Will Greenland Draw New Attention for This Resource, Not Oil or Rare Earths?

According to The Financial News, Greenland, already in the spotlight for its mineral deposits, also has the potential to become a new source of water.
On the 20th local time, Consumer News and Business Channel (CNBC) reported that rising demand and depletion will make it necessary to expand water supplies, and that Greenland’s freshwater resources are expected to emerge as a new strategic asset.
By 2030, the gap between water supply and demand is projected to widen to as much as 40%.
Freshwater currently accounts for only about 3% of the world’s water resources, and most of it is locked in glaciers and permanent snow in Greenland and Antarctica. Because this water can be used for drinking and agriculture, it is drawing growing attention.
The Government of Greenland is also promoting on its website that Greenland’s clean water can be used for a variety of purposes.
Noah Ramos, an analyst at Alpine Macro, said, "We have been drilling deep underground to draw water, but that approach is reaching its limits and will be difficult to rely on in the future."
He explained that as resource nationalism increasingly shapes geopolitics, water itself is becoming a strategic asset.
CNBC pointed out that even countries historically rich in water, such as the United States of America (US), Canada, and South America, may struggle to meet new demand. It added that half of the world’s population experiences water shortages for at least one month a year, threatening public health and food security.
Glaciers and permanent snow are concentrated mainly in Greenland and Antarctica.
Nick Kraft, an analyst at Eurasia Group, noted that about 10% of the world’s water resources are stored as ice in Greenland. He said this could create niche business opportunities, but cautioned that it will not solve global water shortages in the short term.
Erik Swyngedouw, a professor at The University of Manchester, pointed out that because of water’s weight, exporting it is difficult and very costly.
Even so, as climate change melts ice and raises expectations for its use, Greenland-based startup Arctic Water Bank is pursuing water exports by building a dam.
In addition, some companies are already operating by bottling local water as premium drinking water and selling it.
In 2008 and again in 2023, Barcelona in the Kingdom of Spain suffered droughts and resorted to transporting water by sea. However, Professor Swyngedouw said that over the past 20 years, the privatization of water has not been successful.
He also criticized the Islamic Republic of Iran, which has been in drought for six years, for neglecting basic infrastructure expansion while channeling money into the military.

jjyoon@fnnews.com Reporter Yoon Jae-junjjyoon@fnnews.com Reporter Yoon Jae-jun Reporter