"Without territory, it does not even have the resources to provide detention facilities for prisoners, even if it were interested in holding captured POWs"

This quote by John Yoo is referring to the absence of resources readily available to a state without area. Without a physical space to call its own, a state is not able to supply detention centers for detainees, even if it were interested in doing so. This is since a state without territory does not have the resources to build and preserve such centers. Furthermore, it is unable to supply the required security and personnel to make sure the security of detainees. This quote highlights the value of having a physical space to call one's own in order to offer basic services and resources to its citizens. Without territory, a state is not able to offer the necessary resources to its people, including the ability to detain detainees.