>From: Rick Rozoff <[EMAIL PROTECTED]> > >STOP NATO: NO PASARAN! - HTTP://WWW.STOPNATO.HOME-PAGE.ORG > >http://www.smh.com.au/news/0004/13/world/world01.html > >Sydney Morning Herald >April 13, 2000 > > >Timor set for oil windfall >By DAVID LAGUE, Foreign Affairs Correspondent > >An independent East Timor would have a powerful legal >case to renegotiate the Timor Gap treaty and win a >bigger share of potentially massive oil and gas >revenues, according to legal and oil industry experts. > >The terms of the controversial treaty between >Australia and Indonesia carving up the seabed oil and >gas have continued under an interim arrangement with >the United Nations Transitional Authority in East >Timor, but a new government in Dili would have the >right to renegotiate its ocean boundary with >Australia. > >There are potentially billions of dollars in revenue >at stake for an impoverished East Timor. > >Since the treaty was signed in 1989, it has become >accepted under the UN Convention on the Law of the Sea >that the exclusive economic zone boundary between two >states that are less than 400 nautical miles apart >should be the mid-line between their coasts. > >If a new government in Dili succeeded in redrawing the >boundary to this mid-point, the bulk of the oil and >gas Australia shares in the Timor Gap would fall in >East Timorese territory. > >An oil and gas industry consultant and Timor Gap >analyst, Mr Geoffrey McKee, believes the birth of the >new nation will clear the way for a new deal. > >"All our research points to the fact that a settlement >in accordance with international norms would be in >East Timor's favour. I think this will be settled by >international arbitration. If it goes to arbitration >East Timor can't lose." > >A Canadian lawyer and oceanographer, Mr Jeffrey Smith, >has thrown his weight behind legal arguments that East >Timor could do better from a new deal with Australia. >He is about to publish a lengthy legal paper on East >Timor's maritime entitlements, and he also believes >that a middle line will become the new boundary. > >The Howard Government and the oil industry have been >anxious to preserve the existing arrangements to >exploit the Timor Gap resources during the transition. > >A spokesman for the Minister for Foreign Affairs, Mr >Downer, said yesterday that the Government was happy >with existing arrangements but the future of the >treaty was under "active consideration". > >The convener of the Australia East Timor Association, >Dr Andrew McNaughtan, said yesterday that it would be >up to the future government of East Timor to decide >how it would deal with Australia on the Timor Gap, but >there was now an opportunity to agree on a legitimate >oceanic border. > >"The Timor Gap treaty is a pretty shonky piece of work >that is a by-product of Indonesia's illegal occupation >and annexation of East Timor and Australia's collusion >with Jakarta over this," he said. > >There are projections from oil industry sources that >government revenues for oil alone from the Bayu-Undan >field in the co-operation zone could reach $5.2billion >over 24 years if this went ahead. > >Under existing arrangements, this would be split >evenly between Australia and East Timor. > >A consortium headed by Phillips Petroleum late last >year announced that it would go ahead with initial >development of the field. > >Critics of the Timor Gap treaty say that Australia had >expected a generous deal from Jakarta after >recognising its rule over East Timor but that >Indonesia had taken a tough line after conceding too >much in earlier agreements on common oceanic >boundaries. > >They say the complex treaty with its sharing >arrangements demonstrates that the two sides failed to >agree on a border. > >After initially condemning the treaty, East Timorese >leaders have assured the oil industry and the >Australian Government that they want the development >to go ahead under existing arrangements while East >Timor is under UN control, but there have been signals >that they will want the border renegotiated as they >begin to redevelop their economically backward >homeland. > >However, in this sensitive transitional phase, the >leadership is unwilling to antagonise Canberra or >deter the oil industry with claims for a bigger share >of revenues. > >__________________________________________________ >Do You Yahoo!? >Send online invitations with Yahoo! Invites. >http://invites.yahoo.com > > >______________________________________________________________________ >To unsubscribe, write to [EMAIL PROTECTED] >---------------------------------------------------------------------- >Advertisement: >Workstation with Monitor under $800! >So, you just heard that you need to add how many new workstations by >the end of next week? Check out the bundle below. It includes >everything you need to get everyone up and running quickly. >http://www.listbot.com/links/cdw5 > __________________________________ KOMINFORM P.O. Box 66 00841 Helsinki - Finland +358-40-7177941, fax +358-9-7591081 e-mail [EMAIL PROTECTED] http://www.kominf.pp.fi ___________________________________ [EMAIL PROTECTED] Subscribe/unsubscribe messages mailto:[EMAIL PROTECTED] ___________________________________
