Japanese Official Pessimistic About Gas Talks

Foreign Minister Taro Aso of Japan has said he is “not optimistic” about progress in talks with China over joint development of natural gas reserves in a disputed area of the East China Sea.

Officials from China and Japan failed during talks Thursday in Tokyo to agree on how to jointly develop fields that may contain as much as 200 billion cubic meters, or seven trillion cubic feet, of
natural gas. The two sides sought to narrow their differences before Prime Minister Wen Jiabao of China visits Japan next month.


“The talks haven’t progressed,” Aso said. “Before we get results, I can’t say anything optimistic. We have to continue negotiations.”

Drilling experts from both sides will meet next week and share information about fields including Chunxiao, part of which lies within the maritime border that Japan claims, a Japanese Trade Ministry official said.

Bloomberg News