Your territory consists of all land nearer to one of you rland bases on the sam econtinent than to anyone else's. Your territorial waters consits of all sea areas nearer to one of your sea bases (in the same ocean) than to anyone else's. Territory may move and shift during the course of the game as bases are built, conquered, and destroyed.

Other faction leaders may take offense if you move units into their territory, particularly if you have signed a Treaty of Friendship.

Territory never extends more than 7 squraes from a land base, or 3 from a sea base.