Offshore transboundary petroleum deposits : cooperation as a customary obligation

Abstract

An economical development of any State depends strongly on natural resources at its disposal. The oil and natural gas resources, being relatively cheap and widely used energy source, play very important role in it. While those resources that are at the undisputed disposal of states are not a subject of a big concern, these of transboundary nature present one of the most controversial and less developed issues. The land frontiers is clearly established almost everywhere, but the continental shelf delimitation has less than a hundred years history and, therefore attracts much more attention.

In its judgment in the North Sea Continental Shelf cases the International Court of Justice expressed main problem arising in case of transboundary resources, the same deposit lying on both sides of the line dividing a continental shelf between States. The problem is that given the fact that it is possible to exploit such deposit from either side, it can lead to prejudicial or wasteful exploitation by one or the other of the interested States.