Malaysia says no international court for Ambalat block

Malaysia and Indonesia will not refer their dispute over the oil and gas rich Ambalat block in Spratly Island to the International Court of Justice (ICJ), a report said Saturday.

Malaysian Foreign Minister Rais Yatim said the two sides had formed a joint working group to study the border conflict over the Ambalat block and find a solution upon which both parties could agree, Malaysia?s new agency Bernama reported.

"I have already discussed with Indonesian Foreign Minster Hasan Wirajuda and he had agreed that matter should be referred to the respective governments concerned so that the Spratly could be surveyed according to the elements of maritime surveying experts with regard to the respective countries' right over territorial waters and Exclusive Economic Zone,? He said.

"We will also get a neutral group to give its views on this once we have got the recommendations from the technical committee which has representatives from both countries," he added.

In 2006, The Indonesian government has rejected the offer from the Malaysian government to jointly develop the disputed Ambalat oil block.

Both Indonesia and Malaysia have claimed the Ambalat oil block as part of their territories.

The Malaysian decision to award a production sharing contract to Shell in the Ambalat area in 2005, had caused a tension between the two countries. Both countries had deployed warships to the disputed areas, but they later agreed to settle the dispute through a diplomatic process. (*)