TMC Welcomes U.S. Executive Order to Expedite Permitting and Evaluate Offtake of Critical Minerals from Nodules in the High Seas
- Entitled ‘Unleashing America's Offshore Critical Minerals and Resources', the Executive Order directs Commerce Secretary Lutnick to expedite deep seabed mineral exploration licenses and commercial recovery permits in international waters under the existing U.S. seabed mining code
- The Order also directs the Secretaries of Defense and Energy to address the feasibility of using the National Defense Stockpile for nodule-derived minerals and of entering into offtake agreements, while reviewing and revising domestic processing capabilities for seabed mineral resources and Defense Production Act authorities
- TMC is positioned to play a central role in supporting an American industrial ecosystem underpinned by deep-seabed minerals, and poised to mobilize tens of billions in private investment in the U.S. across shipbuilding, ports, mineral processing, and advanced manufacturing
- The Company through its U.S. subsidiary expects to file license and permit applications under the U.S. Deep Seabed Hard Mineral Resources Act (DSHMRA) in the second quarter of 2025
NEW YORK, April 25, 2025 (GLOBE NEWSWIRE) -- TMC the metals company Inc. (NASDAQ:TMC) ("TMC" or the "Company"), an explorer of the world's largest undeveloped resource of critical metals for building infrastructure, defense technologies, energy generation, transmission, and storage, today welcomed an Executive Order signed by President Trump to create a robust domestic supply for critical minerals derived from seabed resources.
The Executive Order — ‘Unleashing America's Offshore Critical Minerals and Resources' — directs Commerce Secretary Lutnick to implement an expedited permitting process under the Deep Seabed Hard Mineral Resources Act DSHMRA, a statute passed by Congress in 1980, and implementing regulations of the National Oceanic and Atmospheric Administration (NOAA) which govern the exploration and commercial recovery of hard mineral resources from the deep seabed in international waters. In addition to directing the International Development Finance Corporation, Export-Import Bank and Trade and Development Agency to identify tools to support this new industry, the order also instructs the Departments of Defense and Energy to assess the use of the National Defense Stockpile for nodule-derived minerals and entering into offtake agreements for the procurement of these minerals. In addition, these departments are also directed to review and revise domestic processing capabilities for seabed mineral resources and Defense Production Act authorities.
In light of its long-standing partnerships with the Pacific Island nations of Nauru and Tonga, the Company welcomes the Executive Order's directive for a joint assessment—led by the Secretaries of Commerce, State, Interior, and Energy in coordination with U.S. partners and allies—on the feasibility of an international seabed benefit-sharing mechanism.
The Company's U.S. subsidiary, The Metals Company USA LLC ("TMC USA"), is strategically positioned to play a central role in responsibly recovering polymetallic nodules to strengthen U.S. critical mineral supply chains and in building an industrial ecosystem enabled by deep seabed minerals—an emerging sector expected to mobilize tens of billions in private investment in the United States across shipbuilding, ports, mineral processing and refining, and advanced manufacturing. TMC USA has been evaluating U.S. locations for nodule processing since 2019, in order to reshore critical mineral processing and related mid-to-downstream industries to America.
Gerard Barron, Chairman and CEO of The Metals Company, said: "Throughout the 1970-1990s, America was a pioneer: U.S.-based consortia developed deep-sea nodule collection and processing; the U.S. Congress passed a deep seabed mining statute; NOAA put in place implementing regulations, completed offshore research campaigns and developed a programmatic environmental impact statement (EIS) for the area covering the Clarion-Clipperton Zone as well as five site-specific EISs. Today's Executive Order marks America's return to leadership in deep seabed minerals. With a stable, transparent, and enforceable regulatory pathway available under existing U.S. law, we look forward to delivering the world's first commercial nodule project—responsibly and economically. As always, we remain committed to acting in the best interests of our sponsoring states, partners, investors, and the planet."
Last month, TMC USA announced its intent to apply for licenses and permits under DSHMRA in the second quarter of 2025, and that it has formally initiated a pre-application consultation process with NOAA. Following extensive legal diligence on DSHMRA, NOAA's implementing regulations and other applicable environmental protection legislation, the Company strongly believes that the U.S. seabed mining code offers the most efficient and transparent pathway for permitting commercial recovery of deep-sea mineral resources, in which proactive engagement between industry and the regulator forms a critical part of the regulatory process.
U.S. Leadership in Seabed Mining Regulation
- U.S. Congress passed DSHMRA in 1980, affirming that deep-seabed mining is a Freedom of the High Seas and granting NOAA authority to regulate exploration and commercial recovery activities of U.S. citizens in international waters
- NOAA adopted the implementing regulations on exploration licenses in 1981, followed by implementing regulations on commercial recovery permits in 1989, based on over six years of stakeholder consultations
- Under its Deep Ocean Mining Environmental Studies (DOMES) conducted from 1975 to 1981, NOAA developed a Programmatic Environmental Impact Statement (EIS) inclusive of the CCZ, published 5 site-specific EISs for U.S. exploration licenses and provided 7 reports to Congress on Deep Seabed Mining between 1981 and 1995
- As part of its licensing and permitting process, NOAA develops site-specific EISs, consults with over 11 other U.S. agencies and solicits public stakeholder comment to ensure a robust basis for its decisions
- As a regulator, NOAA has adopted a common-sense, science-based approach, explicitly recognizing that regulatory flexibility and trade-offs are required for emerging industries, while guarding against irreparable harm and significant adverse environmental impacts
- NOAA engages with applicants through pre-application consultation and offers written guidance where appropriate to assist in the development of adequate applications
About The Metals Company
The Metals Company is an explorer of lower-impact critical metals from seafloor polymetallic nodules, on a dual mission: (1) supply metals for building infrastructure, power generation, transmission, and batteries with net positive impacts compared to conventional production routes and (2) trace, recover and recycle the metals we supply to help create a metal commons that can be used in perpetuity. The Company through its subsidiaries holds exploration rights to two polymetallic nodule contract areas in the Clarion Clipperton Zone of the Pacific Ocean sponsored by the governments of the Republic of Nauru and the Kingdom of Tonga, and has conducted more than a decade of research into the environmental and social impacts of offshore nodule collection and onshore processing. More information is available at www.metals.co.
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Forward-Looking Statements
This press release contains "forward-looking" statements and information within the meaning of the Private Securities Litigation Reform Act of 1995. These statements may be identified by words such as "aims," "believes," "could," "estimates," "expects," "forecasts," "may," "plans," "possible," "potential," "will" and variations of these words or similar expressions, although not all forward-looking statements contain these words. Forward-looking statements in this press release include, but are not limited to, statements regarding the Company's plans to apply for licenses and permits under the U.S. Deep Seabed Hard Mineral Resources Act (DSHMRA); the expected timing, process and outcome of any applications to the National Oceanic and Atmospheric Administration (NOAA); the strength, predictability, and enforceability of the U.S. regulatory regime; the potential for the United States to provide a viable permitting path for commercial recovery of deep-sea minerals; and the Company's strategic, financial, and operational plans moving forward. The Company may not actually achieve the plans, intentions or expectations disclosed in these forward-looking statements, and you should not place undue reliance on these forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in these forward-looking statements as a result of various factors, including, among other things: the Company's strategies and future financial performance; the outcome of discussions and consultations with NOAA or other U.S. government officials; the Company's ability to obtain required licenses and permits under DSHMRA or any other applicable U.S. laws or regulations; regulatory uncertainties and the impact of government regulation or political developments on the Company's activities; the potential for legal or jurisdictional challenges to the Company's rights or proposed operations in international waters; environmental risks and liabilities; the Company's ability to develop sufficient data to support permit applications and satisfy environmental requirements; the Company's ability to develop commercial operations, including onshore processing capabilities; risks associated with the Company's limited operating history and need for additional financing; and other risks and uncertainties, any of which could cause actual results to differ from those expressed or implied in the forward-looking statements. These risks are described in greater detail in the section entitled "Risk Factors" in the Company's Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission (SEC), including the Company's Annual Report on Form 10-K for the year ended December 31, 2024 filed on March 27, 2025. Any forward-looking statements contained in this press release speak only as of the date hereof, and the Company expressly disclaims any obligation to update any forward-looking statements contained herein, whether due to new information, future events, changed circumstances or otherwise, except as required by law.
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