International Investment Law and the Regulation of the Seabed

Modern technology has increased the possibilities for greater parts of the oceans and ocean floor to be opened up for exploitation. Oil and gas extraction is still one of the most prevalent seabed activities, with almost a third of oil consumed in the world coming from seabed drilling1 and new fields continue to be discovered in ever deeper waters. Innovations in marine technology also mean that many other uses of the seabed are now anticipated. One of the fastest growing offshore activities is renewable energy generation, which involves the attachment of structures, platforms or devices to the seabed in order to capture energy from wind, wave, or tidal power.2 Many companies are also turning to the deep seabed as a source of valuable minerals, such as manganese, cobalt, copper and others. Significant deposits of these metals are thought to be located on many parts of the ocean floor, both within and beyond national jurisdiction.3 These examples illustrate the diversity and fastgrowing volume of the types of ‘seabed investments’ that will be addressed in this chapter. Many of the seabed activities with which we are concerned in this chapter are undertaken by private actors, operating under a licence or concession from the coastal state. Coastal states have a significant degree of control over what seabed activities may take place in the waters adjacent to their territory. The