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China stirs over offshore oil pact

Posted by Matt in July 22nd, 2008

In yet another skirmish over oil rights in the South China Sea, China has fired a stern warning shot across the bow of ExxonMobil Corporation. China is miffed that Exxon is seeking to enter into a deal with PetroVietnam to explore for oil in waters surrounding the disputed Spratly and Paracel island chains.

China has warned Exxon to pull out of the exploration deal, describing the project as a breach of Chinese sovereignty, according to the South China Morning Post at the weekend, citing unnamed sources close to the US company.

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[Countries link to CIA Factbook. States link to Wikipedia.]


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