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where you would be cut off from outside deposiits. The firi^ thing tha/t 

 would be cut off if roin would be the .mineral that you would mine from 

 the sea bottom. That is the easiest tai"get from an enemy standpoint. 

 I can't see that helps you much in Itime of a national emergency either. 



Mr. Gross. Would it be fair ito say that internaitional control cer- 

 tainly at this time would inhibit the exploration by private enterprise 

 such as you have undertaken, the uncertainty of it would inhibit it? 

 Let me iput it that way. 



Mr. Bascom. I think that is correct. I would not like to make th'at 

 as a flat statement until I h^ve thought about, it some more. 



Mr. Fascell. It seems to me that one of the questions that needs to 

 be lasked at this point — I think you ipreitsty well outlined the parameters 

 of your thinking, Mv. Bascom, on the whole subject — and tliat is, if 

 you were within striking distance economically of oceanic bed mining, 

 or some dtlier feature which would have a resource, what woidd you 

 do about proi^ection of your economic rights? 



After all, you are talking about long range and large capital invest- 

 ments. It is one thing to say, well, we will take freedom of the seas as a 

 starting place. But now, for example, you may have to decide whether 

 you are going to put in a $20 million of capital investment because 

 you are within striking distance economically of some resource. Now, 

 what do you do to protect yourself ? 



Should there be some decision made internationally as to whether 

 or not you will have a right? If you don't have that decision doesn't 

 that raise the question that some people have raised that it is a case of 

 "he who gets there firstest with the mostest" ? 



Mr. Bascom. I think that is what it may amount to. I am not sure 

 that I think that is bad. Why shouldn't private enterprise of some 

 country be rewarded in that fashion ? Believe me, they will make a tre- 

 mendous investment. I think they will be concerned about how they 

 are protected. 



Mr. Fascell. That is the big question, though, isn't it? 



Mr. Bascom. It is an astonishing capital investment that will have 

 to be made. I am not sure that any private company in the world would 

 be willing to make it now or in the future for a long time.I doubt that 

 a govermnent should make such an investment in mining to compete 

 with private industry. 



Mr. Fascell. The point is that now in your private enterprise opera^- 

 tions on the continental shelf you have concessions from a govern- 

 ment which has jurisdiction over its continental shelf. What you have 

 got is a protection for your capital investment and your operation. 

 But without that, how could you make any capital investment ? 



Mr. Bascom. That is probably right. OSE probably wouldn't. 



Mr. Fascell. If you have no basis for any protection in the sea or 

 the deep oceanic bed, why would you bother, even if joii could get one 

 that is within economic striking distance ? 



Mr. Frelinghuysen. These gentlemen seem to be saying that there 

 are such great resources in the tremendous area represented by the 

 continental shelf that the deeps, so far as minerals are concerned, 

 probably do not represent any particular asset, and that it doesn't much 

 matter whether or not you get protection if you should try to mine at 

 that level. 



