Britain defends Falklands' right to drill for oil

Feb 24, 2010, 23:15 GMT

New York - The British government on Wednesday countered a protest by Argentina that British oil companies have begun 'illegal' drilling in disputed waters off the Falklands.

Argentine Foreign Minister Jorge Taiana lodged the protest to UN Secretary General Ban Ki-moon when the two met to discuss the new development, which has the potential of triggering a fresh conflict between London and Buenos Aires 12 years after the Falklands war.

The British ambassador to the UN, Mark Lyall Grant, said immediately after Taiana met with Ban that London has 'no doubt about its sovereignty over the Falkland Islands, South Georgia and the Sandwich Islands.'

'This position is underpinned by the principle of self-determination as set out in the UN Charter,' Grant said.

'We are also clear that the Falkland Islands Government is entitled to develop a hydrocarbons industry within its waters, and we support this legitimate business in Falklands' territory,' he said.

Taiana, who met with reporters following the meeting with Ban, accused the Falklands' oil companies of damaging Argentine-British relations in their 'unilateral' action.

Argentina still claims the Falkland Islands as its territory, referring to them in the Spanish name of Malvinas. Britain went to war in 1982 to repel Argentine troops who landed on the islands to lay their claim on the territory.

One of the oil companies, Desire Petroleum, on Monday sank drilling equipment, stirring up the controversy over the unsettled sovereignty issue. The Falklands are inhabited mostly by Britons who reject ties with Buenos Aires.

Taiana said Ban would use his good offices to mediate the new development before it would erupt into a conflict. But there was no statement from Ban on what he would do.

The UN in 1982 adopted resolutions upholding Argentina's territorial integrity and sovereignty and Taiana cited those documents as the basis for his government's claim that the oil drilling went against UN resolutions and international law.

The Wall Street Journal said Tuesday that Desire Petroleum estimates there are about 3.5 billion barrels in the 10 wells contracted for drilling by the companies. The oil would be worth 35 billion dollars.