European Lithium (ASX:EUR) said that a scoping study for its Tanbreez rare earth project in Greenland estimated a net present value of around $2.4 billion to $3 billion at a 10% discount rate and 8% discount rate, according to a Wednesday Australian bourse filing.

The net present value is estimated over a 19-year mine life, extracting 24.25 million tonnes of eudialyte ore from the 45 million tonne mineral resource estimate.

Critical Metals and European Lithium commissioned Agricola Mining Consultants to prepare a preliminary economic assessment and scoping study for the project.

The government of Greenland earlier approved an application for an exploitation permit for a period of 30 years for the project.