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FIG STATES THE OBVIOUS OVER ARGENTINE OIL COMPANY THREATS

FIG STATES THE OBVIOUS OVER ARGENTINE OIL COMPANY THREATS

By J. Brock (FINN)

The Argentine Congress passed a law last Thursday that could lead to 15 years in prison and heavy fines for entities exploring for and exploiting hydrocarbons in Falklands waters.

In response the Falkland islands Government has said that Argentine domestic law does not apply to the Falkland Islands or South Georgia and the South Sandwich Islands, which are UK overseas territories."

The Foreign Office has said that "The UK government unequivocally supports the right of the Falkland Islanders to develop their natural resources for their own economic benefit.

Argentine domestic law provides for prison sentences for the duration of up to 15 years; fines equivalent to the value of 1.5 million barrels of oil; the banning of individuals and companies from operating in Argentina; and the confiscation of equipment and any hydrocarbons that would have been illegally extracted.

However, FIG went on to say that hydrocarbons activities by companies operating on the continental shelf of the Falkland Islands were regulated by legislation of the Falkland Islands government and in accordance with the United Nations Convention on the Law of the Sea. FIG also quoted Article 1.2 of the United Nations Charter to support its legitimate point of view.



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