OSLO, Dec 1 (Reuters) - Norway will not proceed with plans to conduct deep-sea mining, the SV party which supports the minority centre-left government said on Sunday, after it concluded negotiations over next year's budget with the coalition.

Norway has paused its controversial project to open up its seabed for commercial-scale deep-sea mining. Oslo had planned to let companies apply to mine 280,000 sq km (108,000 sq miles) of its waters for precious metals - an area bigger than the size of the UK.

Norway's government reached an agreement with a small progressive party to not mine in the Arctic in exchange for it supporting its budget.

Norway has shelved plans to open a vast ocean area at the bottom of the Arctic for commercial-scale deep-sea mining.

Norway suspended its plans to open vast areas of its seabed for deep-sea mining on Sunday (December 1), reacting to pressure from environmental groups and political negotiations. The original proposal from the Norwegian government would have allowed companies to apply for licenses to mine around 280,

The government, however, intends to continue preparatory work, including the regulations development and environmental impacts assessment.