Deep Sea Mining: Essential for Energy Transition or a Risky Endeavor?
Deep sea mining, particularly in the Clarion-Clipperton zone, has become a contentious issue. This area, located 4000 to 5000 meters below sea level between Hawaii and Mexico, is rich in polymetallic nodules containing manganese, iron, copper, and cobalt—key materials for renewable energy technologies. However, this zone is also a unique and largely unexplored ecosystem with thousands of species, most of which are still unnamed. The debate over deep sea mining pits the necessity for raw materials against the potential environmental impact.
Proponents argue that these resources are crucial for the energy transition, especially for cobalt used in batteries. However, opponents point out that recycling capabilities are not fully exhausted and alternatives to cobalt are emerging. They also warn that disturbing the seabed could release significant amounts of CO2, undermining climate change efforts.
Canada's The Metals Company is at the forefront of deep sea mining, touting its process as environmentally friendly compared to surface mining. They claim the deposits in the Clarion-Clipperton zone could support the production of 280 million medium-sized EV batteries, equating to the number of vehicles registered in China in 2023. The company recently celebrated a milestone with the Chinese deep-sea vehicle "Kaituo 2" reaching 4300 meters.
Switzerland's Allseas, located in Châtel-Saint-Denis, collaborates with The Metals Company. Known for building oil platforms and underwater pipelines, Allseas laid the pipes for Nord Stream 2, which was halted after Russia's invasion of Ukraine. Allseas, along with Indian investment firm Eras Capital LLC, is a major shareholder in The Metals Company.
Only a few companies are involved in deep sea mining, including UK Seabed Resources Ltd. and Belgium's Dredging Environmental and Marine Engineering NV (Deme). British diplomat Michael Lodge, Secretary General of the International Seabed Authority (ISA), is a strong advocate for deep sea mining. The ISA, a UN organization, aims to protect deep-sea habitats while regulating commercial exploitation—a challenging balance. The ISA has issued 31 exploration permits since the 2000s, with 17 for polymetallic nodule exploration in the Clarion-Clipperton zone. Island states like Kiribati, Nauru, and Tonga support deep sea mining for potential income, while many European countries oppose it.
Environmental groups like Greenpeace are vocal opponents of deep sea mining, calling for a moratorium until its impacts are fully understood. Surprisingly, many industrial companies, including automotive giants Renault, Volvo, BMW, and VW, and tech firms like Google, Philips, and Samsung, also support a moratorium. Brands like Swiss watchmaker Breitling and American outfitter Patagonia have joined the opposition. In the financial sector, the Zurich-based boutique Globalance and Swiss Re have expressed skepticism about the risks and future of deep sea mining.
Even within the commodities industry, there is hesitation. Under CEO Gary Nagle, Swiss commodities giant Glencore sold its stake in The Metals Company, citing limited understanding of the deep sea's impact. Similarly, British-Australian mining giant Rio Tinto announced in 2023 that it has no plans for deep sea mining due to the unassessed environmental impact.
