Energy and Water Minister Arthur Nazarian said Thursday that Washington may consider a Lebanese request to have the U.N. help demarcate the disputed maritime zone between Lebanon and Israel that is believed to contain natural gas reserves. “Lebanese officials urged U.S. Special Envoy and Coordinator for International Energy Affairs Amos Hochstein to consider demarcating the maritime zone with the help of the United Nations,” Nazarian told The Daily Star. “I think the Americans are looking into this proposal because this is one of the best ways to solve this issue,” Nazarian added that the proposal was in the interest of all sides, including the Israelis. Hochstein met with Lebanese officials in Beirut earlier this month in a bid to revive U.S. mediation efforts aimed at demarcating the disputed territory. Both Lebanon and Israel lay claim to an 870 square kilometer stretch of territory. Offshore seismic surveys suggest that the territory could be rich in natural gas reserves. Hochstein tod The Daily Star Wednesday he would continue his efforts to resolve the issue, stressing that both Lebanon and Israel want to find a solution for the problem so they can start exploring for gas in the area. But the U.S. official did not explicitly say that Washington would support the idea of demarcation with the help of the U.N. “The U.N. plays an important role in Lebanon and we continue to consult with the U.N. on this and other issues,” he said. Nazarian argued that most international oil companies are reluctant to explore gas in the disputed zone even if they were invited by Israel. He added that only the U.S. company Noble Energy has been exploring for gas near Lebanese waters, and this demonstrates that most international firms are not willing to take risks in a disputed zone. Speaker of Parliament Nabih Berri has repeatedly warned that Israel is capable of horizontally siphoning off gas from one of the Lebanese blocks. Berri has urged the Cabinet to swiftly pass two key decrees – one that sets the number of blocks to be auctioned and another determining revenue and royalties – before Israel seizes any Lebanese gas. The Energy Ministry cannot invite oil companies to take part in the licensing round unless the two decrees are approved by the Cabinet. Nazarian said that demarcation of the disputed zone would encourage more oil companies to take part in the bidding. He also said that the recent onshore data collected by U.S.-based NEOS GeoSolutions was very encouraging. “I don’t want to disclose any estimations but all indications show that Lebanon is sitting on potential quantities of gas and oil both onshore and offshore,” he said. But the minister ruled out any imminent approval of the two decrees by the Cabinet. “I don’t think this issue is a priority for the Cabinet for the time being,” he said. Prime Minister Tammam Salam postponed the latest Cabinet session until July 23 after a showdown with Free Patriotic Movement ministers over the presidential vacuum and security appointments. The Daily Star
