The Metals Company Inc. (NASDAQ:TMC) has experienced notable gains in its share price on Thursday following a regulatory update from the National Oceanic and Atmospheric Administration (NOAA) and an operational milestone achieved by the company. NOAA has finalized changes to the permitting rules under the Deep Seabed Hard Mineral Resources Act (DSHMRA), introducing a consolidated application pathway for deep seabed mining licenses and permits. Capitalizing on this regulatory development, The Metals Company has submitted the first combined application covering both an exploration license and a commercial recovery permit under this streamlined process.
NOAA Revises Deep-Sea Mining Permit Procedures
NOAA’s revised rules represent a structural adjustment to the permit application framework governing deep seabed mining activities in U.S. waters. Previously, applicants were required to apply sequentially for an exploration license followed by a commercial recovery permit, a two-step process that extended timelines. The newly implemented consolidated application mechanism allows eligible applicants to simultaneously submit for both types of permit, enhancing procedural efficiency.
The regulatory update was finalized following a period of public commentary and includes clarifying language modifications but maintains the original scope and intended objectives outlined in the proposed rule issued in July 2025. Under these regulations, applicants retain the option to pursue either the traditional stepwise approach or this new consolidated path.
The amended permitting framework aims to modernize and streamline the process for obtaining access to critical mineral resources on the deep seafloor. The changes align with an executive directive issued on April 24 by President Donald Trump, which emphasizes the importance of refining offshore resource management strategies. NOAA continues to oversee the issuance of licenses and permits related to deep seabed mining under this updated regulatory context.
The Metals Company Files First Consolidated Deep-Seabed Mining Application
In response to NOAA’s finalized permitting process, The Metals Company submitted the first comprehensive application that integrates both exploratory and commercial recovery authorizations. This submission expanded the scope of the company's commercial recovery permit area significantly, targeting an estimated 65,000 square kilometers within the Clarion Clipperton Zone—a region in the Pacific Ocean noted for its polymetallic nodule deposits.
Notably, this represents an increase from the approximately 25,000 square kilometers encompassed in the company’s earlier filing in April 2025. The expanded area is estimated to contain roughly 619 million tons of wet polymetallic nodules, with an additional potential upside for exploration estimated at an approximate 200 million tons.
The Metals Company substantiated its eligibility for this consolidated application on the basis of demonstrated scientific, technical, and financial capacity to conduct commercial recovery operations consistent with the revised regulations. This application is supported by comprehensive multi-year environmental baseline studies, offshore test mining programs, and recent peer-reviewed research. Such studies indicate that biodiversity and sediment plume effects are concentrated within the directly mined locations, suggesting that broader environmental impacts may be limited.
The firm detailed a phased approach for developing mining operations in the application, reflecting extensive preparatory work spanning over ten years. This body of work encompasses scientific research, engineering development, and environmental assessments, which collectively support its readiness to transition to commercial mineral extraction.
Market Response and Forward Outlook
Following the announcement of NOAA’s regulatory updates and submission of the consolidated application, The Metals Company's shares surged approximately 7.7%, trading around $8.80 according to Benzinga Pro data at the time of reporting. This uptick underscores investor optimism regarding the company's progress and the potential acceleration of permitting timelines under the new regulatory framework.
Conclusion
The implementation of NOAA’s consolidated permitting rule marks a significant procedural advancement within the deep-sea mining sector, possibly reducing administrative hurdles and timelines. The Metals Company’s prompt filing under this new scheme demonstrates its strategic positioning to capitalize on these regulatory changes. This development, coupled with a substantial expansion of its targeted commercial recovery area backed by robust scientific and environmental dossiers, positions the company at the forefront of emerging offshore critical mineral resource opportunities.