§ Lord Kennetasked Her Majesty's Government:
What is the status in the international law of the Caspian Sea, and of its bed, and what advice they have given to BP concerning the deal it is reputed to have reached (along with others) with the government of Azerbaijan to exploit oil from the bed of that water.
§ Baroness Chalker of WallaseyThe status of the Caspian Sea and its seabed in international law is a matter to be resolved by the littoral states of the Caspian Sea themselves. There is no generally agreed view of its status.
We warmly welcomed the signature on 20 September 1994, and subsequent ratification, of a Production Sharing Agreement between the State Oil Company of Azerbaijan and an international consortium including BP. My right honourable friend the Minister of State for Industry and Energy (Mr. Eggar) attended the signing ceremony in Baku. Officials were in regular contact with BP during the negotiation of the contract.