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Subject:

Iran says new stance on Caspian should aid agreements

From:

"Charles Gurdon, Menas Associates" <[log in to unmask]>

Reply-To:

Charles Gurdon, Menas Associates

Date:

Sat, 18 Oct 2003 07:20:44 +0100

Content-Type:

text/plain

Parts/Attachments:

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text/plain (185 lines)

FYI
Best wishes - Charles

Charles Gurdon
Menas Associates
T: +44-(0)1442-872-800
[log in to unmask]

======================
plattsOilgram News

Monday, October 20, 2003

Volume 81, Number 202

Iran says new stance on Caspian should aid agreements



Cambridge, UK



Iran has considerably revised

its position on the Caspian Sea division,

which should make it easier eventually

to negotiate bilateral agreements with

Turkmenistan and Azerbaijan, Iran's deputy

foreign minister Mehdi Safari told Platts

Oct 17.



In the past, Iran has stated that it has a

right to one-fifth of the Caspian Sea simply

by virtue of being one of the five Caspian littoral

states.



Speaking on the sidelines of a conference

on the Caspian and Central Asia, organized

by Cambridge University's Judge Institute,

Safari said Iran still deserved about one-fifth

of the sea - or as he put it "twenty something

percent," based on what he considered

to be an Iranian baseline running in a straight

line from Astara on Iran's border with

Azerbaijan across the Caspian to Gazankuli,

on Iran's border with Turkmenistan. He admitted

this concept of a baseline had not

been accepted by Turkmenistan or

Azerbaijan but that they were continuing to

negotiate a compromise on where the baseline

should lie.



At issue is the future of the last big prospect

in the southern Caspian, a field known

by the Iranians as Alborz and Alov to the

Azerbaijanis. Iran is also ready to discuss

possible participation in the Caspian oil field

maritime border dispute. The country, however,

will insist on equity in Caspian oil projects,

if it is invited to join, Safari added.

This was a particular reference to the Alborz

field.



Both Iran and Azerbaijan have at various

times accepted - and rejected suggestions

that a solution to this dispute should be attained

through joint development.



It is hoped that the five Caspian states

will sign a framework convention on the

protection of the marine environment at a

meeting in Tehran in the first week of November,

Russian deputy minister of foreign

affairs, Victor Kalyuzhny, said. The environmental

convention will be the first multilateral

Caspian agreement ever signed by littoral

states, he said.



Kalyuzhny repeated Russia's view that

construction of an offshore pipeline in the

Caspian is "undersirable in principle."

However, he added a compromise might

be reached provided that the project undergoes

an environmental impact assessment

including seismic safe assessments that

would satisfy the five states. Russia proposes

to set up a permanent Caspian environmental

centre to serve as a secretariat for

the framework convention.



Kazakhstan and Azerbaijan support that

proposal while Iran and Turkmenistan have

"not come to appreciate the relevance of

Russia's initiative," Kalyuzhny said.

Environmental protection is just one aspect

of a broader Caspian Declaration that

the five states have been negotiating for

some years in an attempt to establish a new

legal status for the offshore which, until the

Soviet Union fell apart in 1991, was owned

and managed by just two countries, the

USSR and Iran.



John Roberts, Isabel Gorst

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