TMC the metals company Inc. stock surges on permit plans

Investing.com -- Shares of TMC the metals company Inc. (NASDAQ:TMC) soared 23% today following the company’s announcement that it will seek permits under the existing U.S. mining code for deep-sea minerals. TMC the metals company Inc., a firm focused on exploring and developing critical metals from the seabed, has initiated the process of applying for exploration licenses and commercial recovery permits under the Deep Seabed Hard Mineral Resources Act (DSHMRA) of 1980.

The company’s decision comes after it conducted extensive legal diligence on DSHMRA and its implementing regulations. TMC USA, a subsidiary of TMC, has begun engaging with the National Oceanic and Atmospheric Administration (NOAA) with plans to submit applications in the second quarter of 2025. This move aims to secure a permit for commercial recovery of deep-sea mineral resources, as the International Seabed Authority (ISA) has yet to adopt the Exploitation Regulations, which TMC views as a breach of treaty obligations under the United Nations Convention on the Law of the Sea (UNCLOS) and the 1994 Agreement.

Gerard Barron, Chairman & CEO of The Metals Company, stated, "Over the last decade, we’ve invested over half a billion dollars to understand and responsibly develop the nodule resource in our contract areas. We built the world’s largest environmental dataset on the CCZ, carefully designed and tested an offshore collection system that minimizes the environmental impacts and followed every step required by the International Seabed Authority. But, despite collaborating in good faith with the ISA for over a decade, it has not yet adopted the Regulations on the Exploitation of Mineral Resources in the Area in breach of its express treaty obligations under UNCLOS and the 1994 Agreement."

Barron further emphasized the company’s readiness to prove its ability to manage environmental risks and expressed confidence in the U.S. regulatory framework, which he believes offers a stable, transparent, and enforceable regulatory path.

TMC’s approach aligns with the U.S. Congress’s stance, which passed DSHMRA affirming deep-sea mining as a Freedom of the High Seas and granting NOAA the authority to regulate such activities. NOAA’s regulations, developed after extensive stakeholder consultations, aim to balance industry development with environmental protection.

TMC’s engagement with U.S. officials, including those in the White House and Congress, reflects a growing interest in deep-sea minerals as a strategic resource for the U.S. supply chain. The company’s proactive steps toward securing permits under U.S. law demonstrate its commitment to pursuing a predictable and enforceable path for its stakeholders.

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