On May 12, China Minmetals and the International Seabed Authority (ISA) held a ceremony to sign an exploration contract for polymetallic nodules on the eve of the Belt and Road Forum for International Cooperation. Chairman of China Minmetals He Wenbo and Secretary General of the International Seabed Authority Michael W.Lodge delivered a speech at the ceremony and signed the contract on behalf of the two sides. More than 20 leaders and guests, including Deputy Director of SASAC Xu Fushun, Chief Engineer Ministry of Land and Resources Peng Qiming, Deputy Director of the State Oceanic Administration Lin Shanqing, Deputy Director of the Ministry of Finance Sun Zhi, Deputy Director of the Ocean Division of the Ministry of Foreign Affairs Li Linlin, Head of the Contract Management Unit of the ISA Chapi Mwango, Director of China Ocean Mineral Resource R&D Association Liu Feng, Vice President of China Iron and Steel Industry Association Chi Jingdong, Vice President of China Non-Ferrous Metals Industry Association Jia Mingxing and representatives of China Geological Survey and related associations and units, attended the signing ceremony and witnessed the signing of the contract. The signing ceremony was presided over by Feng Guiquan ,Vice President of China Minmetals.
The signing of this contract marks another step taken by China Minmetals towards its goal to explore marine resources of the high seas, which is also a key part of the effort of China Minmetals to advance the Belt and Road Initiative and the “going out” strategy and to promote the development of the marine sector. China Minmetals has stepped up its effort to explore marine mineral resources, enhance core competencies, participate in international exchanges and cooperation, raise its status in the metal and mineral industry and become a world leader in production of metal and mining.
It has always attached great importance to the exploration of marine mineral and other resources. After the Chinese government issued a letter of guarantee, with the support from the SASAC, the Ministry of Foreign Affairs, the Ministry of Finance, the Ministry of Land and Resources, the Ministry of Science and Technology, the State Oceanic Administration and other ministries, departments and all social circles, the 21st Session of the International Seabed Authority granted to China Minmetals on 20 July 2015, , the exclusive prospecting right and the right of priority in applying for mining right of a polymetallic nodule deposit zone covering a surface area of 72,745 km2 in the eastern Pacific Ocean.
He Wenbo delivered a speech at the ceremony. On behalf of China Minmetals, he extended a warm welcome to all the guests coming from afar. He expressed his sincere thanks to the leaders of relevant ministries and Secretary General of the ISA Mr. Lodge for their support for China Minmetals’ marine mineral resources exploration projects. He said that The oceans hold a veritable treasure trove of valuable resources, including mineral resources. Because mineral resources are non-renewable, it’s inevitable for us to turn our attention to the oceans and enter a new era of ocean co-governance and the shared use of marine resources. The ISA has made great contributions to promoting the use and exploration of deep-sea mineral resources in a peaceful and rational manner, with the aim of safeguarding the common heritage of mankind, continuously improving the international seabed management system and marine ecological environment and promoting the development of the world’s marine economy.
He Wenbo stressed that China Minmetals is a China-based international leader in metal and mineral industry and engages in a diversified range of value creating activities. It is also China’s only state-owned company in the metal and mineral industry, entrusted with the important mission to guarantee the supply and security of resources of the country. In connection with the core concept of “cherish limited resources, pursue sustainable development”, China Minmetals has never deviated from a sustainable development path that attaches equal importance to the exploration and the conservation, and been actively contributing to China’s coordinated development of marine resources, land-based resources and aviation industries. China Minmetals is committed to research and development of technologies related to the exploration and utilization of marine mineral resources. In 2016, it completed China’s first sea trial of a deep-sea mining system. It has made an active effort to apply for exploration and mining rights of international seabed. This is the first time for China to obtain an international seabed mining contract through an enterprise.
He Wenbo said that China Minmetals would, starting from this point, actively contribute to advancing the Belt and Road Initiative proposed by Secretary General Xi Jinping, further increase the investment in deep sea exploration and mining, bolster R&D activities and international technical exchanges, promote technological progress in relation to the exploration and use of deep-sea mineral resources, explore new commercial operation models of marine resources, and promote the sustainable development of the marine economy. China Minmetals will continue to strengthen communication and cooperation with the ISA, expand the field of cooperation, strive to achieve new breakthroughs in the field of deep-sea prospecting, promote the sustainable use of marine resources, protect the marine environment, and make a greater contribution to the protection of the common interests of mankind.
In his speech, Mr.Lodge congratulated China Minmetals on becoming the 19th contractor of the International Seabed Authority for exploration of polymetallic nodules and China on becoming the first member country sponsoring four deep seabed exploration contracts. He also affirmed the Chinese government’s effort to allow enterprises such as China Minmetals to participate in international seabed exploration through legislation. He pointed out that the signing of this contract was an important milestone, for both China and the ISA. China Minmetals’ involvement in this groundbreaking field represents an important step towards the development of the common property of humankind and demonstrates great confidence in the ISA as well as the future development of deep seabed resources.
He said that China was the world’s largest consumer of metal and China Minmetals was China’s largest mining company and a global leader in mining. Any action and strategic plan of China Minmetals would attract the attention of the global metal and mineral industry. Facing the growing demand for metal, to better serve common interests of mankind, we must be committed to developing a blue economy and guaranteeing supplies of metals without damaging the environment or increasing our overall carbon footprint. Although seabed resource exploration is a high-risk, high-cost field, China Minmetals still decided to get involved after careful consideration. It is a good thing that China Minmetals has conducted a deep-sea mining trial. It plans to conduct more trials in a systematic manner, while placing environmental protection at a very important position. He hopes that China Minmetals will share its experience in technology development, metallurgical processing, business operations and other aspects and make a contribution to the establishment and improvement of the seabed resource exploration system.
He stressed that the interests of developing countries should be adequately protected during the seabed resource exploration and development process, which is in full compliance with the spirit of the Belt and Road Initiative proposed by President Xi Jinping and the United Nations Convention on the Law of the Sea. It is foreseeable that China Minmetals will create more conditions and opportunities for international cooperation in resource exploration, environmental monitoring and protection, development of mining technologies, capacity building and training in developing countries, promotion of marine scientific knowledge and other related fields. The ISA will continue to support China Minmetals’ exploration and development of seabed resources.
Later, as witnessed by the participants, the exploration contract for polymetallic nodules was signed by He Wenbo and Mr. Lodge.
Before the signing ceremony, He Wenbo, Feng Guiquan and Mr. Lodge exchanged views on matter of common concern to both sides. He Wenbo introduced the development concept, business scope, operation and missions of Minmetals in China. He said that China Minmetals was very honored and also had the responsibility to participate in international seabed resource exploration and it would faithfully fulfill its commitments, implement the plan and make greater contributions the development of seabed resources in the high seas. Mr. Lodge introduced basic information of the ISA and the progress in the development of regulation to govern deep-sea mineral resources exploration activities. He said that the ISA would take costs into account when developing regulations and ensure that parties involved in resource exploration will receive fair and reasonable return on investment, and China Minmetals was welcomed to attended related seminars organized by the ISA and to provide more valuable suggestions and opinions.
Relevant staff members of the headquarters and subsidiaries of China Minmetals, including Wang Jionghui, Zhang Ye, Yin Sisong, Zhao Zhi, Mo Chunlei, Liu Ningwu, Wang Wenhai, Liang Jianbo, Dong Su, Bi Liyan and Li Maolin, attended the ceremony.
