Oil and gas development in disputed waters

Maritime delimitation is crucial in determining which coastal States may exercise control and jurisdiction over certain hydrocarbon deposits. Although international law has recently become more precise on the matter, boundary disputes are frequently resolved only after several or even many years. Even while coastal States are in a deadlock over delimitation issues, the need to explore and exploit the disputed areas’ resources remains imperative for reasons of energy security, social welfare and economic development. Thus, the question arises as to the rights and obligations of coastal States with respect to the development of natural resources in areas subject to overlapping claims.

Against this background, the paper examines the relevant provisions of the 1982 United Nations Convention on the Law of the Sea, international jurisprudence and State practice. The central argument advanced is that in the absence of an agreed boundary or a provisional cooperative agreement, none of the States concerned operates legitimately in unilaterally undertaking petroleum operations in the disputed area, including seismic surveys, should the conduct of such operations prove to aggravate the dispute. Finally, this paper considers the practical implications of the aforementioned legal position on the development of hydrocarbon resources in areas subject to overlapping maritime claims.