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Asteroid mining refers to the extraction of minerals and raw materials from planetoids in outer space. Some of these Near-Earth Asteroids (NEAs) contain an “abundance of Rare Earth Elements” (REEs), which are essential for powering many modern technologies. Valuable volatiles and commodities such as silver, gold, platinum, aluminium and cobalt (among others) are also found in significant quantities. Extracting these REEs on Earth is a destructive and expensive process; our current mining procedures devastate ecosystems, displace communities, and produce long-lasting toxic waste in affected areas.
As REEs become increasingly vital in batteries, renewable energy, electronics and defence, global demand is rising sharply. With Earth’s reserves dwindling and environmental pressures mounting, space may offer a cleaner, longer-term solution. Asteroid mining presents a way to meet this demand without compromising the Earth’s ecosystems. Moreover, materials mined in space could be repurposed on-site as rocket propellant or used to build habitats, satellites, and other infrastructure in orbit, supporting a future in the ever-growing and exciting space economy.
To make this vision a reality, the principles, technologies, and feasibility of asteroid mining must be projected and examined. Australia is uniquely positioned to lead in this domain as it is the world’s largest exporter of iron ore, alumina, lead and zinc, and the second-largest exporter of uranium. As of 2024, mining accounted for 13.7% of Australia’s GDP. Australia also leads in global mining automation—an essential foundation for space-based operations. Companies like BHP and Rio Tinto are already deploying AI-guided, autonomous systems in remote regions that could one day be adapted for asteroid environments.
This article is a forward-looking feasibility study that analyses both Australian and international capacities for asteroid mining. Using data compiled from expert interviews and literature reviews, I will identify a hypothesis of anticipation of our progress along with the technological, legal, and economic barriers yet to be overcome. As global space missions advance and AI-driven robotics mature at a faster rate than commonly anticipated, the question shifts from if to when. Australia now faces a rare opportunity to shape the next resource frontier.
Economic Barriers Preventing Asteroid Mining Feasibility (High Risk + Profitability)
Asteroid mining companies and pioneers continue to face difficulty attracting investors. The issue lies largely in risk management. Space mining is a high-risk venture; complex technology can fail, missions can be delayed for years, and any human involvement brings enormous safety and logistical challenges. Even fully robotic missions carry the risk of catastrophic malfunction due to the harsh and unpredictable environment.
From a business perspective, the challenge is not just the upfront cost, but the timeline for return on investment, which is long and uncertain. Missions to mine an asteroid are estimated to cost between $50 million and $100 million each, not including R&D, legal, and launch expenses. Given that profitability could take a decade or more, with no guarantee of materialising.
However, economic models are beginning to shift. Asteroid materials may not be returned to Earth but used in orbit instead as construction material for satellites, stations, or as fuel (e.g. water ice converted into hydrogen/oxygen propellant). This reduces reliance on Earth-to-orbit launches and could establish asteroid mining as a space-based supply chain solution, especially as launch costs continue to fall below $1,000/kg, with projections dipping into the tens by the 2030s.
Technological Barriers Preventing Feasibility (Mapping, Extraction, Environmental Extremes)
Asteroid mining requires extraordinary engineering solutions. The physical conditions of space, including cosmic radiation, microgravity, thermal extremes, and abrasive dust, create technical challenges far beyond those faced in regular on-earth terrestrial mining.
Overcoming these challenges involves massive R&D programs aimed at de-risking, prototyping, and validating mission-critical technologies. These include anchoring systems (to keep robots fixed on low-gravity surfaces), thermal shielding, and tools capable of operating without direct human input. As Professor Hirdy Miyamoto of the University of Tokyo noted, “There are currently no maps of the asteroids in our solar system that are detailed enough to be used for mining operations.”
Legal Barriers Preventing Feasibility (Ownership of NEAs + No Clear Framework)
Asteroid mining operates in a legal grey area. The 1967 Outer Space Treaty states that outer space is “the province of all mankind” and forbids any country from claiming sovereignty over celestial bodies. However, it does not address whether commercial entities can extract and profit from those resources.
Australian law currently does not specify whether mining asteroids constitutes a lawful activity. Similarly, international legal instruments like the UN Moon Agreement have not been widely ratified by major spacefaring nations. As a result, there is no global standard for regulating ownership, taxation, environmental responsibility, or conflict resolution in space resource extraction.
The growing interest in asteroid mining raises the possibility of future disputes over high-value NEAs. In the absence of clear rules, geopolitical competition could escalate, especially as China, the US, and the EU push forward with sample-return and prospecting missions.
Encouragingly, Australia is a founding signatory of the Artemis Accords, a voluntary framework led by NASA that supports transparent, peaceful exploration of the Moon and beyond. While not legally binding, the Accords do promote cooperative norms, including the recognition of resource utilisation zones and data sharing.
Possible Australian Gateways to Solutions to Break Down Barriers
Automation and AI-Driven Mining Systems
To reduce the extreme risks associated with off-Earth mining, future operations will need to be almost entirely automated or remotely controlled. Given the significant costs, hazards, and delays involved in sending humans into deep space, robotic systems are not just beneficial, they’re essential.
While terrestrial mining isn’t fully automated yet, Australia leads in this field. Its multi-billion-dollar mining technology and services industry is a global benchmark for automation. Companies like Rio Tinto (AutoHaul) and BHP are already deploying autonomous trucks, drills, and predictive maintenance AI systems. These real-world technologies offer a natural platform to adapt for space operations.
In-Orbit Market and Space-Based Resource Use
One of the most promising business models for asteroid mining is not bringing resources back to Earth but using them in orbit. Materials like iron or aluminium may not be cost-effective to return to Earth. However, if mined and utilised in space, for constructing satellites, fuel tanks, or orbital stations, these same materials become more accessible to use. As space will become more industrialised, so will the demand for in-orbit materials.
According to space industry forecasts, launch costs to low Earth orbit (LEO) have dropped dramatically from over $85,000/kg in the 1980s to just under $1,000/kg in 2020, with projections falling to “tens of dollars per kilogram” by 2040 due to reusable rockets and next-gen launch systems like SpaceX’s Starship.
If Australia positions itself as a provider of fuel, materials, or AI analytics in orbit, it could establish a strong commercial presence in this emerging supply chain. As one expert stated, “There is a clearly identifiable market in space… delivering fuel or metals from in-space sources will soon be cheaper than lifting them from Earth.”
Developing on the Moon as a Stepping Stone
The Moon offers an ideal testing ground for asteroid mining. With some gravity, consistent lighting conditions, and the future presence of astronauts, lunar mining offers both logistical accessibility and human oversight. As stated by Dr Brad Tucker, “Developing on the Moon is the first step towards mining asteroids.” NASA’s Artemis Program aims to establish a semi-permanent presence on the lunar surface, and Australia is playing a role in the form of rover development, telemetry systems, and resource processing technology.
Frequent Missions and Long-Term Investment
Exploring and understanding NEAs requires frequent launches, high-resolution mapping, and on-site testing. As Mark Sonter explains, “Missions and investment into flying them must take place more frequently.” Only through repeated engagement can we build reliable geological, structural, and compositional models of potential asteroid targets.
The good news is that NEAs are energetically easier to reach than Mars. With lower fuel demands and shorter trip durations, they represent an ideal proving ground for long-horizon space investors. Australia can contribute by becoming a data analytics hub, mission support provider, or launch/recovery site for future asteroid missions.
Collaboration Policies and Legal Framework Development
Australia is already ahead of the curve in one key area: international cooperation. As one of the seven original signatories to the Artemis Accords, it has committed to principles of peaceful, transparent, and cooperative exploration of outer space. The Accords provide a diplomatic framework for emerging space norms, including the extraction and use of off-Earth resources. While not yet enforceable, they form the backbone of what could become the “rules of the road” for space mining. Continued partnerships with NASA, JAXA, ESA, and commercial space companies will ensure that Australia remains at the table in approaches to asteroid mining.
Current and Near-Future Asteroid Mining Capabilities
Asteroid mining has progressed from abstract theory to technical possibility, thanks to early missions that have laid the groundwork for future off-Earth extraction. Notably, Japan’s Hayabusa2 mission marked a major milestone in 2020 when it returned two samples from asteroid Ryugu to Woomera, South Australia, in a joint operation between JAXA and the Australian Space Agency. This mission demonstrated the feasibility of robotic asteroid rendezvous, surface interaction, sample retrieval, and safe re-entry.
Looking ahead, Australian consultant and mining expert Mark Sonter is leading efforts to launch the Deimos Mission, with the goal of collecting a significantly larger quantity of asteroid material. If successful, Deimos could provide the first near-commercial demonstration of asteroid resource extraction and return. While these missions are promising, serious technological hurdles remain. The operational environment of an asteroid presents extreme challenges: microgravity, cosmic radiation, fluctuating temperatures, and irregular terrain all make human presence dangerous and expensive. Sonter states that “space mining will require automation.” He also notes that “Australian companies lead mining automation”, making the nation a natural supplier of next-generation mining solutions.
Australia’s leadership in mining technology is well established. A 2021–2022 GlobalData survey of 138 mine sites found that Australian mines ranked highest in 8 out of 13 categories, including autonomous and remote-control vehicles, predictive maintenance software, drones, collision avoidance systems, and wearable tech. These advanced systems are already deployed in harsh, remote environments, exactly the kind of conditions found on asteroids.
Despite these breakthroughs, as of 2025, Australia does not yet have an official asteroid mining strategy, national legal framework, or dedicated funding pathway. Without these, business models remain speculative, and commercial missions remain just over the horizon. Still, the foundation is solid. Australia’s international collaborations, geographic advantage (e.g. Woomera), mining automation capabilities, and growing presence in space robotics all place it in a favourable position to lead.
Conclusion
Asteroid mining is still in its infancy. The convergence of falling launch costs, advances in AI and automation, emerging legal frameworks, and international cooperation suggests that asteroid mining will evolve from theory to practice in the coming decades.
This report has identified the most significant barriers: technology readiness, lack of investment, and legal ambiguity. Yet momentum is building. With Hayabusa2, OSIRIS-REx, and Psyche proving feasibility, the space industry is now racing toward operational models.
Australia holds unique advantages as a globally dominant mining tech sector, strong international partnerships, and physical infrastructure for recovery and mission support. However, to move from passive collaborator to active pioneer, the Australian government must establish a national space resources strategy, legal frameworks, and funding for commercial trials.
As one expert noted, “Every future space mission really relies on space resource extraction.”
Australia now has the tools, talent, and trajectory to help lead humanity’s next great resource revolution, one that begins not in the mines of Earth, but among the asteroids above.
