 Northern Exploration Company had conducted trial operations with mining on Blomstrandhalvøya, a headland across Kongsfjorden from Ny-Ålesund, in 1906.The British company set forth claims to the southern part of the bay in 1919, arguing that they had conducted a valid occupation of that area as well.An agreement was struck between the British company and the Government of Norway on 26 October 1925, whereby two-thirds of the land in question was waived and variously given to Kings Bay, Kulspids, Stavanger Spitsbergen and the government for £37,000.