Korea Zinc will acquire a 5% stake in Canadian deep-sea mining firm The Metals Company for $85.2 million (116.5 billion won), positioning itself as an alternative to Chinese-dominated critical mineral supply chains.
The investment gives Korea Zinc 19.6 million TMC shares at $4.34 each, plus warrants to purchase additional shares at $7.00. The deal closes June 26, subject to standard conditions.
The move comes as China has imposed sweeping export restrictions on critical minerals including gallium, germanium, antimony and rare earth elements since 2023, disrupting global supply chains. Chinese antimony exports plummeted 57% in early 2025, while germanium shipments fell 39%.
TMC mines polymetallic nodules from the seafloor containing nickel, copper, cobalt and manganese—metals essential for electric vehicles and defense applications. The company submitted the first-ever commercial recovery permit application to U.S. regulators following President Trump’s April executive order accelerating seabed mining.
TMC CEO Gerard Barron called Korea Zinc “probably the only company outside of China” capable of processing the materials for U.S. markets. However, TMC remains pre-revenue and faces regulatory hurdles, with analysts noting “significant financial challenges” and “poor income and cash flow performance”.
The partnership reflects broader efforts to reduce dependence on Chinese mineral processing, which dominates global refining capacity.
