81 
seriously restrict supplies other than copper and bauxite. The final 
conclusion presented in the memorandum states 
Although the risks that we shall have to deal with serious restrictions of 
supply in the next two or three years are small, they are not negligible and in the 
longer run U.S. dependence on foreign sources of raw materials is likely to 
increase. We should consider appropriate steps to reduce the possibility and 
effectiveness of aggresive action by producers to deprive us of adequate supplies.” 
Sensing that the Administration may be regarding the Deep Seabed 
Hard Minerals Act less than seriously, on Tanexs 3s “1974 Senator Lee 
Metcalf and Representative Thomas N. Downing sent a letter to the 
Secretary of Commerce, Frederick B. Dent (Appendix D) inquiring 
about the Administration’s legislative approach on nodule mining an- 
nounced 15 months earlier and what progress has been aad on pre- 
paring an ocean mining environmental impact statement before the 
end of 1975 to serve as part of the governmental decision making 
process. 
Two months later, on August 21, as the first substantive session of 
the Law of the Sea Conference was sputtering to a close without pro- 
ducing anything of much substance, the Senate Interior Committee 
reported S. 1134, the Deep Seabed Hard Minerals Act, with Amend- 
ment No. 946 in the nature of a substitute as amended, Senate Report 
93-1116 (reintroduced into the 94th Congress as S. 713, Appendix re 
The sucndients to ee enemcns Mle. 946 are interesting in thé 
(1) Restores the eet State concept but does not revive 
the escrow fund. _ 
the provision oor pubs hearings, and speeds up the decision 
a period for granting licenses. 
( 8) F ther enaine the Mate of fi raintntedtGh for loss related 
to differing requirements of a future international regime. 
(9) Provides for the formation of consortia by limiting United 
States guarantee insurance and compensation to the portion of 
the interest owned by U.S. interests. 
These amendments to the bill, as reported out of committee, reflect 
many of the findings and substantive suggestions for improvement 
brought out in the ‘preceding hearings. In general, the amendments 
make the conditions for deep seabed dev elopment more favorable 
for U.S. developers. 
By unanimous consent, on September 4, 1974, the Senate took S. 1134 
from the calendar and referred it to the Committee on Foreign Rela- 
54 Tbid., p. 941. 
GPT ey (0) eis Say 
