Although oil production is also increasing, it is doing so at a slower rate. The rise in consumption and the poor quality of its oil raise fundamental questions about China's future as an exporter. About 120 wells have been drilled under the auspices of other claimants within China's historic line claim with an annual output of more than one million tonnes. These disputes are fueled not only by likely petroleum potential, but also by the perceived strategic significance of islands and the resurgent nationalism reinforcing symbolic sovereignty claims. The claimants are countries, not oil companies.
Countries think long-term and multidimensionally, particularly when territory is involved.
But nations' actions sometimes make little economic sense. As if oil tankers were not a sufficient threat, South-east Asia now has to prepare for the possibility of an accident involving a vessel carrying nuclear spent fuel. The shipments follow a route around the Cape of Good Hope, across the Indian Ocean and on the Japan. The Malacca Strait and the South China Sea both lie along this route. Data and technology exchange in petroleum exploration, development are use, joint-training programmes, policy discussions and a major annual conference could boost cooperation in this sector and ease more difficult areas of cooperation, such as joint development of petroleum in areas of overlapping maritime claims, as well as broader cooperation in the entire energy sector.