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Arabia
Saooodis may block Qatar gas pipeline
2006-07-12
DUBAI - Qatar shrugged off on Tuesday Saudi ArabiaÂ’s reported plans to block the completion of a US$3.5 billion (euro2.7 billion) natural gas pipeline. Saudi Arabia reportedly said last week that the pipeline - due to bring gas from Qatar to the neighbouring United Arab Emirates - crossed its underwater territory and that it would object to it.

A senior Qatar energy official laughed off dismissed these reports. “We don’t think it is very serious. We have been working for a long time on this, and too much expenditure has been made,” the official was quoted as saying by the regional Zawya Dow Jones news service on Tuesday.
"Them and what army?" he added.
The sub-sea pipeline is being laid by Dolphin Energy and is 51 percent owned by Abu Dhabi, along with US-based Occidental Petroleum and France-based Total. It is due to provide 2 billion cubic feet of gas a day from Qatar to the Emirates and Oman by 2007.

Qatar has not received official notice from the Saudi government that the Kingdom would block the pipeline, Dow Jones quoted the official as saying. Dolphin Energy also said in a statement Tuesday that it hadnÂ’t received any objection or protest from any state concerning the pipeline.

An Emirati official, who declined to be named, said Dolphin plans to complete the pipeline within a few weeks. He said partners of the Abu Dhabi-led project had thoroughly checked all paperwork before investing.

The dispute between the Emirates and Saudi Arabia stems from a 1974 border treaty. Abu Dhabi officials claim the treaty gives the Emirates underwater rights of passage through the stretch of Saudi territory that the Dolphin pipeline crosses, making it unnecessary to obtain Saudi approval ahead of construction.
Posted by:Steve White

#1  "Underwater territory? Station some troops there and we'll talk."
Posted by: mojo   2006-07-12 15:05  

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