Is TMC (TMC the metals company Inc.) Halal or Haram?

Based on our AAOIFI-standard shariah screening, TMC is Halal and considered permissible for Muslim investors. It passed all 4 of 4 compliance screens including business activity review, debt-to-market-cap ratio (0.45% vs ≤33% threshold), interest income ratio (0.00% vs ≤5% threshold), and cash & securities ratio (0.13% vs ≤33% threshold).

TMC the metals company Inc. operates at the frontier of the mining industry, focusing on the exploration and collection of polymetallic nodules from the seaf loor in the Clarion Clipperton Zone of the Pacific Ocean. Instead of traditional digging, they aim to collect these nodules to extract critical battery metals like nickel, cobalt, copper, and manganese. This positions them as a potential key supplier for the electric vehicle (EV) and renewable energy storage markets. For Muslim investors, TMC presents as a fully Shariah-compliant stock, having passed all four AAOIFI screening metrics. The company's business model involves the permissible extraction of natural resources , free from haram elements like alcohol, gambling, or conventional banking. This 'Halal' status indicates that the core revenue generation is clean and aligns with Islamic financial principles. Financially, TMC is remarkably clean from a debt perspective, boasting a debt-to-market cap ratio of just 0.4%, which is far below the 33 % limit allowed by scholars. Furthermore, the company reported 0.00% interest income relative to its revenue, meaning there is currently no need for dividend purification. This low leverage and lack of interest-bearing income make it a technically sound choice for strict Shariah-conscious portfolios. Investors should monitor the company as it moves from exploration to commercial production, as financing needs may change. While currently compliant, deep-sea mining carries significant environmental debates, so investors prioritizing strict ESG (Environmental, Social, and Governance) alignment alongside Shariah compliance should weigh the ecological impact of seafloor collection. TMC the metals company Inc. operates in the Basic Materials sector under the Industrial Materials industry and is headquartered in Vancouver, BC, CA. The company is led by CEO Gerard Barron and employs approximately 47 people.

TMC was screened using AAOIFI-based shariah compliance criteria. Four tests are applied: (1) Business Activity — the company's core business must not derive primary income from haram (prohibited) activities such as alcohol, gambling, tobacco, or interest-based finance. (2) Debt-to-Market-Cap — total debt must not exceed 33% of market capitalization. (3) Interest Income — interest income must not exceed 5% of total revenue. (4) Cash & Securities — cash and interest-bearing securities must not exceed 33% of market cap. TMC passed 4 of these 4 screens.

Although TMC passes all shariah screens, it does earn $176,000 in interest income (0.00% of revenue). Many scholars recommend purifying this portion by donating the equivalent percentage of any dividends received to charity. For example, if you receive $100 in dividends, you would donate approximately $0.00 to purify the income.

TMC was last screened on 2026-02-25. Shariah compliance status can change as companies report new financial data, acquire new businesses, or shift revenue streams. We recommend checking back periodically for the most up-to-date screening results.