[Mb-civic] CBC News - JAPAN ANNOUNCES EXPLORATION PERMITS IN DISPUTED WATERS

[CBC News Online]

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JAPAN ANNOUNCES EXPLORATION PERMITS IN DISPUTED WATERS
WebPosted Wed Apr 13 18:31:34 2005

TOKYO--- Japan has announced that it will allow its companies to explore
for oil and gas in waters disputed with China. The announcement comes as
diplomatic relations between the two countries continue to plummet.

The giant oil and gas field in the East China Sea is estimated to hold up
to 200 billion cubic metres of gas but China has consistently refused to
recognize Japanese claims that part of the field lies within a self-
declared Japanese exclusive economic zone.

Japan's Prime Minister Junichiro Koizumi says Tokyo is not trying to be
confrontational in granting exploration permits. But it is difficult to
see how the move will improve relations between the two nations.

But a senior Chinese official says he warned Tokyo not to award the test
drilling rights and said doing so would change the relationship.

Tensions between the two countries erupted in China on the weekend with
thousands of people taking part in protests at what China sees as Japan's
failure to own up to wartime atrocities.

Protests also recently flared in South Korea after Japan reasserted its
claims to a chain of islets controlled by Seoul. The Chinese began
exploratory drilling in 2003 but Japan has, to date, granted no
exploration permits. The Japanese Ministry of Economy, Trade and Industry
now says it will begin reviewing applications.

Chief Cabinet Secretary Hiroyuki Hosada says Japan has long discussed
exploration rights and informed China of its intentions.

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