Statoil in test case as Canada extends seabed

Oslo

NORWAY'S Statoil risks millions of dollars in extra costs in Canada - a test case that could spell problems for other oil firms too as coastal states extend their seabed territories far into resource-rich ocean depths.

Coastal nations are using UN laws to extend and define new limits to their seabed territories, pushing beyond a previously established 370-kilometre zone for drilling and mining as technology opens new frontiers in finding deepwater oil and gas.