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    China, Japan seek to ease oil dispute
    (Reuters)
    Updated: 2006-01-09 15:12

    PUTTING DISPUTES ASIDE

    But analysts said that while the unresolved historical issues set the tone for relations, the gas dispute was the most concrete and immediate problem facing China and Japan.

    The two would meet again at the end of January or early next month for further talks, likely in Beijing, the spokesman said.

    There was no immediate comment from China's foreign ministry on the talks.

    The two sides have not agreed on how much to invest or how to split profits of resources extracted from the areas of the East China Sea near the islands known in Japan as the Senkakus and in China as the Diaoyus.

    China has criticised Japan for starting to award exploration rights to private companies, and Japan objects to China's starting work in the area, fearing it could tap into resources beyond what Tokyo recognises as a midway line in the waters.

    Japan has also long demanded China provide data on its gas development projects in the area.

    "They might start actual development of resources and we have concern that their work will absorb our Japanese resources, so we asked them to share their information" the spokesman said.

    Sasae, who is also Japan's chief negotiator at six-party talks on North Korea's nuclear programme, met Chinese negotiator Wu Dawei on Sunday, the Japanese embassy said, in a sign the two could put aside bilateral disputes to work together on the regional matter.

    The two Koreas, China, Japan, Russia and the United States last met in Beijing in November but North Korea said on Monday it saw no point in holding further negotiations on dismantling its nuclear programme because of U.S. sanctions against it.

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