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C O N F I D E N T I A L COPENHAGEN 000404 
 
SIPDIS 
 
STATE FOR EUR/NB, OES 
 
E.O. 12958: DECL: 09/14/2019 
TAGS: PREL PGOV KDEM MARR SENV SCUL DA GL
SUBJECT: AMBASSADOR VISITS GREENLAND 
 
Classified By: Ambassador Laurie S. Fulton; 1.4 (b, d) 
 
¶1.  (U)  This cable contains an action request; please see 
paragraph 15. 
 
¶2.  (C)  SUMMARY:  Official Greenland warmly welcomed 
Ambassador Fulton on her first visit to the capital Nuuk, 
August 20-22, and the GOD sent a senior delegation to 
accompany her to Thule Air Base September 7-9.  Greenland 
Self-Rule Premier Kleist sought agreement to conduct a 
five-year review of the (US-Denmark-Greenland) Joint 
Committee, called the Joint Committee "beneficial" but hoped 
for more (especially in education), enthusiastically 
supported the idea of a U.S. seasonal post in Nuuk, and asked 
for help bringing closure to the story that some plutonium 
may have been lost in a 1968 B-52 crash.  Later, the Danish 
Health Minister promised the Ambassador advance summaries of 
upcoming research findings into possible contamination from 
that crash.  END SUMMARY. 
 
(U)  PREMIER KUUPIK KLEIST 
-------------------------- 
 
¶3.  (C)  Official Greenland warmly welcomed Ambassador 
Fulton's first visit August 20-22, to the capital Nuuk (pop. 
16,000).  Premier Kuupik Kleist hosted a meeting, a dinner 
and a boat-tour of the fjord.  He began his meeting with the 
Ambassador by requesting any help the USG could give to 
provide "a decent closure" to the "old case" of the USAF B-52 
carrying nuclear bombs that crashed off Greenland in 1968. 
He regretted that the issue had been revived (due to a BBC 
report last fall) and raised in the Danish Parliament.  He 
sought no confrontation, but only wished to "calm and inform" 
his people.  The Danish Institute for International Studies 
(DIIS) had recently issued a report ruling out any missing 
bomb, but leaving open at least one question, whether 1.5 kg. 
of plutonium could be accounted for.  If it were possible to 
see the relevant U.S. documents without redaction, that might 
put the matter to rest.  The Ambassador noted that a formal 
request would no doubt have to come through the Danish 
Government via the U.S.-Denmark Permanent Committee, but 
offered in the meantime to try to find out whether any 
additional information was available that could help. 
 
¶4.  (C)  On September 14, Denmark's Health Minister Jakob 
Axel Nielsen promised the Ambassador advance summaries of two 
upcoming research reports relevant to the B-52 crash: 
 
- a study in progress searching for soil and air 
contamination; report due in early 2010.  The Minister was 
confident that no atmospheric contamination would be found; 
he said that was the only kind of contamination that could 
pose a health issue; 
 
- a study that has not yet begun, that will explore 
Greenlanders' health. 
 
¶5.  (C)  Kleist was "happy" with the (US-Denmark-Greenland) 
Permanent Committee, but worried about "rumors" the U.S. 
might close Thule airbase.  On the Joint Committee, he sought 
agreement to conduct a review now that it is five years old. 
The Joint Committee "has been beneficial to Greenland," 
especially the "very strong scientific cooperation"; "let's 
see what has worked and what hasn't."  His priority is 
education:  it is "the key to prosperity and development" but 
faces many challenges due to demographics (tiny, widely 
scattered settlements in a harsh environment).  He said he 
would like to see the parties to the Joint Committee "work on 
budgets instead of projects."  The Ambassador replied that 
she was keen to understand the Greenland education system and 
how we can help, especially by facilitating exchanges and 
exploiting internet-based technology.  Kleist praised the 
concept of a U.S. seasonal post in the Greenland capital of 
Nuuk as a "brilliant idea" that would "facilitate everything 
else."  He said that Greenland is becoming "the face of 
climate change" and would be very active at and around 
COP-15. 
 
(U)  FINANCE MINISTER PALLE CHRISTIANSEN 
---------------------------------------- 
 
¶6.  (C)  Finance Minister Palle Christiansen described his 
party, the Democrats, as very pro-U.S. and keen to improve 
education so that Greenlanders will be open to the world, not 
xenophobic nationalists.  A dentist by profession, 
Christiansen explained that his portfolio includes IT, 
reform, and Nordic relations.  While the prospect of 
independence would mean Greenland had to pay its own bills, 
right now the biggest challenge was "avoiding bankruptcy." 
Ambitious plans to develop hydro-electric projects could 
include exports of 30 terrawatts to North America - enough to 
cover two percent of all U.S. electricity.  The minister 
wanted to establish an IT college so as to provide courses 
from "any university in the world;" to that end, western 
Greenland now had fast internet thanks to a sizeable 
investment in a cable connection, while the east coast was 
still dependent on a (much slower) satellite connection. 
With regard to local development in Nuuk, he praised the new 
municipal council's emphasis on strengthening education and 
housing rather than big-ticket infrastructure projects. 
Regarding the U.S. base at Thule, he had urged the base 
commander to use Greenlandic companies as contractors for 
construction and outer security.  (NOTE:  Greenlandic and 
Danish companies already have preference for most 
base-related activities under the terms of the 1951 Defense 
Agreement and subsequent related agreements.  END NOTE.) 
 
(U)  SPEAKER JOSEF MOTZFELDT 
----------------------------- 
 
¶7.  (C)  Speaker of Parliament Josef Motzfeldt supported the 
idea of a U.S. seasonal post in Nuuk, and noted that 
Greenland may open an office in Washington to cover North 
America.  The priorities he mentioned were building ties with 
youth, and making more use of tele-medicine.  He mentioned an 
upcoming visit by an American citizen named Tony Phillippi 
from Minneapolis, who planned to come to Greenland September 
13 with his own seaplane and fly up the west coast to Qaanaaq 
(north of Thule) to see how he could help develop the 
infrastructure. 
 
(U)  OPPOSITION LEADER ALEQA HAMMOND 
------------------------------------ 
 
¶8.  (C)  Aleqa Hammond, the first female opposition leader in 
Greenland and first female chair of Siumut party (which held 
power 1979-2009), expressed support for a U.S. seasonal post 
and for the Joint Committee, while making clear she wanted 
"more obligation, higher priority" from the U.S.  With an eye 
to independence in 20 years, she said her party would push 
for the English and Danish languages to have equal standing 
in schools.  Raising the issue of CIA flights allegedly 
transiting Greenland/Thule (based on a television program 
from several months ago), she said it was important to be 
"open so there are no ghosts in the closet." 
 
(U) MINISTER OF INDUSTRY OVE BERTHELSEN 
--------------------------------------- 
 
¶9.  (C)  Minister of Industry Ove Berthelsen (the only 
official to speak in Greenlandic, using an interpreter) 
relied on three staffers (all ethnic Danes) to present 
briefings: 
 
- The proposed Alcoa aluminum smelter could produce 360,000 
tons per year starting in 2015-16.  Two dedicated hydro-power 
stations would be built, over 100 kms. away.  Total 
investment could exceed USD4 billion (i.e. double Greenland's 
current GDP).  The project would create over a thousand new 
jobs and, in the construction phase, double the population of 
Maniitsoq (2,750; located on the west coast between Sisimiut 
and Nuuk). The Greenland Parliament is expected to decide in 
October  whether to pass the Hydro-Power Concession Act.  A 
decision on whether to take an equity stake in the Alcoa 
smelter project is expected in spring 2010; Alcoa prefers a 
50-50 split.  (NOTE:  Alcoa has expressed readiness to 
explore a smaller Greenlandic stake, perhaps in conjunction 
with a third investor.  END NOTE.)  The final decision is 
expected in fall 2010; construction should take five years. 
 
- Tourism is growing into a pillar of the economy, with about 
50,000 visitors per year.  Cruise-ships are the fastest 
growing segment.  Revenue is around 40 million DKK/year, 
approx. one third in passenger head-tax and the rest on-shore 
spending.  With Alaska saturated, Greenland is becoming more 
attractive as a destination; Greenland's focus on tourism is 
on quality not quantity, thus the crowds from cruise ships 
are seen as economically beneficial because they do not 
require additional infrastructure like hotels. 
 
- Natural resources:  export of ice and bottled drinking 
water could reach 30 to 60 million DKK in 2010.  Greenland's 
Bureau of Minerals and Petroleum currently has joint 
responsibility with Denmark when it comes to licensing 
exploration/exploitation of natural resources, but starting 
in 2010 all revenue from oil, gas or minerals will go to 
Greenland; half that revenue will be deducted from Denmark's 
block grant to Greenland.  (NOTE:  With the Self-Governance 
Agreement of June 2009, the block grant was frozen at 3.4 
billion Danish Kroner per year, currently about USD 667 
million.  END NOTE.)  Over 80 exploration licenses have been 
granted so far this year (vice fewer than 20 in 2003).  There 
are two producing mines at present (gold, olivine) and two 
more exploitation licenses have been issued (lead/zinc and 
molybdenum).  Other possibilities include zirconium, rubies, 
iron, and diamonds.  Environmental regulations are strict, in 
compliance with all Arctic Council rules.  Greenland seeks to 
be competitive in the eyes of investors; for mineral 
extraction projects, it has set its take at 37 percent 
(Canada's is 50 percent). Oil and gas reserves are assessed 
by the U.S. Geological Survey at 31 billion barrels of oil 
equivalent, roughly half the size of the North Sea field, 
though some of these potential deposits are located off the 
icebound northeast coast and not accessible with current 
drilling technology.  Over 130,000 sq. km. are now licensed 
for exploration or exploitation.  Greenland is asking for a 
government take of 59 percent, which would leave the investor 
41 percent; Alaska leaves the investor less than 10 percent). 
 
(U)  GREENLANDIC EMPLOYERS ASSOCIATION 
-------------------------------------- 
 
¶10.  (SBU)  Greenlandic Employers Association Director Henrik 
Leth explained that his organization represents about 400 
companies ranging from 800 employees to one.  Its three main 
purposes are:  services to members; lobbying; and negotiating 
with unions every three years.  Leth had been impressed by 
the large turnout the previous day for a discussion of how 
Greenland would have to adapt to the influx of large projects 
such as Alcoa.  He reckoned it would take 15-20 years before 
Greenlanders could fill most of the Alcoa jobs (NOTE:  Alcoa 
executives dispute this assertion.  END NOTE.).  His 
association opposed cost-sharing by the government, arguing 
that Alcoa should pay its own way, but he stressed "we are 
not against the project."  Leth was worried that COP-15 might 
lead to restrictions on growth of carbon dioxide emissions 
that would make it impossible for Greenland to develop 
economically (the Alcoa project alone would double 
Greenland's CO2).  He hoped Greenland and Denmark could reach 
agreement before COP-15, but the GOD wanted to postpone 
negotiations until after the conference. 
 
(U) INSTITUTE OF NATURAL RESOURCES 
---------------------------------- 
 
¶11.  (U)  Institute of Natural Resources Director Klaus 
Nygaard said the Institute's research has helped ensure that 
most fish stocks are now being harvested sustainably.  On 
hunting, "we are a generation behind," but hunters are coming 
to recognize the importance of sustainability.  Soren 
Rysgaard, professor at the Institute's new Climate Impact 
Center, stressed that scieQific cooperation with Greenland 
is very important to understanding global climate change. 
Active cooperation exists with American and other scientists. 
 Since 1994, some 3,500 parameters are being measured, and it 
is important to continue measuring in the same places in 
order to understand changes.  Latest research shows the 
warming of the ice cap is accelerating.  Some 150 scientists 
of the cryosphere will gather in Nuuk next week. 
 
(U)  UNIVERSITY OF GREENLAND 
---------------------------- 
 
¶12.  (U)  University of Greenland Rector Tine Pars described 
tuition-free exchanges with Dartmouth and University of 
Montana.  She pressed for more tuition-free opportunities for 
Greenlandic students to study in the United States.  The U.S. 
National Science Foundation is funding a study on sexual 
habits in Greenland, and is considering sending an instructor 
to teach at the University.  The University of Greenland is 
participating in "U Arctic," a web-based initiative of the 
Arctic Council.  At Pars' request, the Ambassador agreed to 
see whether the USG can support the university's 
participation in an annual seminar on Inuit culture, 
involving U.S., Canada, Scotland and France. 
 
(U)  OTHER ENGAGEMENTS 
---------------------- 
 
¶13.  (U)  The Ambassador also: 
 
- Met with Mayor Asii Chemnitz Narup who briefed on her 
municipality of Sermersooq, which - due to reorganization 
mandated by the previous Premier - is 15 times the size of 
Denmark and incorporates five former municipalities, three on 
the west coast including Nuuk, and two on the east coast. 
She expressed strong support for exchanges with the U.S. 
through visits and telecommunications.- Toured the cultural 
center Katuaq (headed by Julia Pars, who is Tine's sister, an 
artist, and board chair of Air Greenland).  It has a 500-seat 
auditorium and screens first releases as well as putting on 
concerts and theater, and hosting conferences. 
 
- Visited a class at the Greenland Business College, which 
offers programs lasting from one to four years including 
Bachelor of Commerce, has about 250 daytime students and had 
approx. 700 students participate in at least one course last 
year, of whom 90 percent completed successfully.  The college 
gets USD4 million (80 percent of its budget) from the 
Greenland Home Rule Government.  It has educational 
agreements with Aalborg Business School in Denmark and 
Jefferson Community and Technical College in Kentucky.  It 
offers e-learning with Skype and will soon administer the 
TOEFL test (now, students have to go to Denmark to take it). 
 
- Gave an interview to Sermitsiaq newspaper. 
 
- Visited the 109th Air Wing of the New York Air National 
Guard during a layover at Greenland's commercial air hub of 
Kangerlussuaq.  Lt Col Matt Leclair briefed on the 109th's 
support to U.S. and international scientists studying the 
Greenland ice cap every summer, using LC-130H transport 
airplanes equipped with skis.  Met Dorthe Dahl Jensen, 
director of the Center for Ice and Climate at the Niels Bohr 
Institute, Copenhagen University, who had just returned from 
two months on the ice cap. 
 
¶14. (U)  The Ambassador visited Thule Air Base in 
northwestern Greenland September 7-9, accompanied by DATT, 
Air Attache, Pol-EconCouns, and a Danish delegation led by 
Major General Peter Kuhnel, Chief of International 
Operations, Defense Command.  The delegation included:  Rear 
Admiral Henrik Kudsk, Commander, Greenland Command; Anne 
Dannerfjord, Senior Advisor in the Prime Minister's Office; 
Mikaela Engell, MFA Advisor on Greenland Affairs; and MOD 
staff.  Col Christopher Gentry and his Team Thule arranged a 
program that highlighted outstanding partnership with the 
Danes and excellent relations with local communities.  The 
GOD delegation made clear the importance Denmark attaches to 
U.S. operations at Thule.  All agreed that the recent 
trilateral search-and-rescue exercise with Canada had shown 
the partnership could perform search-and-rescue using Danish 
ships and helicopters and the medical facility at Thule. 
 
¶15.  (C)  ACTION REQUESTED:  Department is requested to 
advise whether there is any further information that could be 
provided to bring closure to the B-52 issue, as per paragraph 
3 above. 
FULTON