The Japanese government has granted Teikoku Oil Co. concessions to conduct experimental drilling in the East China Sea near natural gas fields being explored by a Chinese consortium, Economy, Trade and Industry Minister Shoichi Nakagawa said Thursday.

The central government gave the green light after winning approval from the governors of south Japan's Kagoshima and Okinawa prefectures, which have state-designated jurisdiction over the sites.

On April 28, Teikoku Oil applied for the experimental drilling rights at three sites covering a combined 400 square kilometers in the East China Sea, following the ministry's decision earlier that month to unfreeze concession-granting procedures.

The sites are located just east of what Japan claims is the median line separating the 200-nautical-mile exclusive economic zones (EEZ) of Japan and China in the East China Sea.

The oil firm originally applied for exploration rights in the sea area in 1969 and 1970 but the government shelved the applications because of unsettled EEZ demarcation in the sea between Japan and China.

China does not accept and acknowledge this median line since it was unilaterally drawn by Japan without discussing with China. The EEZ was claimed by China on the continental shelf basis, while the drilling activities are being conducted on the Chinese side in the area.

However, the Chinese government calls for negotiation to solve the dispute and joint exploration. It has held talks with Japan to settle the dispute.

Source: Xinhua