Arab Today, arab today costly oil fuels east asia tensions
Last Updated : GMT 04:36:29
Arab Today, arab today
Arab Today, arab today

Costly oil fuels East Asia tensions

Arab Today, arab today

Arab Today, arab today Costly oil fuels East Asia tensions

Singapore - Arabstoday

Sustained oil prices above $100 (Dh367) could further heighten tensions over control of the South China Sea, as Vietnam, China and other Asian nations look to stake their claim on potential untapped energy resources and reduce their dependence on costly imports. Brent oil prices briefly rose above $127 a barrel in April of this year, the highest since 2008 just before the start of the financial crisis, and sustained levels above $100 were reached in late January on an evolving combination of recovering global demand and reduced supplies caused by unrest in Libya. A move by the IEA in June for developed nations to release oil stocks to tame prices only led to a temporary price drop, to $102.28 on June 27. Brent was hovering under $117 Tuesday. While oil prices are notoriously volatile, key market analysts see Brent well above $100 a barrel through 2012 and a growing global supply and demand gap, factors that make potential oil discoveries in the South China Sea increasingly attractive for countries claiming sovereignty, analysts said. Article continues below \"The high oil price is a major driver in this. China needs access to oil and gas to reduce their dependency on overseas supplies, which presents a strategic vulnerability,\" said Ian Storey, a fellow at the Singapore Institute of Southeast Asian Studies. \"This is partly why tensions have been rising over the last two to three years because the Chinese feel the other claimants — particularly Vietnam, Malaysia and the Philippines — have been unilaterally plundering natural resources that really belong to them.\" China has made the largest claim over the area, and Taiwan, Vietnam, Brunei, Malaysia and the Philippines also assert territorial sovereignty, which covers one of the world\'s busiest sea lanes and also provides rich fishing opportunities. Except Taiwan, all other non-Chinese claimants are members of the ten-nation Association of South East Asian Nations (Asean), which will be holding the region\'s biggest security forum this week. The meeting at the Indonesian resort island of Bali is expected to focus on the South China Sea dispute and China\'s perceived muscle-flexing there. Estimates for proven and undiscovered oil reserves in the South China Sea range from 28 billion to as high as 213 billion barrels of oil, the US Energy Information Administration (EIA) said in March 2008. The most optimistic outlook would be the equivalent to around 60 years of current Chinese demand. \"The Chinese refer to the South China Sea as the new Saudi Arabia or the El Dorado of oil. But I think that their claims of oil and gas reserves are widely optimistic,\" Storey said. Outlook The US Geological Survey last year estimated a 50 per cent chance that the area would hold at least 10.25 billion barrels of undiscovered oil, with most of it near the Spratly islands. For gas, the South China Sea is seen as even more promising with 60 to 70 per cent of the area\'s hydrocarbons believed to be natural gas. The US Geological Survey estimated a 50 per cent chance of at least 3.79 trillion cubic metres of undiscovered conventional gas, equivalent to more than 30 years of current Chinese consumption. Experts warn, however, that any estimate is largely an educated guess and will continue to be until more exploration takes place. \"In the oil business, there is potential everywhere in the world. Until you go there to drill a hole and make it proven, you really can\'t say anything,\" said Kang Wu, managing director of consultancy Facts Global Energy. \"Potential resources and proven reserves are two totally different concepts.\" With some Southeast Asian fields already on the decline, pressure to explore for new discoveries deeper into the South China Sea has surged, increasing the likelihood of confrontations over sovereignty rights.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today costly oil fuels east asia tensions Arab Today, arab today costly oil fuels east asia tensions

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today costly oil fuels east asia tensions Arab Today, arab today costly oil fuels east asia tensions

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today EasyJet, Lufthansa among seven to bid

GMT 06:49 2017 Tuesday ,17 October

EasyJet, Lufthansa among seven to bid
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today Fighters celebrate Raqa victory

GMT 06:07 2017 Wednesday ,18 October

Fighters celebrate Raqa victory
Arab Today, arab today Hiring not part of Alibaba pledge

GMT 11:26 2017 Wednesday ,18 October

Hiring not part of Alibaba pledge
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Sidem reveals plan to improve education

GMT 15:52 2017 Friday ,06 October

Sidem reveals plan to improve education
Arab Today, arab today British actress becomes fifth woman

GMT 18:15 2017 Monday ,16 October

British actress becomes fifth woman
Arab Today, arab today Climate-disrupting volcanoes helped topple

GMT 16:00 2017 Wednesday ,18 October

Climate-disrupting volcanoes helped topple
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Mercedes says recalls 400,000 UK cars

GMT 06:56 2017 Tuesday ,17 October

Mercedes says recalls 400,000 UK cars
Arab Today, arab today Britain's Vauxhall to cut 400 jobs

GMT 10:53 2017 Sunday ,15 October

Britain's Vauxhall to cut 400 jobs
Arab Today, arab today Dalal Abdel Aziz happy for “Seventh Neighbor”

GMT 09:31 2017 Monday ,16 October

Dalal Abdel Aziz happy for “Seventh Neighbor”
Arab Today, arab today Three killed, 360,000 without power

GMT 05:11 2017 Tuesday ,17 October

Three killed, 360,000 without power

GMT 12:33 2017 Friday ,13 October

Anoshka happy for reactions to her talk show

GMT 10:37 2017 Thursday ,12 October

Cara Delevingne accuses Weinstein

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 18:49 2017 Monday ,16 October

India to close colonial-era military farms

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 23:42 2017 Monday ,16 October

Better Marriages Make

GMT 07:02 2017 Sunday ,15 October

German minister sparks uproar

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 03:59 2017 Sunday ,15 October

US mobile carriers Sprint, T-Mobile to merge

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday