Greenland Energy publishes shareholder letter responding to Fugazi Research report
GLND•Greenland Energy published a shareholder letter rebutting a Fugazi Research report that called the company “uninvestable at any price above zero.” The company cited $4.6 million in operating cash use and prospective resources ranging from 1.1 billion to 13 billion barrels, none classified as reserves.
1. Exploration status and resources
Greenland Energy said it remains in the exploration stage in Greenland, with no earnings, production or proved reserves, and its first well not yet drilled. The letter cited Sproule ERCE 3U unrisked prospective resources of 13 billion barrels at the high end, 4.2 billion barrels as the best estimate and 1.1 billion barrels at the low end, emphasizing that none are reserves.
2. Cash use and warrants
The company disputed the report’s “burn rate” framing, saying $28 million in investing cash included $17.5 million in capitalized assets and $10.5 million in prepaid exploration costs; operating cash use was $4.6 million. It also highlighted warrants with $5 and $15 strike prices that could raise about $110 million if fully exercised, contingent on the stock trading above those strikes.
