HALIFAX - Nova Scotia is putting an end to all underwater commercial treasure hunting along its coast in a move aimed to prevent the loss of the province's marine heritage.

The government said Wednesday it would introduce legislation in the fall to repeal the Treasure Trove Act.

Enacted in 1954, the law governs treasure hunting on famed Oak Island on the province's south shore. The scope of the original act was subsequently expanded to cover the licensing of shipwreck salvage operations off the coast.

Under the current rules, treasure hunters are allowed to keep most of what they find. But they are required to hand over 10 per cent of non-precious artifacts to the province.

David Salter, a spokesman for the Department of Natural Resources, said the intent of the new Oak Island Act is to ensure that everything that is found beneath the sea stays in Nova Scotia.

He said individuals and groups will still be allowed to dive on wrecks, but only for archeological and historical purposes.

"Anything that is found would become property of the province," said Salter.

He said some outstanding licenses would still be granted to applicants who meet policy guidelines for treasure hunting, but that all activities would come to an end Dec. 31.

Salter couldn't provide a precise figure, but said there aren't any more than a "handful" of outstanding licences.

The new legislation would incorporate elements of the existing Special Places Protection Act, which carries penalties for those who would remove artifacts without a heritage research permit.

Under the act, anyone in violation can be fined up to $10,000, while a company can face a fine of up to $100,000. The province also has the authority to seize anything found during an excavation.

"This just makes it (legislation) more streamlined and clearer that the purpose is essentially to preserve these heritage objects here in Nova Scotia," said Michael Noonan, a spokesman for the Department of Tourism, Culture and Heritage.

Both provincial officials said repealing the Treasure Trove Act would bring Nova Scotia in line with other provinces.

John Wesley Chisholm, a Halifax-based independent filmmaker and avid diver, welcomed the news.

"It allows us to move together under one legislation and figure out the best way to explore and protect and share the marine cultural heritage," said Chisholm.

He says that's significant in a province with an estimated 10,000 shipwrecks, more than any other part of North America.

Chisholm also believes the opportunity now exists to look at new ways to publicly showcase the mysteries that lie beneath the province's coastal waters.

"I think it's our duty ... to try to improve the way we look after this hidden part of Nova Scotia with its story that is relevant to the world," he said.