Luxembourg is pushing to the forefront of the up-and-coming 'asteroid mining' industry, wherein mining companies will reap precious metals including gold, platinum and tungsten from terrain beyond the Earth's atmosphere and repatriate them to Earth for commercial gain. 'Luxembourg [wants] to set up a regulatory and legal framework in preparation for the exploitation of space,' commented Jean-Jaques Dordain, former European Space Agency head and current adviser to Luxembourg. It is understood that the government is also looking to invest in space mining companies. 

Legal conflict

Luxembourg's announcement follows in the footsteps of US President Barack Obama, who last year signed the Commercial Space Launch Competitiveness Act into law. The act ensures ownership, storage, transport, use and sale rights over space resources for the companies that retrieve them. However, it has since been highlighted that implementing the act may violate the Cold War-era 1967 Outer Space Treaty, which decrees that outer space (including the moon, planets and other celestial bodies) 'is not subject to national appropriation by claims of sovereignty.' Experts have warned that from legal inconsistencies may flow international political disputes as the embryonic industry begins to gain traction in the global resource economy.

Opening doors for investment

US lawyer Michael Listner, founder of the Space Law and Policy thinktank, has suggested that Luxembourg's announcement marks an early attempt to untangle the legal binds inflicted by the OST and shore up security for investors in Europe's emerging space-mining industry. Experts have suggested that if the industry is able to attract substantial early investment, then eventual costs associated with mining space minerals and transporting them to Earth may be kept down through collaboration. 'This is something for investors to hang their hat on,' said Mr Listner of Luxembourg's announcement, 'to give them confidence and say that there's a nascent legal framework.' Sources: Japan Times; The Guardian