Marine Mining Market

SKU: DMMM1978 | Last Updated On: Oct 17 2022 | Available Formats

>Marine Mining Market is expected to grow at a CAGR of 34.5% during the forecasting period (2022-2029)|

Marine Mining Market is segmented By Technology (Marine Seismic Methods, Remotely Operated Vehicles (ROVs), SONAR), By Application(Construction, Electronics, Precious Metals), and By Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2022-2029.

Marine Mining Market is expected to grow at a CAGR of 34.5% during the forecast period 2022-2029.

Marine Mining is the process of recovering mineral wealth from seawater and deposits on and under the seafloors. Many different metals and minerals are available for extraction in the deep sea, including silver, gold, copper, manganese, cobalt, and zinc.

Marine Mining Market

Metrics

Details

Market CAGR

34.5%

Segments Covered

By Technology, By Application, and By Region

Report Insights Covered

Competitive Landscape Analysis, Company Profile Analysis, Market Size, Share, Growth, Demand, Recent Developments, Mergers and acquisitions, New Product Launches, Growth Strategies, Revenue Analysis, and Other key insights.

Fastest Growing Region

Asia Pacific

Largest Market Share 

North America

Market Dynamics:

Drivers:

Growth in the construction industry is expected to drive the market for Marine Mining.

The shipbuilding and construction industries are rapidly expanding as a result of the growth in various projects around the world and due to rising population and industrialization. According to data provided by Worldometer, the world's population is currently growing at a rate of around 1.05 percent per year and will continue to grow in the twenty-first century, estimated to reach around 10 billion by 2026. This has resulted in high demands for metals and minerals on a global scale. For example, Zinc, a metal which is deep-sea mined, is used as a rust inhibitor in the construction of various automobiles, building, bridges etc. Furthermore, the growing demand for commercial spaces as a result of the development of service industries such as insurance, ITC, and BFSC has resulted in an increase in construction, which is expected to have a positive impact on the marine mining market. According to data, Steel production is the most important industrial use of manganese, another metal which is marine mined, accounting for more than 85 percent of all manganese that is mined. Furthermore, recent Dodge Construction reports indicate that construction starts in the United States will increase by 3%. Cobalt is used in the manufacture of superalloys for jet engines, chemicals (paint dryers, catalysts, and magnetic coatings), permanent magnets, and cemented carbides for cutting tools. According to Statista data, the global construction equipment market was worth nearly 140 billion US dollars in 2020 and is expected to grow to approximately 176 billion US dollars by 2025.

Government initiatives and FDIs in developing countries is expected to boost the Marine Mining market

Due to the growing concerns about excessive mining in the seabed disrupting marine lives, and to simultaneously cater to the growing demand for metals and minerals on a global scale, governments over the world have begun to implement initiatives to optimally regulate mining operations. For instance, in June 2021, it was announced that The Indian Cabinet Committee on Economic Affairs approved the ‘Deep Ocean' mission, which aims to develop deep sea technologies for the sustainable use of ocean resources. The mission's estimated cost will be Rs 4,077 crore over a five-year period, and it will be implemented in phases. Mineral exploration studies will pave the way for commercial exploitation in the near future, as and when a commercial exploitation code is developed by the International Seabed Authority, a United Nations organization. In March 2019, the Indian government issued a new National Mineral Policy (NMP), replacing the previous 2008 Policy. Implementing the policy proposals is expected to increase major mineral production by 200 percent in seven years. By May 2018, the International Seabed Authority (ISA), which regulates activities in areas beyond national jurisdiction, had issued 29 contracts for deep-sea mineral exploration. More than 1.5 million square kilometers of international seabed in the Pacific and Indian oceans, as well as along the Mid-Atlantic Ridge, have been set aside for mineral exploration. These initiatives are expected to drive the Marine Mining market during the forecast period.

Restraints:

The factors restraining the Marine Mining market include Environmental effects of mining and the high operational costs required to carry out marine mining projects.

COVID-19 Impact Analysis:

COVID-19 pandemic has had a significant impact on industries all over the world, including the Marine Mining industry. The construction sector has been affected on a global scale due to the pandemic. With shortages of raw materials and other inputs, contractors and subcontractors, and workers, the pandemic and its disruption of global supply chains have increasingly impacted construction activities. Some supply chains for building materials have halted production and distribution. Builders worldwide have reported delays and rising costs for imported raw materials. This contraction has also negatively affected the marine mining market. Mining operations have been shut down temporarily or even permanently in some cases due to travel bans being imposed by governments. The automobile industry has been affected too. According to data, global automobile sales fell to approximately 70 million units in 2021, from a high of nearly 80 million units in 2017. Commercial vehicle sales fell by approximately 9% in 2020, while passenger car sales fell by nearly 16% in 2020, compared to sales in 2019. These factors have contributed to a decline in the Marine Mining market during the COVID-19 pandemic.

Segment Analysis:

The Global Marine Mining market based on Technology is segmented into Marine Seismic Methods, Remotely Operated Vehicles (ROVs) and SONAR.

Based on End-Use

The Global Marine Mining market based on End-Use is segmented into Construction, Electronics and Precious Metals.

The End-Use segment of the Global Marine Mining market was dominated by the Construction segment. The Precious metals segment is expected to grow at a high CAGR during the forecast period. Precious metals include Gold, Silver, Cobalt, Rhodium etc. Consider the situation of gold. It has always been one of the world's most valuable and sought-after metals. The primary reason for its value is its scarcity. According to data, approximately 3,200 metric tons of gold was produced globally in 2020, with a demand for gold estimated to be around 3760 metric tons. In 2019, according to data, Gold was valued at around 1,400 USD per ounce in 2019, rising to around 1,769.64 USD per ounce in 2020, and the price is expected to rise during the forecast period due to depleting gold reserves. Silver is a soft, lustrous white metal. According to data, the total global silver reserves in 2020 were around 500,000 metric tonnes. Silver, as a precious metal, is frequently used in the industry for currency in the form of coins, ornaments, jewellery, and silverware. Furthermore, it has the highest electrical and thermal conductivity of any metal, making it ideal for electrical contacts and conductors. According to data by Statista, the price of Silver per troy ounce was around 16 nominal US Dollars in 2019 which increased to approximately 21 US dollars per troy ounce in 2020. Due to the growing demands for precious metals on a global scale, it is expected that the marine mining market will grow during the forecast period.

Based on Region

The Global Marine Mining market based on Region is segmented into North America, Asia-Pacific, Europe, South America, Middle East & Africa.

The Asia Pacific market is expected to grow at a rapid CAGR during the forecast period. Asia Pacific economies are shifting to marine mining to meet rising demand from end-users and various industries. Electronics and infrastructure industries are expanding rapidly in this region, and this trend is expected to continue in the forecast period. As a result, demand for metals and minerals is increasing rapidly. In this region, companies are collaborating on marine mining projects. Japan Oil, Gas, and Metals National Corporation (JOGMEC) and the International Seabed Authority, for example, have signed a contract to explore for cobalt-rich ferromanganese crusts. According to the contract, JOGMEC will have exclusive rights to explore cobalt-rich ferromanganese crusts on nearly 3,000 square kilometers of seabed in the Western Pacific Ocean. The growing automobile industry in the region is also contributing to boosting the marine mining market. According to data, in 2020, China was the largest holder of the passenger vehicles market with total sales amounting to approximately 20 million units. China and India are considered to be among the largest car markets in the world. Due to growing populations, Asia Pacific economies are increasing their investments in the construction industry. According to data, the Asia-Pacific region together accounted for over 60% of the world population share in 2020, with a population of approximately 4.7 billion people and it is estimated that the construction output in the Asia-Pacific region will reach approximately 4.7 trillion US Dollars in 2021. All these industries require metals such as zinc, manganese, copper and cobalt to build equipment, buildings, automobiles etc. Therefore, we expect the growth in these industries to correspond with the growth in the Marine Mining market of the APAC region.

Competitive Landscape:

The market for marine mining is highly fragmented and competitive with existing market players. Keppel Corporation, LimitedChina Minmetals Corporation, Diamond Fields Resources Inc, Ocean Minerals, LLC, Royal IHC, Nautilus Minerals Inc., Soil Machine Dynamics Ltd, DeepGreen Metals Inc., Neptune Minerals, and UK Seabed Resources are among the major players. The key players are pursuing various key strategies such as collaborations, mergers, and acquisitions, to contribute to the growth of the Marine Mining Market and maintain its competitiveness.

For example, Odyssey Marine Exploration, Inc., a pioneer in deep-ocean exploration, successfully acquired a 79.9 percent equity stake in Bismarck Mining Corporation (PNG) LTD (Bismarck) in exchange for 249,584 shares of Odyssey common stock in July 2019. Nautilus Minerals Inc. announced the launch of its production support vessel at the Mawei shipyard in China in March 2018.

Company Profile: The Metals Company

Overview: The Metals Company was founded in 2021 through the merger of DeepGreen and the Sustainable Opportunities Acquisition Corporation. The company is headquartered in Vancouver, Canada. It operates in the materials industry.

Product Portfolio: The company specializes in offering high-grade seafloor polymetallic deposits containing manganese, zinc, copper, cobalt for the global electric vehicles industry.

Recent Developments: 1) In July 2021, The Metals Company announced the mobilisation of its next research campaign, Environmental Expedition 4E following the successful completion of Environmental Expedition 5D, which continued research on deep-sea food chains, biodiversity, geochemistry, and nutrient cycles within the NORI-D contract area of the Pacific Ocean's Clarion Clipperton Zone (CCZ).

2) In May 2021, The Metals Company announced its joining in to two of the European Union's most important industrial alliances, the European Raw Materials Alliance (ERMA) and the European Battery Alliance (EBA), as the EU moves toward becoming a global leader in the sustainable production of the batteries required to store clean energy and power electric vehicles.

Frequently Asked Questions

What is the Projected CAGR value of the Marine Mining Market?

Marine Mining Market is expected to grow at a CAGR of 34.5% during the forecasting period 2022-2029.

Which region controlled the global market during 2022-2029?

North America region Controls the Marine Mining Market during 2022-2029.

Which is the fastest growing region in the Marine Mining Market?

Among all regions, Asia Pacific is the fastest growing market share during the forecast period.

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