E. Timor to renegotiate oil, gas treaty: Horta
E. Timor to renegotiate oil, gas treaty: Horta
SINGAPORE (Reuters): East Timor wants to renegotiate an
existing joint oil and gas prospecting treaty, which dictates the
development of resources in the Timor Sea, with Australia,
independence leader Jose Ramos-Horta on Sunday.
"We honor the terms of the (Timor Gap Zone of Cooperation
Treaty) temporarily until independence and then we will have to
look into ways to adjust the treaty to East Timor's interest," he
told Reuters on arriving in Singapore for a two-day visit.
The treaty would be reviewed in two years, he added.
In the meantime, the United Nations Transitional Authority
(UNTA) has started managing the East Timor share of the Timor Gap
oil and gas reserves, taking over from Indonesia, he said.
The UNTA will manage the treaty and oil revenue for the next
two years.
The treaty was originally signed in the early 1990's by
Indonesia and Australia to develop hydrocarbon resources that lie
in basins straddling the two countries' seabed boundary.
Ramos-Horta also said that Phillips Petroleum Co had been
assured of its interest in the Timor Gap concession and told to
carry on the proposed oil and gas development.
Phillips plans to develop the Bayu-Undan gas field in the
Timor Gap, with first production set for late 2003 or early 2004.
Studies are underway to export the gas through a pipeline to
Australia.
Phillips is currently producing about 15,000 barrels a day of
oil from Timor Gap's Elang, Kakatua and Kakatua North oil fields.
Further exploration continues in the three fields which at
peak produced 35,000 to 40,000 barrels a day.
Horta also said that his visits to China and South Korea were
positive and had drawn pledges of aid to his devastated country.
He told reporters on his arrival in Singapore that China was
offering a few million dollars in goods and South Korea would
provide a few million dollars in grants through the World Bank.
Ramos-Horta, a Nobel peace laureate, and East Timor pro-
independence leader Xanana Gusmao are in Singapore for a three-
day visit - the third leg of a six-nation Asian tour to seek aid
and investment for the country and talk about post-independence
diplomatic scenarios.
Ramos-Horta and Gusmao will meet Singapore Prime Minister Goh
Chok Tong as well as Senior Minister Lee Kuan Yew before
departing for the other Association of South East Asian Nation
(ASEAN) member countries of Thailand, the Philippines and
Malaysia.
The East Timor leader said he would be discussing a range of
issues including "future diplomatic relations" with the Singapore
officials.
He also said East Timor, which voted last August for
independence from Indonesia, would seek membership in ASEAN
although its first move would be to apply for observer status
both at ASEAN and APEC.
SINGAPORE (Reuters): East Timor wants to renegotiate an
existing joint oil and gas prospecting treaty, which dictates the
development of resources in the Timor Sea, with Australia,
independence leader Jose Ramos-Horta on Sunday.
"We honor the terms of the (Timor Gap Zone of Cooperation
Treaty) temporarily until independence and then we will have to
look into ways to adjust the treaty to East Timor's interest," he
told Reuters on arriving in Singapore for a two-day visit.
The treaty would be reviewed in two years, he added.
In the meantime, the United Nations Transitional Authority
(UNTA) has started managing the East Timor share of the Timor Gap
oil and gas reserves, taking over from Indonesia, he said.
The UNTA will manage the treaty and oil revenue for the next
two years.
The treaty was originally signed in the early 1990's by
Indonesia and Australia to develop hydrocarbon resources that lie
in basins straddling the two countries' seabed boundary.
Ramos-Horta also said that Phillips Petroleum Co had been
assured of its interest in the Timor Gap concession and told to
carry on the proposed oil and gas development.
Phillips plans to develop the Bayu-Undan gas field in the
Timor Gap, with first production set for late 2003 or early 2004.
Studies are underway to export the gas through a pipeline to
Australia.
Phillips is currently producing about 15,000 barrels a day of
oil from Timor Gap's Elang, Kakatua and Kakatua North oil fields.
Further exploration continues in the three fields which at
peak produced 35,000 to 40,000 barrels a day.
Horta also said that his visits to China and South Korea were
positive and had drawn pledges of aid to his devastated country.
He told reporters on his arrival in Singapore that China was
offering a few million dollars in goods and South Korea would
provide a few million dollars in grants through the World Bank.
Ramos-Horta, a Nobel peace laureate, and East Timor pro-
independence leader Xanana Gusmao are in Singapore for a three-
day visit - the third leg of a six-nation Asian tour to seek aid
and investment for the country and talk about post-independence
diplomatic scenarios.
Ramos-Horta and Gusmao will meet Singapore Prime Minister Goh
Chok Tong as well as Senior Minister Lee Kuan Yew before
departing for the other Association of South East Asian Nation
(ASEAN) member countries of Thailand, the Philippines and
Malaysia.
The East Timor leader said he would be discussing a range of
issues including "future diplomatic relations" with the Singapore
officials.
He also said East Timor, which voted last August for
independence from Indonesia, would seek membership in ASEAN
although its first move would be to apply for observer status
both at ASEAN and APEC.