The Role Of Government In The Mineral Development Sector

In contrast with the United Kingdom, the Netherlands, and Japan, the marine mining industry in the United States exists at a very rudimentary level. Depletion of onshore resources has undoubtedly been an important factor in the development of marine mining industries abroad. However, the institutional framework presented by government can advance or present obstacles to the development of a marine minerals industry. The role of government involves questions of the degree of risk sharing between government and industry, as well as questions of the strategic and economic importance of developing the technology and the infrastructure to recover minerals. In 1984, the Minerals Management Service (MMS) created a program office to handle these questions and to respond to a potential increase in commercial opportunities that might result from the Presidential Proclamation establishing a U.S. Exclusive Economic Zone. A critical component to the success of the program has been the formation of partnerships with coastal States to pursue projects in areas of mutual interest. Such projects involve commodities showing commercial promise and strong public need. Such a cooperative approach lessens the risk of Federal, State, or private interests working at cross purposes.