A New Policy Framework for Resource Extraction and Property Rights in Outer Space

The rise of the new space economy represents a paradigm shift. In this context, the extraction of space resources represents a key opportunity to sustain space exploration and reduce the reliance on Earth resources. Lunar water could be converted into fuel, helium-3 might revolutionize clean energy production, and rare metals could enhance technological advancements. However, international agreements are outdated, general, and hardly enforceable. This created a legal void that has been filled by some national laws, contributing to the fragmentation of the regulatory landscape. This thesis analyzes and examines the shortcomings of current international agreements and national laws in addressing equitability, environmental, and governance challenges. Furthermore, it proposes a new policy framework that hinges on these three dimensions. The new framework advocates for creating a new UN-backed organization regulating extraction, promoting sustainable practices, and ensuring benefit-sharing mechanisms. The framework lays its foundation on a credit-based system that drives innovation while fostering environmental stewardship and promoting global fairness. Space-faring nations would mainly benefit from the international legitimacy and innovation incentives embedded in the system, while non-space-faring ones would obtain actionable mechanisms to be part of the space race and benefit from it, in accordance with the Outer Space Treaty philosophy.