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Transcript of Energy at sea: Old Problems, New Challenges Joint development agreements: seabed exploitation in...
![Page 1: Energy at sea: Old Problems, New Challenges Joint development agreements: seabed exploitation in disputed maritime areas Vasco Becker-Weinberg Faculty.](https://reader035.fdocuments.us/reader035/viewer/2022081513/5697c01f1a28abf838cd1b9a/html5/thumbnails/1.jpg)
Energy at sea:Old Problems, New Challenges
Joint development agreements:
seabed exploitation in disputed maritime areas
Vasco Becker-WeinbergFaculty of Law, Universidade NOVA de Lisboa,
PortugalAthens, October 22, 2015
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1. Concept and purpose of joint development2. General legal considerations3. Mineral resources clause4. Joint development after maritime
delimitation5. Joint development before maritime
delimitation6. Joint development (and unitization) in
Europe7. Conclusions
Outline:
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1. Concept and purpose of joint development
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“Never two straws in one glass”(Mouton, The Continental Shelf, RCADI, 1954)
JDA: cooperative efforts between two or more States for the exploration and exploitation of mineral resources that straddle a maritime boundary of are found in areas of overlapping claims …
Concept and purpose ofjoint development
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Before and after maritime delimitation and when resources are partly found in the Area (article 142):
a) Activities in the Area shall be conducted with due regard to the of the coastal State concerned
b) Consultations shall be maintained with the coastal State
c) Avoid infringement of rights and interests of the coastal State
d) No exploration of common resources without prior consent of the coastal State
Concept and purpose ofjoint development (cont.)
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2. General legal considerations
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Power to negotiate and enter into joint development agreements
Legal nature of agreements:a) Before maritime delimitationb) After maritime delimitation
Relevant principles of the law of treaties
Agreements and third States
General legal considerations
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Relevance of mineral resources for maritime delimitation: “the essential unity of a deposit” (?)
Relation with States’ submission for the extension of the continental shelf (Mauritius-Seychelles 2012)
The role of private entities: oil and gas sectora) Information on resourcesb) Investment in a high-risk and capital intensive
industryc) Infrastructure and capabilities
General legal considerations (cont.)
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3. Mineral resources clause
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Outline of State practice regarding:a)maritime delimitation agreements b) joint development agreements
Legal relevance of mineral resources clauses
Is there an obligation to include m.r.c.? Non-compliance with m.r.c.
States’ obligations in the absence of m.r.c.: negotiate in good faith, restraint and share info
Mineral resources clause
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4. Joint development after the delimitation of maritime boundaries
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Basis for joint development after the delimitation of maritime boundariesa) Resource-efficiencyb) Access to resources that would otherwise be
off-limitsc) Reinforcement of capabilitiesd) Aiding in the delimitation of (partial) maritime
boundaries
States’ obligations
Rights and freedoms of third States
Transboundary hydrocarbon deposits
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5. Joint development before the delimitation of maritime boundaries
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Provisional arrangements of a practical nature (Articles 74(3) and 83(3) of UNCLOS)
a) States shall make every effort to enter into provisional arrangements of a practical nature and, during this transitional period, not to jeopardize or hamper the reaching of the final agreement
b) Arrangements are without prejudice to the final delimitation
Areas of overlapping claims
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Economic activities in disputed maritime areas
The economic relevance of maritime delimitation
Conflicting titles: ‘making your claims known!’
Identification of the joint development area
Areas of overlapping claims (cont.)
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Relation with final delimitation of maritime boundaries
Rights and duties of claiming States
Rights and duties of other States
Settlement of disputes (Part XV of UNCLOS)
Identifying the joint development area
Areas of overlapping claims (cont.)
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Protection and preservation of the marine environment in disputed maritime areas
Pollution from seabed activities
Obligation to not cause transboundary harm or damage
Areas of overlapping claims (cont.)
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Essential legal and functional elements of joint development
State participation in exploration and exploitation activities
Creation of joint entities
Areas of overlapping claims (cont.)
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Access to operations
Safeguard of pre-existing rights
Taxation, sharing of costs and revenues
Employment, health and safety
Protection and preservation of the marine environment
Applicable law and settlement of disputes with and between operators
Areas of overlapping claims (cont.)
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Classification and exercise of ‘jurisdiction’
Construction and operation
Removal and decommissioning
States’ responsibility for pollution from seabed activities
Maritime security
Oil rigs in disputed maritime areas
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6. Joint development (and unitization) in Europe
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Czechoslovakia-Austria, 1960 Ems-Dollard Treaty, 1962 The North Sea, (1964/1965) 1971 The Bay of Biscay (Spain-France), 1974 Frigg Field Reservoir (UK-Norway), 1976 Murchison Field Reservoir (UK-Norway), 1979 Statfjord Field Reservoir (UK-Norway), 1979 Framework Agreement (of the above), 2005
Joint development in Europe
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Jan Mayen (Iceland-Norway), 1980 Unitization Markham Field Reservoir (UK-
Netherlands), 1992
The Spanish-French-Italian initiative
The eastern Mediterranean
Spain and Portugal in Macaronesia
Joint development in Europe
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7. Conclusions
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Cooperation is essential for resource-efficiency
Joint development is economically-driven
Consistency of State practice & ‘do we need a model?’
There is no obligation to develop common offshore hydrocarbon deposits
There is no obligation to enter into joint development agreements
Conclusions
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Disputes (should) have no impact on compliance with the fundamental principles enshrined in UNCLOS
UNCLOS does not include provisions on disputed maritime areas or territorial disputes regarding islands and other offshore features
UNCLOS provides rules that are applicable when States fail to reach an agreement on the delimitation of maritime boundaries.
Conclusions (cont.)
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States’ obligations in the absence of an agreement:
a) Legal consistency and release of claimsb) Due regard and mutual restraintc) Negotiate in good faithd) Cooperate and adoption of substantial
and procedural duties
Managing/governance in disputed maritime areas:- “addressing a multitude of challenges”
Conclusions (cont.)
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Vasco Becker-Weinberg
Joint Development of Hydrocarbon Deposits in the Law of the Sea
Springer Verlag (2014)
Obrigado!