Australia Seeks Ratification of Timor Treaty

The treaties committee of the Australian parliament has recommended the ratification of the Timor Sea Treaty. The treaty covers seabed oil and gas reserves between Australia and East Timor. The committee says the treaty on resource revenue sharing with East Timor is in Australia's national interest.

The report says revenue from the Bayu-Undan field in the shared zone should be worth up to US $3 billion for East Timor and US $2 billion for Australia. The treaties committee says construction of a gas pipeline from the Timor Sea to Darwin will be worth US $1.5 billion. The committee also recommends agreement be reached with East Timor on the future of the Greater Sunrise fields, which are 80 percent in Australian waters.