The U.S. special envoy to Greenland, Louisiana Governor Jeff Landry, has stated that the Danish territory could help reduce energy prices during the ongoing conflict with Iran. He indicated that oil production on the island could be restored in approximately ten months.
Landry made these remarks following a three-day visit to Greenland, which he described as “convincing.” When asked about the island’s “untapped resources,” he emphasized its potential in oil extraction.
“Greenland could export 2 million barrels of oil per day right now,”
Landry asserted. He noted that this would alleviate pressure on the Strait of Hormuz, a crucial trade corridor through which approximately one-fifth of the world’s oil consumption typically passes daily.
Currently, the strait is effectively closed due to the conflict with Iran, following Iranian counterstrikes in the region and a U.S. naval blockade. This situation has led to a sharp increase in oil prices; as of Friday morning, Brent crude was trading at around $102 per barrel, while West Texas Intermediate (WTI) was approximately $98.
Landry’s visit was not officially sanctioned, and his reception in Greenland was reportedly lukewarm. According to the governor, former President Trump had instructed him to “go there and make a bunch of friends.”
President Trump had previously expressed interest in acquiring the island.
After meeting with Landry, Greenland’s Prime Minister Jens Frederik Nielsen stated that the island’s authorities had “reiterated that the people of Greenland are not for sale and that Greenlanders have the right to self-determination.”
It is important to note that at the onset of the war between the U.S. and Israel against Iran, Tehran blocked the Strait of Hormuz, triggering a global oil crisis and rising fuel prices. Although Iran formally reopened the strait in April, the U.S. maritime blockade against Iran remains in effect.
Throughout this period, oil prices have remained volatile, fluctuating from below $92 to surges above $100 per barrel.
Governor Jeff Landry's remarks on Greenland's oil potential come amid rising global oil prices due to the conflict with Iran. His visit, however, was met with skepticism from Greenlandic officials, emphasizing the island's right to self-determination.