The Metals Company: These Are Not The Metals Trump Is Looking For

2025-04-19 10:00:00 ET

Summary

• The Metals Company is exploring deep-sea mining for critical metals, including nickel, copper, cobalt, and manganese, with significant support from the Trump administration for deep-sea mining.
• Despite TMC's recent stock surge and increased speculation, long-term profitability remains uncertain due to unproven scalability and high capital costs.
• New Trump policies aim to mitigate environmental concerns and funding challenges, but the long-term viability of deep-sea mining versus onshore mining remains questionable.
• If successful, it will primarily produce Manganese, which is of low value, while cobalt and nickel make up a tiny fraction of resources and are not in a global shortage.
• My outlook on TMC remains neutral; while benefiting from speculative hope and policy support, its long-term profit potential and scalability are doubtful.

The Metals Company ( TMC ) is pursuing a novel approach to mining critical mineral resources through deep-sea nodule mining. The company launched as an SPAC with limited initial capital. The technology is not yet proven at a large commercial scale, but it has the potential to enable the US access to a massive mineral deposit in the Clarion-Clipperton zone, located around Hawaii to Mexico....

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