ABSTRACT
One third of the world’s petroleum is produced from offshore fields. It is estimated that the deep-sea areas outside of continental shelves could contain two thirds of the world’s economically accessible mineral reserves mineral wealth. Under the UN Law of the Sea Convention (LOSC), continental shelves and their corresponding mineral and petroleum resources fall under the sovereignty of coastal states and therefore are managed under domestic legal and regulatory regimes. The ‘Area’ is defined by the LOSC as the seabed and ocean floor and subsoil beyond the limits of national jurisdiction. The mineral resources of the Area (which includes petroleum and geological minerals) are available to all states to be used for the benefit of humankind.
All states, regardless of geographic location (e.g. land-locked) and state of economic development, have equal rights to participation in the Area. Economic benefits derived from the Area will be shared among states party to LOSC, using equitable sharing criteria, taking into account the interests and needs of developing States, particularly the least developed and land-locked.
