SBMA clarifies regulatory process on proposed overseas corporate transaction
The Seabed Minerals Authority recognises the public interest in recent comments about the proposed AOMC–Odyssey transaction and what it may mean for seabed minerals exploration in the Cook Islands.
The questions raised highlight why the Cook Islands has established a regulatory framework to oversee seabed minerals activities and protect the interests of Cook Islanders.
SBMA is aware of the proposed transaction and the information disclosed through United States Securities and Exchange Commission filings. These matters are being assessed under Cook Islands law, with the interests of Cook Islanders at the centre of that assessment.
It is important to distinguish between an overseas corporate transaction and the Cook Islands regulatory process.
An exploration licence does not give ownership of Cook Islands seabed mineral resources or provide any automatic right to commercial minerals harvesting.
No company owns or controls any part of the Cook Islands Exclusive Economic Zone or Marae Moana through an exploration licence.
Cook Islands seabed minerals resources remain under Cook Islands jurisdiction. The reported October transaction timetable is a matter for the companies involved.
Company timelines do not set Cook Islands regulatory timelines. The proposed transaction does not override Cook Islands law, alter the status of any licence, or determine any regulatory matter in advance.
Questions relating to ownership, control, financial capability, compliance, royalties, taxation matters involving the relevant agencies, environmental obligations, and other regulatory requirements are not being overlooked. These issues form part of the Authority’s assessment.
SBMA has sought further information and appropriate assurances as part of that process. These matters are being examined carefully and according to law.
Corporate transactions undertaken overseas do not determine whether any future minerals harvesting activity can proceed in the Cook Islands. Any future proposal to move beyond exploration would remain subject to Cook Islands legal and regulatory requirements, including environmental assessment, public consultation where required by law, and the relevant decision-making processes.
The Cook Islands remains in an exploration and research phase. No commercial minerals harvesting has been approved or authorised under current exploration licences.
Public discussions and scrutiny are important. SBMA respects the right of Cook Islanders to ask questions about matters involving our ocean, our resources, and our national interest. Public discussions is strongest when it is informed by verified facts and a clear understanding of the regulatory framework in place to protect Cook Islanders’ interests.
The Authority’s position remains unchanged: Cook Islands seabed mineral resources remain under Cook Islands jurisdiction, and overseas corporate transactions do not determine regulatory decisions in the Cook Islands.
Commercial arrangements between companies do not decide the future of the Cook Islands seabed minerals sector. That decision rests with the Cook Islands, through Cook Islands law, public process, and national decision-making.
For further information or media queries, please contact: sbma.media@cookislands.gov.ck