East Timor is the state that has unresolved issues with Australia over seabed oil reserves.
<h3>How are the relations between Australia and East Timor?</h3>
There is an existence of bilateral relations between Australia and East Timor. Australia played a huge role in the development of East Timor by providing a leadership role so as to ensure that the country is secure and stable. However, after the Australia - East Timor spying scandal in recent years, the relations between these two countries have deteriorated.
<h3>What is the dispute over seabed oil reserves in both the countries?</h3>
There are huge reserves of oil and gas lying in the sea between the two countries. It is an area known as Timor Gap. Some geologists have estimated that they could pump over $10 billion of oil and gas from this area. Because of this there are territorial disputes over the control of this area.
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