JAKARTA - Indonesia and Malaysia said today that they remained hopeful of winning their case in the International Court of Justice over the ownership of two islands.

"If I'm asked about the outcome of this case, I would say it's 50:50," Indonesian Foreign Minister Hassan Wirayuda told reporters.

"Am I pessimistic? No. But this assumption is a conservative and not a pessimistic one."

The court will release its decision next Tuesday over the competing claims to Sipadan and Ligitan off Borneo.

Ligitan and Sipadan, off the coast of Sabah and Indonesia's East Kalimantan province, have been a minor irritant in relations since 1969 when both laid claim to the islands.

In a lengthy presentation, Wirayuda said Jakarta's legal argument was based on an 1891 Anglo-Dutch treaty on land and maritime borders in Borneo.

Wirayuda argued that in the treaty, both governments had agreed to put both islands under Dutch rule. Indonesia gained independence in 1945 after being colonized for 350 years by the Dutch.

"For us, the legal stance that we rely upon is the convention," the minister said.

Strong case

Meanwhile, Deputy Defence Minister Shafie Apdal said Kuala Lumpur had presented a strong case.

"We have put in a strong case. It is supported with solid evidence. Let's wait. I will be there (The Hague)," he said.

The Star newspaper today quoted Foreign Minister Syed Hamid Albar as saying that Malaysia had presented its case and "we will see how things go."

The two countries agreed in 1997 to refer the sovereignty row to the international court in the Netherlands after failed bilateral negotiations. They said they will abide by the decision.

Sipadan is recognised as one of the the best diving sites in Southeast Asia.

Malaysia has ordered a halt to new projects on the two islands pending the ruling but has allowed five Malaysian tourism companies on the islands to continue operations.

Sipadan drew international attention in April 2000 after members of the Abu Sayyaf militant group from the Philippines raided the island and kidnapped 21 Malaysians and foreigners. AFP