Seabed Council Dicusses Reports on Prospecting and Contracts for Exploration of Minerals

The Council of the International Seabed Authority, meeting in Kingston this afternoon, took note of two reports of the Secretary-General at its second meeting of this historic 20th Session in Kingston this afternoon. One report addresses the status of prospecting and contract for exploration for three types of mineral resources in the seabed Area, and the other outlines laws, regulations, and administrative measures adopted by sponsoring States and other members of the Authority with respect to activity in the Area.

Status of exploration contracts

The Secretary-General stated that 17 contracts for exploration were in force. This includes 12 contracts for exploration for polymetallic nodules, three for exploration for polymetallic sulphides and two for exploration for cobalt crusts. A complete list of contracts, including details of the contractor and date of entry into force of each contract, is provided in annex 1 to the report.

Status of consultations regarding the implementation of the Assembly decision on overhead charges

Part of the report highlights the application of the decision adopted by the Assembly on 25 July 2013 (ISBA/19/A/12 ) which established an annual overhead charge of $47,000 to cover the cost of administration and supervision of contracts with the Authority.  The Secretary-General explained that for those contractors who signed contracts after the date of the decision, the two amended standard clauses of the contract relating to the annual charge (Sections 10.5 and 10.6 of Annex 4) were automatically included, and payment was to be made by 31 March of each year.   

With regard to the 14 contractors who had signed before the 25 July 2013, the Secretary-General said he had been instructed to engage in discussions with them to determine when payment would be made. So far, he had contacted five contractors: Japan Oil Gas and Metals National Corporation (JOGMEC), China Ocean Mineral Resources Research and Development Association (COMRA), the Government of the Republic of Korea, Marawa Research and Exploration Ltd, and l’Institut francais de recherche pour l’exploitation de la mer (IFREMER). While JOGMEC, COMRA and the Government of Korea had agreed to incorporate the clauses into their contracts, negotiations were continuing with IFREMER and Marawa Research and Exploration Ltd。

Discussion on the Report

Deliberation on the report included comments and questions from Brazil, Cuba, France, Germany, India, Mexico, Senegal, South Africa, and Trinidad & Tobago.

Report on national legislation

The following member States had also, as of 4 July 2014,  provided information on or texts of relevant national legislation: Belgium, China, the Cook Islands, the Czech Republic, Fiji, France, Germany, Guyana, Japan, Mexico, Nauru, the Netherlands, New Zealand, Oman, the Republic of Korea, Tonga, the United Kingdom of Great British and Northern Ireland, and Zambia.  The United States had also provided relevant information and text to the Secretariat. A submission had also been received from the South Pacific Commission on behalf of the Pacific Islands region. The information regarding national legislation is available on the Authority’s website (www.isa.org.jm/en/mcode/NatLeg).