Chapter 6 - Exploiting Natural Resources in Cross-Border Areas

Abstract

Naturally and institutionally, the exploitation of natural resources in cross-border areas can be classified into at least four categories including: (1) solid resources, fixed boundaries; (2) fixed boundaries, fluid resources; (3) solid resources, uncertain boundaries and (4) uncertain boundaries, fluid resources. Over the course of the past decades, various bilateral and multilateral treaties and agreements have been successfully arranged for the cross-border exploitation of natural resources throughout the world. Considered in terms of the sophistication of institutional arrangements from the simplest to the most complex, five cross-border development models will be discussed in this chapter: (1) solo-development model, (2) parallel-development model, (3) joint venture model, (4) joint authority model and (5) political trusteeship model. These models vary in terms of institutional complexity, participatory status and ease in implementation, as well as in terms of the features of disputed areas designated for development and of the states interested in the disputed areas.