“Hydropower is the preferred method for the environmentally-sensitive generation of electricity for the operation of any new mining venture including mine, mill, camp site and harbor facility in Greenland.”
The above quote comes from North American Nickel Inc., which has received a Hydropower Feasibility Assessment Study within what it is calling “watershed 06.H,” located on the eastern flank of the company’s Maniitsoq nickel sulfide project in southwest Greenland.
EFLA Consulting Engineers prepared the feasibility report, which includes technical, environmental and socio-economic studies and the documentation of physical and economical aspects of hydropower development. The report provides an assessment of the development’s viability, identified key areas of risk and suggests mitigation activities to determine the economic viability of hydropower development in this location, according to a press release.
The analysis identified two subordinate watersheds that can supply a 12-MW baseload and an 18-MW maximum load capacity, generating 96 GWh of electricity annually for the Maniitsoq project. EFLA found these watersheds provide an installed cost of US$4.621/kW and US$5.049/kW, respectively, at a capital expenditure, or CAPEX, of $101.2 million and $90.9 million, respectively.
“Providing a long term, low cost, environmentally sensitive power solution is a critical step in demonstrating the NiS camp potential of the Maniitsoq project,” said North American Nickel Chief Executive Officer Keith Morrison. “The EFLA report will form the basis of NAN’s discussions with the Ministry of Industry, Trade, Labour, and Energy and Nukissiorfilt (the Greenland National Energy Company.”
North American Nickel holds a “watershed prospecting license,” which grants the exclusive right to assess and develop potential hydropower resources for the production of electricity. An exploitation license can be awarded after a successful assessment of the watershed.
North American Nickel is a mineral exploration company with 100% owned properties in Maniitsoq, Greenland, and Sudbury, Ontario, Canada.
EFLA is based in Iceland and provides general engineering and consulting services around the globe in a variety of fields, including energy, industry, buildings, transportation, environment and project management.