The Grand Duchy of Luxembourg on Nov. 11 adopted a draft law protecting the rights of private companies from any country in the world to resources they extract in outer space, specifically on asteroids.
It expects the law to take effect in early 2017.
While space mining activities remain a wish more than a financial reality, Luxembourg seeks to provide the legal and regulatory framework ahead of time for this multi-trillion dollar business in accordance with international law.
Private companies should expect legal certainty as to the ownership of minerals, water and other space resources identified on Near Earth Objects (NEOs) such as asteroids with the draft law.
"The legal framework we put in place is perfectly in line with the Outer Space Treaty," said Deputy Prime Minister and Minister of the Economy Etienne Schneider.
"Our law does not suggest to either establish or imply in any way sovereignty over a territory or over a celestial body. Only the appropriation of space resources is addressed in the legal framework."
Luxembourg, a small but rich country in the middle of Europe, is eager to have a clear international legal framework covering space mining and advocates international cooperation to advance a future governance scheme and a global regulatory framework dealing with space resources utilization.
Schneider said negotiations are underway to formalize relationships with some 20 companies and entrepreneurs from inside and outside of Europe.
Luxembourg wants to craft regulations for the authorization and supervision of space resource utilization missions, including both the exploration and use of these resources.
The draft law supports Luxembourg's space sesources initiative whose goal is to mine minerals from NEOs, among which are asteroids. Experts say asteroids have a high density of precious metals such as platinum and rare earths. Outer space mining activities will also create a new space industry.
Luxembourg called on other nations to join its initiative, saying more countries will prove "a concrete interest in collaborating."