Sourcing

New Greenland Ruby Mine Owner Begins Production

SourcingMay 26, 2017

New Greenland Ruby Mine Owner Begins Production

The mining license for Aappaluttoq was transferred after True North Gems entered into voluntary bankruptcy last fall.

Greenland Ruby A/S has begun production at the Aappaluttoq mine in the southwest region of Greenland. Seen here are some rough mined at the site.

New York--Greenland Ruby A/S officially has started its production at the Aappaluttoq ruby mining site in the southwest region of Greenland.

Aappaluttoq is Greenland’s first corundum mine, located about 155 miles south of Greenland’s capital, Nuuk. According to the company, the deposit is “primary” type, meaning that the rubies are extracted from hard rock, mainly mica and amphibole.

At this time, it’s too early to know how much ruby and pink sapphire the mine might produce, a spokesperson for the company said.

The area originally was being mined by True North Gems, but the company entered into voluntary bankruptcy in September.

The mining license for the Aappaluttoq Ruby Mine then was awarded to LNS Greenland, an investor in the project, after it made a bid. Terms of the deal were not disclosed.

Greenland Ruby A/S, its sister company, was established in October to take over the exploitation license and handle the promotion and sales of the mine’s rubies and pink sapphires.

Concurrent with the news that Greenland Ruby has started production at the site, True North provided an update on its bankruptcy proceedings regarding its operating subsidiary in Greenland, True North Gems Greenland A/S.

The company’s management says it believes the “bankruptcy process managed by court-appointed Trustees and supported by the Greenland government was biased, unnecessarily expedited and potentially negligent.”

In response, it formed a special committee to investigate the process and actions of the trustees and the Greenland government to determine if legal action should be taken.

The company’s specific concerns in regards to the proceedings include a conflict of interest of trustees who have business relationships with LNSG, LNS and the Greenland government and a lack of transparency in the bidding process and the criteria on which the decision of which to accept was made, among other factors.

These concerns have been presented to the trustees, True North said, but no response has yet been given. (The court could not be reached for comment or update by press time.)

They also hired Danish counsel Skau Reipurth & Partners to address the bankruptcy trustees and to formally solicit responses to unanswered questions posed by the company’s board of directors.

Brecken Branstratoris the senior editor, gemstones at National Jeweler, covering sourcing, pricing and other developments in the colored stone sector.

The Latest

WatchesJan 24, 2022
These Were the Top 5 Watch Brands of 2021 on Chrono24

Two of the brands in the top slots may come as a surprise.

TechnologyJan 24, 2022
Reshyne Aims to Put Modern Shine on Jewelry Repairs

The platform helps jewelers manage and track repairs via their website and allows customers to place orders online.

MajorsJan 24, 2022
Kendall Jenner Fronts the Latest Messika Campaign

It portrays a modern “alpha female.”

Brought to you by
Swarovski Created Diamonds – A Brilliant Partnership

A tantalizingly beautiful and carbon-neutral choice, Swarovski Created Diamonds are an extension of the beloved brand’s personality and value.

CollectionsJan 21, 2022
Piece of the Week: Emily P. Wheeler’s Heart Necklace

It’s a whimsical update to a classic riviere.

Weekly QuizJan 21, 2022
This Week’s Quiz
Test your knowledge of the latest jewelry news with this quick test.
Take the Quiz
Recorded WebinarsJan 21, 2022
Watch: What the Industry Can Expect for Tucson 2022

National Jeweler chats with three colored stone dealers on recent buying activity and what that could mean for the upcoming gem shows.

SourcingJan 21, 2022
HK Designs Named ‘Great Place to Work’

The Indian jewelry manufacturer joins Signet Jewelers, Target, and other companies who earned the certification.

Brought to you by
Melee the Show Launches Tucson Event, Returns to New York in 2022

The boutique tradeshow, happening first in Tucson then New York City, brings together upscale designers from around the world.

FinancialsJan 20, 2022
Signet Raises Guidance After Strong Holiday Sales

The jewelry giant’s holiday season revenue was up 30 percent year-over-year.

×