These correspond more or less to the perpendiculars to the general direction of the coast. The respected Centre for International Economics has prepared a study for the Northern Territory Government, Woodside, and Methanex on the expected economic impact of just the gas from Sunrise and the Methanex methanol project. Both East Timor and Australia, and in particular its Northern Territory, have a lot to gain by concluding a Treaty to facilitate the development of the vast oil and gas resources of the Timor Sea. Like any negotiation, this requires compromises. East Timor is a desperately poor country.
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Neither Mari Alkatiri nor I can bring back East Timor a treaty that would give East Timor less economic benefit than that which it is entitled under international law. This does not simply mean a share of the revenue, but also the ability to design and implement a tax and petroleum regime suited to East Timor s particular circumstances. And if there is any doubt about our entitlement, we are prepared to have our position examined, and if necessary decided, in any neutral forum. Even without addressing the issues of seabed delimitation, it is obvious that negotiating a treaty takes a long time. Formal talks for such a treaty began in Dili in October and were followed by two informal rounds in November and December in Cairns.