The asteroid mining marketis already valued at up to trillions of dollars, but a single drill from earth hasyet to make it to space.
European scientists have announced plans to startmining the moonas early as 2025.
Space mining is a concept still out of this world to most, but it is real for the mining industry. After being considered mostly science-fiction, governments are now implementing programs and legislation that allow them to join the race for mining in space.
Scot Anderson, attorney and Global Head of Energy & Natural Resources with Hogan Lovells in Denver, has a podcast on asteroid mining, and has compiled compelling legal implications and insider tactics for getting in the asteroid mining business. Anderson spoke with MINING.com to break down the issues, challenges and opportunities.
MINING.com: Tell us about your position.
Anderson: I do oil & gas and mining work for terrestrial mining. A lot of this is in the Mountain West, but we do work on mining projects all over the world. We have been interested in the asteroid mining piece of it, and we have an aerospace group out of Washington DC.
The way I think about it is that a lot of times these folks are doing space exploration and aerospace, trying to figure out mining, and our group here in Denver, were the mining folks who think about it would work in outer space. We figure out how to gain access to the minerals, how to develop them, and what were trying to do is take that expertise on how mining works on earth and translate that into how mining and resource development might work in outer space, which is a kind of interesting interaction because not everybody is coming out of that particular standpoint.
MINING.com: A big question is: How far away are we fromthis actually happening?
Anderson: Weve been in a lot of programs and you get different views on that. I would say that folks are kind of bullish on that for the next five to ten years, closer to ten years [we could] extract on the moon. Almost sure that it will happen on the moon first, because we know the moon a little bit at least, and we have a pretty good sense of where theres water, and where theres ice available, which is the key thing. The people who do space exploration talk about it, they say the moon is halfway to anywhere; If you can get to the moon, its a lot easier then to go somewhere else because youve got lower gravity.
What were trying to do is take that expertise on how mining works on earth and translate that into how mining and resource development might work in outer space
Some extraction using ice to create water and fuel, Id say in the next ten years, conceivably, and from there getting the asteroids is not as big a leap. Within 20 years it will probably be the beginning, and people start using the resources. Its not 100 years from now.
MINING.com: So how do earth-bound mining lawyers think about space mining?
Anderson: When we talk about how we do mining on earth: what are some of the issues? If youre going to do a project and you submit in a new jurisdiction, what do you have to know to make sure that youre comfortable youre going to get a project?
So we said: lets take that conceptual framework and thinkabout that in outer space, and there are four issues we think about: Securityof tenure do you actually have the rightto extract the mineral? The fiscalregime, and the other two are bankability and feasibility.
Heres the issue on the security of tenure and the fiscal regime: theres an Outer Space Treaty that was signed by a lot of countries when the moon exploration was going on, and the treaty includes a provision that says you cant appropriate celestial bodies, that would include the moon.
The question is what happens if I go to the moon? I set up shop, and I extract ice and rocks and start making things, do I own the rocks that Ive extracted? Im not saying that I own the moon, but if I put in the effort, do I own the resources? Same thing with asteroids, if I send a robot to the asteroid, it sets up shop and starts extracting things and using them, do you own the extracted mineral? And thats the legal issue, thats the unsettled question.
Heres how that question plays out: Ill say that the reason we view Luxembourg as the leader is that the States and Luxembourg have statutes that say: if youre a US or Luxembourg company and you extract a resource, you own the resource. Theyve interpreted the Outer Space Treaty to say that it doesnt preclude ownership of the extracted minerals. There are some folks who would argue thats not the right interpretation, but its a little bit uneven. So thats where the gap is, that needs to be resolved. Luxembourg already said weve resolved it under the law of our country, if you extract the mineral then you own it, because the Outer Space Treaty didnt talk about that.
If I send a robot to the asteroid, it sets up shop and starts extracting things and using them, do you own the extracted mineral? And thats the legal issue, thats the unsettled question
Theres this Outer Space Treaty, and then theres a new treaty, which came along later as the Moon Treaty, and none of the space countries signed the Moon Treaty. The Moon Treaty also includes other celestial bodies and asteroids as well, and it says the moon and other celestial bodies are the common heritage of mankind, and again, the Outer Space Treaty doesnt use that language, but the Moon Treaty does.
The reason that matters is because theres another treaty, theres an existing treaty in the United Nations Convention on the Law of the Sea, which says that the deep sea, which is outside of the territory of one of the countries and nobody owns, is the common heritage of mankind. As a result, theres actually an international seabed authority that exists that regulates activities in the deep sea and charges a royalty like a profit-sharing thing that all the countries on earth can share to some extent in the benefits of mineral extraction from the deep sea.
Because the Moon Treaty uses this common heritage of mankind language like the law of the sea, the Moon Treaty would imply that you have to pay some sort of a royalty that would get redistributed among all the countries of the world for the extraction of resources in outer space. But nobody signed the treaty thats active in outer space, but the Outer Space Treaty, which a lot of people did sign was a constitution of outer space development and did not have the language framework.
The argument is that under the Outer Space Treaty, which is the operative document, you dont have to pay a royalty for cost sharing among all the countries on earth for the minerals being extracted in outer space. Thats how the two things are tied together. Theres the notion of do you have the legal right to go and explore and extract minerals?
Luxembourg and the US have said yes, because they have used the language of the Outer Space Treaty and then the fiscal regime, do you have to pay anything? The argument for space explorers is no, because the Outer Space Treaty doesnt have the common heritage of mankind language that was interpreted under the law of sea, so therefore theres no royalty due or payable for extracted resources from the moon or other celestial bodies. Theres a lot of literature on this and a lot of academic thinking, and the UN has different bodies, but I would say the majority position is you can keep resources you extract in outer space and not pay royalties on resources, but theres strong minority view on both of those.
We attended a seminar here in Colorado, and one of thequestions was: Would the framework that I just described be a burden on outerspace exploration? People are not goingto move forward because of the uncertainty, and the strong consensus was thiswas not an impediment to moving forward with development of resources in outerspace. Theres enough certainty and theres enough stuff to do before gotthere, and that there wasnt an urgent need to get an international treaty tofix all of this. The framework was robust enough to allow further developmentof these projects.
MINING.com: Several challenges exist in outer space exploration. How advanced is the aspect? How developed are the trucks, ships, and mining robots needed?
Anderson: The Near Earth Objects (NEOs) are close enough that you can actually get to. A couple of things: water is crucial, because you can take the H2O and break it into hydrogen and oxygen and make fuel out of it. And in addition you can have people around it. But even if it was all done robotically, [an issue is] getting to somewhere where you can get water, thats why I said the craters in the moon that have ice in them are one of the most promising pieces of the puzzle. There you can start using it for manufacturing purposes.
As far as the engineering goes, there are engineers who are designing all this already, and the Colorado School of Mines, one of the great mining universities, they have a space mining program. You can go get a masters or PHD in space mining there, and their engineers are designing.
One of the presentations was to extract water from these craters in the moon, and its fully engineered. You set a kind of a bubble over the ice in the crater, and have these mirrors near the edge of the crater, and you focus the sun on the bubble and it heats up, and the water vaporizes and collects on the inside of the bubble. They also have the distances and calibrations; they have everything needed to make that work.
There are folks who are absolutely working through and running the numbers, and doing the engineering, to have all this happen. The other thing is on the NEOs, sort of the feasibility. Economically, for now at least, and probably for a very long time, you really cant justify bringing in an asteroid, however you do it. You bring the asteroid to earth or you break it up and process it. Right now the economics of getting it to earth just really dont make that viable. There are two ways: One is to bring an object near the moon and orbit it around the moon, work on it and bringing it down to the moon, which makes it a lot more cost effective. But the other one, which is very fascinating to me, is basically using a 3D printer. So you basically put a 3D printer up to the asteroid and you set it up, and can actually manufacture the equipment parts for your spaceship, so you actually set your manufacturing up in outer space rather than bringing [materials] back to the earth.
MINING.com: It has been argued that the most cost-effective way to build asteroid mining equipment is to do so in space, which would occur on assembly platforms with automated robots. How would those pieces get to the assembly stations?
Anderson: If youdid the 3D printing approach, you can also set up a space station, like amanufacturing platform in space, and then bring materials to that, so you canhave it relocated. The other thing is when you are mining metallic asteroids,is basically you put it in a big plastic bag and then you use vibration tobreak it up, take the bag full of processed granulated materials and move itsomewhere. You can either have the 3D printer on the asteroid itself and bringit to the moon, or you can have a centralized facility.
The thing about mining on an asteroid is that theyre not as stable as the moon. You can kind of tumble and spin. So you have to find the right one that is stable to do. I think the idea is that you build, and then bring them over. It would be done with robotics rather than people. The idea with moon based, you could have people on there, the economics of this. Space tourism is one of the things that would provide economics, where you got a bunch of people that would be willing to pay a large sum to go to the moon. So you set up your ice mining venture and you generate an environment with the water and the oxygen, and fund it by having people come out and do a tour.
MINING.com: What about the impact of the influx of space commodities on economies here?
Anderson: Theres a website called Asterank. It ranks the asteroids and shows all the asteroids in the solar system. It models the asteroids and planets. They have a ranking of how valuable the minerals from each asteroid are, but thats a little bit spurious, because its an earth-bound price but the cost of getting to earth significantly diminishes its value. Its kind of a plunked-up number.
The thing about a mining project anywhere is that you spend a lot of capital before you get anywhere, its different kind of investment than any other.So the psychology of a mining company is well suited to developing resources in space
There is some concern if you brought some gigantic palladiumasteroid to earth efficiently, where that metal is not significantly rareanymore, and that would have an effect on pricing. But I think were a long wayfrom that. Theoretically, if you could get it to earth efficiently, it couldhave a dramatic effect on pricing.
As we deal with the change and how we generate energy and how we consume things, and somebody said if you electrified all the vehicles that are planned to be electrified, you need three times as much copper thats ever been mined. There are a thousand numbers that are like that. So, there are some practical limits on how much we can transition to different models and how you get this. So to an extent, we want to change the way we generate and use energy, and perhaps there maybe reasons to try to get this to earth. There are papers where part of the pitch is they talk about asteroid mining and they say well, were going to create colonies in outer space. You just look at how many people are coming over the next 20 years, so that sort of flattens out 40 or 50 years from now. Theres all these people coming and theres stress on resources, of course the next move is to open up outer space. Again, I think there are some practical limits. Its definitely an artificial environment and you cant just wander around.
MINING.com: Whats the next thing that needs to happen tomove the whole concept toward fruition?
Anderson: I think its probably proof of concept. Theres a lot of engineering on the drawing board, but the actual work has been fairly limited. But there are companies like iSpace, a Japanese company thats going to do a lap around the moon and put a rover down, in 2022 to 2024, and the engagement of private enterprise in this process is really different. I think the public-private partnership and having funding coming from outside the governments is going to break this open.
To me, its the investment of private industry and continuing this investment, getting the proof of concept and return on the investment will take a while, but if companies are willing to make the long-term investment, then theres definitely some opportunities to make this all work and make it economically viable at some point. But its a long-term play. The thing about a mining project anywhere is that you spend a lot of capital before you get anywhere, its different kind of investment than any other. So the psychology of a mining company is well suited to developing resources in space, because its got to have the same level of basics to making the investment in the front end before making a return somewhere down the road.
Follow this link:
How earth-bound mining lawyers think about space mining - MINING.com
- A Q&A with Katya Echazarreta, the first Mexican-born woman to travel to space - Astronomy Magazine - April 24th, 2024 [April 24th, 2024]
- Japans planning its first lunar steps with the Artemis program - The Hill - April 24th, 2024 [April 24th, 2024]
- DC Eyes Beijing's Investments In Space - Payload - Payload - April 24th, 2024 [April 24th, 2024]
- THIS WEEK @NASA: More Partners in Space Exploration, Upgrade to Testing Facilities for Artemis II - SpaceCoastDaily.com - April 24th, 2024 [April 24th, 2024]
- Explore Space and Poetry with NASA and Poet Laureate Ada Limn - sxsw.com - April 24th, 2024 [April 24th, 2024]
- NASA warns of secret military presence in space disguised as civilian programs - TweakTown - April 24th, 2024 [April 24th, 2024]
- NEW: UAH wins first place in college division in NASA's 30th Human Exploration Rover Challenge - Hville Blast - April 24th, 2024 [April 24th, 2024]
- Are we prepared for Chinese preeminence on the moon and Mars? (op-ed) - Space.com - April 24th, 2024 [April 24th, 2024]
- As space exploration increases, effective space regulation is a necessity - Verdict - April 24th, 2024 [April 24th, 2024]
- NASA Announces Winners of Power to Explore Challenge - NASA - April 24th, 2024 [April 24th, 2024]
- NASA tests walking robot on Mount Hood for space exploration with universities - KTVL - April 24th, 2024 [April 24th, 2024]
- Five future astronauts certified from European Space Agency's 2022 graduating class - UPI News - April 24th, 2024 [April 24th, 2024]
- Sweden becomes 38th country to sign NASA's Artemis Accords for moon exploration - Space.com - April 24th, 2024 [April 24th, 2024]
- Space start-up claims to have discovered propellant-free propulsion system - NewsBytes - April 24th, 2024 [April 24th, 2024]
- Soyuz Spacecraft Launches to Space Station With NASA Astronaut - SciTechDaily - March 24th, 2024 [March 24th, 2024]
- This Week In Space podcast: Episode 103 Starship's Orbital Feat - Space.com - March 24th, 2024 [March 24th, 2024]
- From 3D To Outer Space: Register For WCC Youth Summer Camps - mitechnews.com - March 24th, 2024 [March 24th, 2024]
- NASA and SpaceX: Enhancing Space Exploration with the 30th Resupply Mission - Space Daily - March 24th, 2024 [March 24th, 2024]
- The Cosmic Enigma: How Space Exploration is Unraveling the Universe's Birth Secrets - yTech - March 24th, 2024 [March 24th, 2024]
- Following Safe Return, NASA's SpaceX Crew-7 to Recount Space Mission - NASA - March 24th, 2024 [March 24th, 2024]
- The Heat: Space Exploration - CGTN America - March 24th, 2024 [March 24th, 2024]
- SpaceX Time-Lapse Video Captures the Essence of Space Travel - yTech - March 24th, 2024 [March 24th, 2024]
- TOP 4 Reasons to Return to the Moon - The Universe. Space. Tech - March 24th, 2024 [March 24th, 2024]
- SpaceX Dragon Successfully Attaches to ISS Bringing Vital Research Payloads - yTech - March 24th, 2024 [March 24th, 2024]
- End of an Era: Delta IV Heavy Makes Final Journey to the Stars - yTech - March 24th, 2024 [March 24th, 2024]
- Photography exhibition at the Mound delves into space exploration - The National - March 24th, 2024 [March 24th, 2024]
- Lunar Node 1: the trailblazing lunar beacon guiding NASA's future in space exploration - Boing Boing - March 24th, 2024 [March 24th, 2024]
- SpaceX's CRS-30 Mission: Delivering Innovations and Research to the ISS - yTech - March 24th, 2024 [March 24th, 2024]
- Remembering Tom Stafford, the Space Races Peacemaker (1930-2024) - AmericaSpace - March 24th, 2024 [March 24th, 2024]
- 9 Hints That Kingdom Of The Planet Of The Apes Involves Space Travel - Screen Rant - March 24th, 2024 [March 24th, 2024]
- NASA sends science projects and hardware aboard SpaceX's 30th resupply launch to ISS SatNews - SatNews - March 24th, 2024 [March 24th, 2024]
- SpaceX Dragon Spacecraft Docks to Space Station With New Science and Supplies - SciTechDaily - March 24th, 2024 [March 24th, 2024]
- Moon Race 2.0: Why so many nations and private companies are aiming for lunar landings - BBC.com - February 16th, 2024 [February 16th, 2024]
- NASA Selects Texas A&M As First Approved Exploration Park Facility - Texas A&M University Today - February 16th, 2024 [February 16th, 2024]
- The Space Economy in 2024 - OODA Loop - February 16th, 2024 [February 16th, 2024]
- Opinion | It's an exciting time in space exploration. But U.S. leadership is at risk. - The Washington Post - February 16th, 2024 [February 16th, 2024]
- NASA Experiment With Fire in Space Ends When Entire Spacecraft Burns Up - Futurism - February 16th, 2024 [February 16th, 2024]
- NASA Selects Texas A&M as First Approved Exploration Park Facility - NASA - February 16th, 2024 [February 16th, 2024]
- Ground-Based Lasers Could Accelerate Spacecraft to Other Stars - Universe Today - February 16th, 2024 [February 16th, 2024]
- 8 Space Exploration Books to Add to Your TBR - Book Riot - February 16th, 2024 [February 16th, 2024]
- Meet the Elected Members of the African Space Council - Space in Africa - February 16th, 2024 [February 16th, 2024]
- NASA working with Texas A&M to build new spaceflight research facilities - 25 News KXXV and KRHD - February 16th, 2024 [February 16th, 2024]
- Inflatable Habitats: Expanding Space Exploration - Lockheed Martin - February 16th, 2024 [February 16th, 2024]
- China's Rising Ambitions in Space Exploration: Chang'e Missions and International Cooperation - Medriva - February 16th, 2024 [February 16th, 2024]
- Pressured Space Exploration in Today's Era - Mirage News - February 16th, 2024 [February 16th, 2024]
- Exoplanet Hunter Sets Its Sights on Jupiter: A New Twist in Space Exploration - SciTechDaily - February 16th, 2024 [February 16th, 2024]
- Frontier Aerospace TALOS Engines Used For Space Exploration - PR Newswire - February 16th, 2024 [February 16th, 2024]
- Exploring the Potential of Minimoons - Medriva - February 16th, 2024 [February 16th, 2024]
- Understanding the Role of TRISH in Space Health and its Future Innovations - Medriva - February 16th, 2024 [February 16th, 2024]
- The Future of Satellite Refueling and In-Orbit Servicing - Medriva - February 16th, 2024 [February 16th, 2024]
- Japan makes third attempt to launch next-gen rocket - Yahoo Singapore News - February 16th, 2024 [February 16th, 2024]
- Uruguay becomes latest nation to join NASA's Artemis Accords - UPI News - February 16th, 2024 [February 16th, 2024]
- An astronomer's lament: Satellite megaconstellations are ruining space exploration - The Conversation - February 16th, 2024 [February 16th, 2024]
- Asteroid Mining: A Glimpse into the Future - Medriva - February 16th, 2024 [February 16th, 2024]
- Singapore's ESS and Australia's ELA Join Forces to Redefine Space Exploration - BNN Breaking - February 16th, 2024 [February 16th, 2024]
- Intuitive Machines makes history with lunar lander launch - InnovationMap - February 16th, 2024 [February 16th, 2024]
- The Potential of Minimoons in Interplanetary Exploration and Space Travel - Medriva - February 16th, 2024 [February 16th, 2024]
- In space exploration, Switzerland punches above its weight - SWI swissinfo.ch - SWI swissinfo.ch in English - February 16th, 2024 [February 16th, 2024]
- Odysseus Mission: Pioneering the Lunar Economy and Space Exploration - BNN Breaking - February 16th, 2024 [February 16th, 2024]
- Starlab Announces Leadership Team With new CEO and CFO - SpaceWatch.Global - February 16th, 2024 [February 16th, 2024]
- The New Space Race: Private American Companies Compete to Land on the Moon - Medriva - February 16th, 2024 [February 16th, 2024]
- Spectrum Advanced Manufacturing Technologies Plays Vital Role in NASA's Deep Space Optical Communications - PR Newswire - February 16th, 2024 [February 16th, 2024]
- Intuitive Machines Odyssey lunar lander to be launched early Wednesday - The Washington Post - February 16th, 2024 [February 16th, 2024]
- New funding for space projects ensures the UK's role in global missions - Innovation News Network - February 16th, 2024 [February 16th, 2024]
- SpaceX and Intuitive Machines Lunar Mission: Challenges, Expectations, and Future - Medriva - February 16th, 2024 [February 16th, 2024]
- Farewell to a NASA Hero: Apollo Astronaut Thomas K. Mattingly II Departs at 87 - SciTechDaily - November 4th, 2023 [November 4th, 2023]
- NASA Welcomes Netherlands as Newest Artemis Accords Signatory - NASA - November 4th, 2023 [November 4th, 2023]
- China's astronauts tend orbital garden to aid deep space exploration - Space.com - November 4th, 2023 [November 4th, 2023]
- All-UK astronaut mission shows that private enterprise is vital to the ... - The Conversation Indonesia - November 4th, 2023 [November 4th, 2023]
- Former Astronaut Discusses Space Travel and Its Future With ... - Duke Today - November 4th, 2023 [November 4th, 2023]
- Returning astronauts to the moon is NASA's biggest challenge, but ... - Space.com - November 4th, 2023 [November 4th, 2023]
- Australias IPSEC Conference Shows Synergies Between the Space ... - Via Satellite - November 4th, 2023 [November 4th, 2023]
- Mice embryos successfully grown in space, a promising milestone ... - Salon - November 4th, 2023 [November 4th, 2023]
- Dava Newman talks Mars exploration and comunication - CMU The Tartan Online - November 4th, 2023 [November 4th, 2023]
- Science Fact or Fiction: Leveraging Space to Transform Medicine - Kennedy Space Center - November 4th, 2023 [November 4th, 2023]
- Now astronauts will not get lost in space - SAMAA - November 4th, 2023 [November 4th, 2023]
- Sci-fi inspired tractor beams are real, and could solve a major space ... - Livescience.com - November 4th, 2023 [November 4th, 2023]
- Mining Meets Space: Revolutionizing Industry Innovation with Cross ... - AZoMining - November 4th, 2023 [November 4th, 2023]
- Surf's up: Catch an atmospheric wave as ASU research team ... - ASU News Now - November 4th, 2023 [November 4th, 2023]
- Ron Baron says Tesla's valuation can hit $4 trillion, but 'SpaceX has ... - Morningstar - November 4th, 2023 [November 4th, 2023]