referred to as the Arctic. It is the northernmost part of Earth and it consists of the North Pole, the Arctic Ocean, adjacent seas, and parts of Alaska, Canada, Finland, Greenland, Iceland, Norway, Russia, and Sweden. The region is unique in terms of its ecosystem. The land here has seasonally varying snow and ice cover, with predominantly treeless permafrost-containing tundra.

The harsh weather, rough terrain and perpetual frozen state of Arctic were the major hurdles when it came to the exploration and claiming parts of the region. However, the snow is receding quickly in the region and the past few years have witnessed record low ice cover during the summers. This phenomenon is proving to be advantageous for the people, who are willing to invest in the regions fororder in realizing the conflict-free Arctic dream. Some countries are trying to benefit from the changing dynamics of the Arctic. The melting ice gives access to huge reserves of hydrocarbons and opens up a couple of major trade routes, which will cut short the distance between Asia and Europe significantly. On one hand, the opportunities for new resources and trade routes are up for grab but on the other hand, the challenges are the huge costs involved in the exploration and production of the hydrocarbons amidst the harsh climate. Another challenge is the competing claims over the Arctic Ocean by the Arctic states, which generally overlaps each other. Legal settlements to these issues could be achievable under the United Nations Convention on the Law of the Sea (UNCLOS).