MANILA, Philippines (Updated 5:19 p.m.) — Despite possible legal hurdles it will face in the Philippines, China is still insisting in its proposal for a joint oil and gas exploration in the West Philippine Sea that the activity will not interfere in the two countries' positions in the longtime maritime dispute.
The supposed Chinese draft of the framework agreement on joint exploration in the West Philippine Sea would be in accordance with the principles of "mutual respect, fairness and mutual benefit, flexibility and pragmatism and consensus," the document read.
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The camp of opposition Sen. Antonio Trillanes IV released the two-page draft on Tuesday afternoon, hours after Chinese President Xi Jinping landed in Manila for a two-day state visit.
"The joint oil and gas exploration shall not affect the respective position on sovereignty and maritime rights and interests of the two parties," the draft read.
The Chinese draft also indicated that the outcome of the joint exploration will be shared by Manila and Beijing.
The draft authorized China National Offshore Oil Corportation as the Chinese enterprise in the agreement while the Philippine enterprise remained blank.
Under the draft agreement, a working group composed of ministries of foreign affairs, energy department and relevant agencies would serve as working mechanism.
"Any dispute concerning the implementation or interpretation of the agreement or any other relevant disputes shall be settled through friendly consultation by the two parties," it read.
On Monday, Trillanes and Sen. Francis Pangilinan filed a Senate resolution calling for the release of the "definitive draft" of the oil and gas deals with China before signing.
The two senators also urged President Rodrigo Duterte not to sign any agreement with China or any other country "which diminishes the Philippines' exclusive rights."
Amid the release of the supposed draft of the agreement on joint exploration, it remains unclear if this would be signed during Xi's meeting with President Rodrigo Duterte on Tuesday afternoon.
Malacañang, meanwhile, said that it does not matter if talks that China crafted the framework were true.
"Doesn't matter who drafted it. As far as we’re concerned, if you give us a draft then we will go over it," presidential spokesperson Salvador Panelo said.
Legal questions
The Philippine government has offered a 60-40 sharing on the proposed joint exploration deal but this was not mentioned in the draft, which supposedly came from China. Critics have earlier warned that the country might be at a "losing end" if it would pursue the project.
Based on the 1987 Constitution, the "exploration, development, and utilization of natural resources shall be under the full control and supervision of the [Philippine] State." This is a potential legal challenge that the Duterte government and its Chinese partners in the deal may face.
In its briefer, the University of the Philippines' Strategic Studies Program said that efforts toward the finalization of the deal would require "addressing other confounding issues, such as questions of sovereignty and implications of the Hague ruling on the disputed territories."
Earlier this year, Malacañang confirmed that two areas are being considered for the possible joint exploration — Service Contract (SC) 57, which covers northwest Palawan, and SC 72 which refers to Reed Bank. SC 57 is located in a non-contested area while Reed Bank is disputed, which requires an agreement from both parties for the deal to push through.