Guano is a rich source of potassium nitrate (saltpeter) used to make gunpowder.

That's the reason this act exists.

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I know guano has utility, but that doesn’t make this logical in regards to why that should make them have authority lolz it’s just weird

I personally believe that any un-homesteaded property is fair game for anyone to homestead and claim it as their own as their own.

A good book that describes this is "For a New Liberty" by Murray M. Rothbard

Also listen to Stephen Kinsella's podcast "Kinsella on Liberty" he gives very good explanations.

If the property is currently homesteaded then a mutual agreement between the property owner and the individual wishing to take possession must be arranged.

I don't believe governments can do this as a government is not a person and therefore has no ability to possess anything.

Totally agree on all that, an individual would have the right, not a state.

Why not just say any island with rocks is ours? Get every resource if it’s that easy to just say

That's kinda what governments have been doing for ages.

I'm not condoning it, just stating it.