The space resources fund: A solution to the space resources benefit sharing dilemma?

This article investigates the use of a bespoke fund, the Space Resources Fund (SRF), to facilitate monetary benefit sharing from commercial space resource utilisation (SRU) and at the same time provide a source of funding for a developing space resource industry. The study investigates the possible objectives such a fund could have and compares these to range of terrestrial fund types that could have similar objectives. We find that there is no one fund type that could meet the possible objectives for a SRF, however, by combining several fund types, it is possible to construct a dedicated fund that meets the objectives initially developed. The study proposes a fund with the Double Bottom Line of both generating monetary benefits from commercial SRU and providing investment capital to an industry targeting SRU. The study also proposes a possible strategy, structure, funding mechanism and benefit distribution mechanism for the SRF and undertakes high level financial modelling to illustrate the wealth creation potential of such a fund. Further, we discuss the advantages and disadvantages of the approach proposed in this study compared to the use of a royalty mechanism for monetary benefit sharing, should monetary benefit sharing ultimately be proposed, by the UN Committee On the Peaceful Uses of Outer Space (COPUOS) for example. This work builds on previous work that reviews the ongoing debate concerning benefit sharing from commercial SRU and explores the use of royalties for such monetary benefit sharing in the context of commercial lunar ice mining. We conclude that a SRF as proposed here could help resolve the long standing dilemma of how to facilitate monetary benefit sharing from commercial SRU without impacting the development of such an industry.