Indonesia, Malaysia end first round of talks on oil dispute: Report

Malaysian and Indonesian officials concluded a first round of talks on Wednesday aimed at defusing a dispute over an offshore oil field that almost sparked a naval confrontation recently, Associated Press reported.

Officials declined to give details about the substance of the two-day talks, held on the Indonesian resort island of Bali, but Indonesian Foreign Minister Hassan Wirayuda described the atmosphere as friendly.

The officials agreed to hold a second round of talks in Malaysia in early May, Wirayuda said.

The talks focused on the maritime mapping of the so-called Ambalat blocks, an oil- and gas-rich area off the eastern coast of Borneo island.

Leaders of both countries ordered a joint technical commission to examine the competing claims to the region to try to defuse tensions that flared last month after Malaysia awarded exploration rights in the area.

Both countries deployed navy vessels to the Sulawesi Sea, accusing the other of trespassing and violating each others' maritime borders.

Since then, both nations' leaders agreed to work together to resolve the dispute peacefully. Neighboring Indonesia and Malaysia have generally had good relations since the end of a period of conflict in the 1960s.

"The meeting was held in a friendly atmosphere and the Malaysians openly explained various issues raised by us about the basis of their claim to the waters around Ambalat," Wirayuda said. The oil fields are near the Sipadan and Ligitan islands, long disputed by the two countries.

The International Court of Justice gave Malaysia sovereignty over the islands in 2002. But Indonesia says Malaysia's sea territory extends only 19 kilometers (12 miles) offshore. (*)