Offshore Mineral Proposal Could Bring Opportunities, Environmental Questions Remain

A proposed offshore critical-minerals project could eventually create jobs, support marine research and provide sand for coastal protection near Accomack and Northampton counties. It could also affect fisheries, wildlife and other ocean uses important to the Eastern Shore.

Odyssey Marine Exploration has asked the Federal Bureau of Ocean Energy Management to consider a competitive lease sale for about 2,300 square miles off Virginia’s coast. The company says its main interest is in a smaller area of about 386 square miles.

The proposal targets heavy mineral sands containing titanium, zirconium and monazite, which holds rare-earth elements used in aerospace, defense, electronics, medical devices and advanced manufacturing.

No offshore mining has been approved. Odyssey’s request does not authorize exploration, testing or dredging. It would begin a federal review process that could include environmental studies, agency consultation and public comment.

Odyssey says the project could support vessel crews, port operations, environmental monitoring, research and other maritime services. However, the company has not identified a specific Eastern Shore port, processing site, number of local jobs or expected tax revenue. A request from Odyssey on whether or not it would use the Eastern Shore as a base of operations and how many potential jobs it could bring to the Shore was not returned as of Thursday evening.

A review of available regulatory and court records found no documented environmental or operational violation by Odyssey during a comparable seabed-mineral project. Its best-known proposal, the Don Diego phosphate-mining project off Mexico, was denied environmental approval before commercial dredging began. The company has faced court sanctions in unrelated shipwreck-salvage litigation, but those were not violations arising from offshore mineral exploration or mining.

Odyssey has conducted seabed surveys and mineral sampling on projects in Mexico, Papua New Guinea and the Cook Islands. Its Mexican phosphate-sands proposal is the closest comparison to the Virginia project, but it never advanced to commercial dredging. The company therefore has offshore exploration experience, but not an operating record from a comparable commercial seabed mine.

The company has also reported past weaknesses in its financial controls and has received Nasdaq compliance notices related to late filings and stock-listing requirements.

Those matters do not establish that Odyssey caused environmental damage through an operating seabed mine.

Environmental concerns would be especially important for the Eastern Shore’s commercial and recreational fishing industries. The proposed area is used by fish, sea turtles, whales, dolphins and seabirds, and portions overlap broader Essential Fish Habitat designations.

Odyssey says it would use environmental monitoring, vessel-speed restrictions, seasonal operating periods, protected-species observers and whale-avoidance measures if the project advances.

The company also says non-mineralized sand recovered during dredging could potentially be used for beach nourishment and storm protection. The proposal does not guarantee that sand would be provided to Accomack or Northampton County.

For Eastern Shore residents, the federal process will determine whether the proposal remains limited to research or moves toward testing and possible production. It will also give watermen, local governments, businesses and residents an opportunity to question Odyssey about fisheries, wildlife, transparency, jobs and how much of any economic benefit would remain on the Shore.