Minerals Report - International Seabed Authority

He pointed out that these provisions would ensure flexibility for the
license holder in the search for the minerals provided for under the license.
He also said that the exclusive rights granted the license holder would ensure
once it had found a viable deposit, it would have the first right to develop that
deposit. Mr. Wanjik said that another important innovation in the proposed
regulations concerns the pilot mining test. In this regard, he said that under
the proposed regulations, when an exploration license holder finds enough
minerals and is ready to test mining or processing technology, a workprogramme
may be submitted. When approved, the license holder may test
the mining and or processing technology. Thereafter, following an
application to mine, Mr. Wanjik said that that a negotiable mining lease may
be entered into for periods starting from 5 years.
Mr. Wanjik said that the exploration license for marine areas would
make it beneficial to develop marine minerals resources. He pointed out
however that since Papua New Guinea is a mining producer and mineral
exporter, it is wary of providing too many incentives.
Marine scientific research
With regard to marine scientific research, Mr. Wanjik pointed out that
whilst the Government of Papua New Guinea wishes to encourage
prospecting and exploration, it also wishes to ensure that marine-scientific
research in areas under its jurisdiction continues. He noted that as parties to
the Law of the Sea Convention, Papua New Guinea has an obligation to
encourage marine-scientific research for the benefit of mankind. He also
noted the need to protect the marine environment and its associated biological
communities.
Mr. Wanjik made the point that marine scientific research is the source
of Papua New Guinea’s information on its marine mineral resources. He also
pointed out that the distinction between marine scientific research and marine
mineral exploration is unclear. In this respect, he said that while developing
the draft policy, it was realized that there are potential industrial and
pharmaceutical applications from properties of vent biota. Observing that no
expert at the workshop had placed a value on such applications, Mr. Wanjik
said that he is aware that some countries have applied for patents for enzymes
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