BANGKOK - THAILAND said on Friday it would tear up an oil and gas exploration deal with Cambodia, stoking a row over Phnom Penh's naming of fugitive former Thai premier Thaksin Shinawatra as an economics adviser.
The government in Bangkok also warned that it could seal the border between the two countries, one day after the neighbours both recalled their respective ambassadors due to the dispute over the appointment of Thaksin.
Thai Foreign Minister Kasit Piromya said Bangkok had decided to cancel a 2001 agreement to jointly develop a disputed area in the Gulf of Thailand which was signed during Thaksin's time in power. Twice-elected Thaksin was ousted in a coup in 2006 and had close relations with Cambodian Prime Minister Hun Sen during his six years in power. Thaksin is now living abroad to avoid a two-year jail term for corruption.
'The Foreign Ministry has decided to terminate the memorandum of understanding between Thailand and Cambodia to develop the overlapping area which was signed by the Thaksin government,' Mr Kasit said.
Mr Kasit said the oil and gas exploration deal for a 26,000 sq km area had made no progress in the last eight years and he would propose to the cabinet on Tuesday that it should be scrapped.
'The ministry believes that the appointment of Thaksin directly affects the agreement as he was fully aware of Thailand's position in dealing with Cambodia,' he told reporters by telephone from a regional summit in Tokyo. -- AFP
The government in Bangkok also warned that it could seal the border between the two countries, one day after the neighbours both recalled their respective ambassadors due to the dispute over the appointment of Thaksin.
Thai Foreign Minister Kasit Piromya said Bangkok had decided to cancel a 2001 agreement to jointly develop a disputed area in the Gulf of Thailand which was signed during Thaksin's time in power. Twice-elected Thaksin was ousted in a coup in 2006 and had close relations with Cambodian Prime Minister Hun Sen during his six years in power. Thaksin is now living abroad to avoid a two-year jail term for corruption.
'The Foreign Ministry has decided to terminate the memorandum of understanding between Thailand and Cambodia to develop the overlapping area which was signed by the Thaksin government,' Mr Kasit said.
Mr Kasit said the oil and gas exploration deal for a 26,000 sq km area had made no progress in the last eight years and he would propose to the cabinet on Tuesday that it should be scrapped.
'The ministry believes that the appointment of Thaksin directly affects the agreement as he was fully aware of Thailand's position in dealing with Cambodia,' he told reporters by telephone from a regional summit in Tokyo. -- AFP
