi-element Project will represent 15.4% of the Companys issued capital (not inclusive of the required A$ 5 million cash payment). The board of GMEL believes that the terms outlined above represent a highly favorable outcome, and one that offers the least-dilutive path to finalizing the acquisition of the outstanding 39% of the Kvanefjeld Project. The equity terms agreed upon by all parties reflect continued advances in the Kvanefjeld Project including the introduction of a uranium-licencing framework for Kvanefjeld in late 2012, major resource expansions, and strong outcomes of the Kvanefjeld pre-feasibility study released in May 2012. GMEL is looking to make a decision on the preferred funding option to meet cash requirements in the coming weeks. The Company is well advanced in pursuing a number of options. The agreement outlined herein sees the cash required to complete the acquisition reduced from A$ 39 million to A$ 5 million; a position that places GMEL in a considerably stronger position. Importantly, the move to 100% ownership of the Kvanefjeld Project allows the Company to focus on structuring investment opportunities for potential strategic partners to participate in the development of the Project.

The Knavefjeld Project is the worlds largest undeveloped multi-element occurrence of uranium, REE and zinc. GMEL is featured as a Special Situation by REE Letter International (latest update June 2012). For further information visit: www.ggg.gl

Rare Earths Elements Letter, a publication by Goldletter International, incorporated in France Postal address: P.O. Box 76988, 1070 KG Amsterdam, the Netherlands Marino G. Pieterse, Publisher and Editor Information and investment comments are independently and thoroughly researched and believed correct. No guaranty of absolute accuracy can be given however Investment decisions are fully made for own risk tel.: +33-466-936-455 www.goldletterint.com e-mail: info@goldletterint.com