Analysis and Examination of the Consequences of Unilateral Exploitation of Shared Oil and Gas Fields in Light of International Law

Abstract

The objective of the present study is to analyze and examine the consequences of unilateral exploitation of shared oil and gas fields in light of international law. The research method is descriptive-analytical and based on library sources. Since the method of exploiting a shared reservoir must be agreed upon by the interested states, states must consequently negotiate with the aim of reaching an agreement, precisely similar to what exists with respect to the delimitation of the continental shelf. States must enter into negotiations in good faith and with the objective of achieving appropriate cooperative arrangements for the exploitation of the resource that include all interested states; however, these negotiations should not necessarily be directed toward joint exploitation. In principle, the states concerned have no obligation to conclude such arrangements. Rather, they are only required to negotiate about them. The International Law Commission should resume its work in this field and draft a final instrument that could be used as a guideline when states seek to develop transboundary oil and gas reserves. In doing so, the International Law Commission should overcome political pressures, examine all sources of international law studied in this research, and review its previous work, for example, on the law of transboundary aquifers. Peaceful, efficient, and cooperative exploitation of these transboundary reserves is vital for the global economy and for the social development of all states involved.