who owns the north pole - part 32

Efforts are being made to sign a common treaty on the Arctic citing the kind of treaty on the Antarctic. But experts invariably pointed out that the situation in the Arctic is altogether different. The Antarctic is no man’s land, and there is no economic activity under way there. Meanwhile in the Arctic, some countries border on the ocean, and there are two-way treaties, and international law provisions regulating the situation. The European Union can access the Arctic Ocean via Greenland only. The five countries that border on the Arctic Ocean are the United States, Canada, Denmark, Norway and Russia. Denmark is an EU member-nation that owns Greenland, - the world’s biggest island. Even the countries with no immediate access to the Arctic Ocean, such countries as Japan and South Korea, technologies are being developed full steam to produce oil and gas from under ice cover.

The Arctic shelf is the area that contains the greatest oil and gas deposits in the world. Oil and gas giants are clearly not about to lose hundreds of billions of dollars in profits. But once power resources are mined, they should be delivered to consumers. The development of technologies, high mineral resource prices and China’s growing market are but some factors that make one think of new ways of transportation. The change of climate is being followed by a major change in logistics. Ice melting in the Arctic opens new ways of navigation, first of all, the Northern Sea Route, which is the shortest link between Europe and Asia, and also between Europe and the US West Coast. The route runs parallel to Russia’s northern coast, so it is likely to become an effective alternative to the Suez Canal some time soon.

In 2009, 70,000 tons of iron ore were for the first time transported to China along the Northern Sea Route, in just 18 days, or half the time that it would take the delivery via the Suez Canal. The suppliers saved 300,000 dollars worth of fuel. In 2011, Russia’s biggest shipping company, Sovkomflot, is due to send 15 ships along the route, which is navigable even in winter, if transport vessels are escorted by icebreakers.

from here