Philippine-China Pact on China Sea Merely Marine Seismic Study
Wednesday September 15, 9:00 AM
Philippine-China Pact on China Sea Merely Marine Seismic Study

MANILA, Sept 15 Asia Pulse - An agreement signed between the Philippine National Oil Corporation (PNOC) and the China National Offshore Oil Corp. (CNOOC) for a two-year joint marine seismic study is in accordance to the Code of Conduct on the South China Sea signed between the Association of Southeast Asian Nations (ASEAN) and China in 2002, Energy Secretary Vincent Perez said Tuesday.
In a briefing in Malacaang following a Cabinet Meeting, Perez said the accord does not call for any exploration or a development activity in the Spratlys, but "a data-gathering research study" whereby both oil companies will share in the cost of gathering information in certain areas of the South China Sea.

He explained that the agreement does not involve a third party in the Philippines or in China and that the internal funds of the two foreign corporations would be used for the study.

According to Perez, the project cost is around $7 million, and the agreement calls for them to share "50-50."

China and the ASEAN in November 2002 signed a Code of Conduct in the South China Sea whose aim is to maintain peace and stability in the disputed archipelago.

Pending the peaceful settlement of disputes, the parties concerned vowed to intensify efforts to seek ways, in the spirit of cooperation and understanding, to build trust and confidence between and among them, the declaration stressed.

Perez explained that the joint study is a confidence-building measure. "This is an activity that would allow us to convert an area of conflict into an area of cooperation, from a sea of dispute into a sea of harmony," he said.

During the state visit of President Gloria Macapagal-Arroyo to Beijing early this month, the Philippines and China agreed to promote the peaceful settlement of disputes in accordance with universally recognized principles of international law, including the 1982 United Nations Convention on the Law of the Sea.

They likewise agreed that the early and vigorous implementation of the 2002 ASEAN-China Declaration on the Conduct of Parties in the South China Sea would pave the way for the transformation of the South China Sea into an area of cooperation.

(PNA) http://asia.news.yahoo.com/040915/4/1o9n1.html