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    Central Asia
     Aug 10, 2007
Page 1 of 2
Nations scramble over Arctic Silk Road
By Alan Boyd

SYDNEY - Russia has sent a chill through Asian shipping circles by using a robotic hand attached to a mini-submarine to plant its flag near a thawing Arctic sea route that could drastically reduce world trade costs.

The titanium flag was planted last week 4,261 meters under the ice covering the Northeast Passage, a channel winding around the top of Norway and Russia that may cut weeks off the freight



journey from Europe to Asia.

Moscow has said it wants to extend the territory it already controls in the Arctic as far as the North Pole, an area about half the size of western Europe, lifting the lid on a nest of unresolved legal and commercial issues.

State-owned daily newspaper Rossiiskaya Gazeta afterward proclaimed immodestly that the brazen act would launch an Arctic oil rush and had heralded "the start of a new redistribution of the world".

While that might have been an overstatement, the Asian shipping industry has already done its arithmetic on the enormous implications for freight services. A more direct sea route would cut journey times between the continent and its chief Western markets by at least one-third, slashing hundreds of millions of US dollars off shipment costs.

Container vessels traveling from London to Tokyo would trim 7,000km off the shipment time via the Panama Canal and a hefty 17,000km from the distance around the Cape Horn route.

Global warming could make the Northeast Passage - and a second Arctic route above Canada known as the Northwest Passage - navigable in as little as five to eight years. Only icebreakers and other ships with strengthened hulls can now get through: about 50 have done so since the mid-1980s, mostly in the summer months.

But the centuries-old dream of a maritime version of the Silk Road may well be sunk by economic brinkmanship and a dose of 19th-century-style colonialism before it really gets seaworthy.

Moscow and Ottawa have both moved to protect their disputed territorial claims on the Arctic wastelands as the evidence mounts that the ice cover, thought to be hiding a quarter of the world's untapped energy reserves and a treasure trove of other minerals, is melting at an unprecedented pace.

Temperatures in the polar region have climbed by 3-4 degrees Celsius in the past 50 years, enough to reduce the area covered in ice by one-third, or about 2 million square kilometers. The ice's thickness has shrunk by a similar amount.

In 2001, the US Navy predicted that the Northwest Passage, stretching along the north coast of Alaska through Canada's Arctic archipelago to the Atlantic Ocean, would be opened to commercial shipping for at least one month a year within five years.

That forecast proved to be wildly optimistic given the unpredictable ocean currents and formidable technical barriers, including the lack of ports and other infrastructure. So the focus shifted back to Russia, where the climatic conditions are easier to read and the ice is melting a lot faster.

Russia has been quietly preparing for the opening of the northeastern strait for decades, investing in ice-resistant oil tankers, drawing up plans for ports, and even deploying a massive floating dry dock. There is also another important difference: Moscow, unlike Ottawa, has actively promoted the passage's commercial potential.

Canada zealously restricts all access to the 19,000 islands, rocks and reefs composing its Arctic territory, which were ceded by Britain in 1880. The 1,450km passageway was declared an internal waterway in 1973.

Under the International Law of the Sea, the five Arctic nations - Russia, Canada, Norway, the United States and Denmark (through Greenland) are permitted to claim 200 nautical miles of territorial waters.

They can also file claims for more territory if they can prove that their continental shelves are geographically linked to the Arctic seabed. Russia lodged such a claim in 2001, and Denmark, which claims Hans Island near Greenland, is expected to do likewise.

Russia and Canada have variously argued that their respective passageways are internal waterways and that ice-covered areas deserve special protection because they are environmentally sensitive.

Both claims will be sorely tested once the ice cover has vanished and the links with continental shelves become more tenuous. European countries and the United States have said they will push for the routes to be designated as international straits.

There is an extraordinary economic dividend on offer. Apart from exploration rights, any country that can secure control of the 

Continued 1 2 


Chinese shipping aims for global leadership (Mar 1, '06)

Malacca: Who's to pay for smooth sailing? (May 16, '07)


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2. Asia marks time until the next meltdown

3. THE RE-ENGINEERED ALLY
PART 2: Everything is broken


4. THE RE-ENGINEERED ALLY
Part 1: Readiness for endless war

5. Giving peace a chance in Afghanistan

6. HK women are lonelier and lonelier

7. A new oil crisis? Not so fast


8. The Koreas talk of talking again

9. The Saudi arms deal: Why now?

(24 hours to 11:59 pm ET, Aug 8, 2007)

 
 



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