The establishment of a local subsidiary is a procedural step aligned with the Company’s previously disclosed intention
to pursue opportunities in the Cook Islands and is intended to support engagement with the Cook Islands Seabed
Minerals Authority and other relevant stakeholders.
As noted in the Company’s February 11, 2026, strategic update, Deep Sea Minerals has been assessing multiple
regulatory pathways, including those in the Cook Islands and the United States, as part of a broader effort to
evaluate offshore critical mineral opportunities.
Cook Islands Jurisdiction Context
The Cook Islands is among a limited number of jurisdictions that have developed a dedicated legislative and regulatory
framework for seabed mineral activities. The Cook Islands Seabed Minerals Authority oversees licensing, environmental
management, and stakeholder engagement processes associated with offshore mineral development.
The country’s EEZ has been the subject of government-supported scientific programs focused on polymetallic nodules,
which are known to contain nickel, cobalt, manganese, and copper, metals commonly associated with defense and other
industrial applications. While offshore mineral development remains at an early stage globally, the Cook Islands has
taken steps to establish environmental safeguards, as well as defined permitting processes and regulatory
expectations. The Company views these as relevant in the context of evaluating potential project pathways.
Subsidiary Formation and Application Readiness
The newly formed subsidiary is expected to serve as the Company’s local operating entity in the Cook Islands and to
facilitate administrative, regulatory, and stakeholder-related activities associated with a potential application.
“This step is part of the procedural groundwork required to evaluate a potential application in the Cook Islands,”
said James Deckelman, Chief Executive Officer of Deep Sea Minerals Corp. “Our approach remains focused on
understanding regulatory requirements, engaging with relevant authorities, and assessing technical and environmental
considerations.”
Broader Market Context
Global demand for certain minerals, including nickel, cobalt, manganese, and copper, has increased in recent years,
driven in part by electrification trends, infrastructure development, and manufacturing requirements. At the same
time, supply chain diversification and security have become areas of focus for numerous governments. Seabed mineral
resources have been discussed as a potential supplementary source of these materials; however, the sector remains
subject to evolving regulatory frameworks, environmental considerations, and technological development. Within this
context, Deep Sea Minerals continues to assess jurisdictions where regulatory processes are defined and where baseline
scientific data are available.
Next Steps
Deep Sea Minerals Corp. will continue its technical, regulatory, and stakeholder engagement efforts in relation to the
Cook Islands. The Company has not yet submitted an application in the Cook Islands and will provide further updates as
its evaluation progresses.