Yemeni tribe, Shi’ite rebels fight as truce broken

SANAA, July 25 (Reuters) – Fighting broke out on Sunday between a pro-government tribe and Shi’ite rebels in Yemen, hours after the two sides agreed to a truce following battles last week which threatened to re-ignite a civil war.

Tribal leader Sheikh Saghir Ibn Aziz blamed the rebels, named Houthis after the clan name of their leaders, for the renewed fighting after clashes killed up to 70 people last week.

“The Houthis did not respect the agreement and attacked us. We responded,” he told Reuters by telephone.

Al Arabiya television said the latest fighting, which it said killed four rebels, broke out after the tribesmen did not withdraw from a position as demanded by the rebels, who said it was part of the truce accords.

There was no immediate comment by the rebels on their website.

Last week’s fighting, in which government forces were also involved, was the bloodiest in the north since a truce in February ended a war between the state and the rebels that has raged intermittently since 2004 and last year drew in neighbouring Saudi Arabia.

Earlier on Sunday, Yemen’s President Ali Abdullah Saleh called for a permanent end to fighting in the north, especially in Saada province, the rebels’ stronghold.

“Six wars are enough. Yes to security, stability and peace in Saada. No to the latest war,” Saleh said in remarks carried by regional television stations.

Yemen’s Western and Saudi allies want Sanaa, also trying to quell southern separatism, to resolve domestic conflicts such as the northern war so it can focus on fighting a resurgent regional arm of al Qaeda, seen as a bigger international threat.

Tension between the rebels and the Ibn Aziz tribe, from the same Zaidi sect of Shi’ite Islam but which sided with the state during the civil war, has been growing for months.

The tension exploded into violence after rebels attacked Sheikh Saghir’s home in early July, killing three of his followers. Clashes broke out again last week, prompting government forces to intervene to assist the tribe. Five government soldiers were among those killed.

Qatar has offered to revive a 2008 peace deal it brokered between Sanaa and the rebels to end the war, which displaced 350,000 people. (Reporting by Mohammed Ghobari; Writing by Cynthia Johnston and Firouz Sedarat)

Yemeni tribe, Shi’ite rebels agree truce in north

SANAA, July 25 (Reuters) – A pro-government tribe has agreed a truce with Shi’ite rebels in Yemen to halt battles which caused up to 70 deaths last week and threatened to re-ignite a civil war, a provincial official said on Sunday.

The latest fighting, in which Yemeni government forces were also involved, was the bloodiest in the north since a truce in February ended a war between the government and Shi’ite rebels, known as Houthis, that has raged intermittently since 2004 and last year drew in neighbouring Saudi Arabia.

“Battles between the Houthis and followers of Sheikh Saghir Ibn Aziz were halted after the success of tribal mediation in establishing a truce between the two sides,” the official told Reuters.

The official said the truce, sealed late on Saturday, provided for the withdrawal of all gunmen from their positions, the lifting of checkpoints and roadblocks and the removal of mines from roads. Between 53 and 70 people were estimated to have been killed in the fighting.

Yemen’s Western and Saudi allies want Sanaa, also trying to quell southern separatism, to resolve domestic conflicts like the northern war so it can focus on fighting a resurgent regional arm of al Qaeda, seen as a bigger international threat.

Tension between the rebels and the Ibn Aziz tribe, from the same Zaidi sect of Shi’ite Islam but which sided with the state during the civil war, has been growing in the Harf Sufyan area for months.

The tension exploded into violence after rebels attacked a tribal leader’s home in early July, killing three of his followers. Clashes broke out again last week, prompting government forces to intervene to assist the Ibn Aziz tribe. Five government soldiers were among those killed.

Qatar has offered to revive a 2008 peace deal it brokered between Sanaa and the rebels to end the war, which displaced 350,000 people.

Under Saturday’s truce, the Ibn Aziz tribe and rebels are expected to hold talks with mediators to resolve differences.

“Yes, we signed the agreement but there are still violations by the Houthis which we hope will stop,” tribal leader Sheikh Saghir told Reuters, accusing the rebels of trying to exact revenge on their wartime foes. There was no immediate comment from the rebels. (Reporting by Mohammed Ghobari; Writing by Cynthia Johnston; Editing by Andrew Dobbie)

UPDATE 1-Saudi Dar Al-Arkan Q2 net falls on lower land sales

RIYADH, July 20 (Reuters) – Saudi-based real estate developer Dar al-Arkan 4300.SE said second-quarter earnings fell by almost 30 percent on declining sales of building-ready land, its main revenue source.

Second-quarter net profit was broadly in line with analysts forecasts at 437 million riyals ($117 million), down 29.3 percent from 618.3 million riyals a year earlier, Saudi Arabia’s largest property developer by market value said in a statement to the Saudi bourse.

Analysts surveyed by Reuters had expected on average net profit of 431 million riyals.

“The decline in second-quarter net profit… is due to a decrease in the areas of sold land,” the company said without giving any figures.

Land sales generate the the bulk of revenues and profit for the firm: They accounted for 90 percent of its revenues during the first quarter and 96 percent of its gross profit for the period.

The repercussions of the global financial crisis have led to a drop in the amount of liquidity that goes into land speculation in Saudi Arabia, resulting mainly in a decline in the volume of transactions, industry sources say.

By end-June, earnings per share fell to 0.77 riyals down from 0.97 riyals a year earlier while net operating income fell 26.4 percent to 492 million riyals. (Reporting by Souhail Karam; Editing by Andrew Callus)

Timeline: Missing Iranian nuclear scientist surfaces

June 2009 – Shahram Amiri, a university researcher working for Iran’s Atomic Energy Organization, goes missing during a pilgrimage to Saudi Arabia. Iran’s Press TV said Amiri was a researcher at Tehran’s Malek Ashtar University.

September 2009 – The IAEA says Iran, three months after Amiri’s disappearance, disclosed the existence of its second uranium enrichment site, near the central holy Shi’ite city of Qom, further heightening tension over the Islamic state’s atomic activities. Construction of the plant began in 2006.

October 2009 – Foreign Minister Manouchehr Mottaki says Iran has found documents that prove U.S. involvement in the disappearance.

December 2009 – Iran accuses Saudi Arabia of handing over the scientist to the United States.

March 2010 – Media reports that Amiri defected as part of a long-planned operation to get him to leave Iran and resettle in the United States.

– An ABC report says Amiri has been extensively debriefed since his defection and says he helped to confirm U.S. intelligence assessments about the Iranian nuclear programme.

June 2010 – Iran’s state television shows a video of what it says is the missing nuclear scientist declaring he was kidnapped and taken to the United States where he was “tortured.”

– “I was kidnapped from Medina in a joint operation by the American intelligence service … and Saudi Arabia,” Amiri says, speaking in Farsi, in footage which showed him sitting behind a computer wearing headphones. Amiri says in the video he is in Arizona and that the footage was taken on April 5.

– Shortly after that footage, a second video appears on the Internet, also purporting to be Amiri, in which he says he is actually studying in the United States.

– Iran summons the Swiss ambassador in Tehran and hands over documents which it says shows the missing scientist has been kidnapped by the United States.

– On June 29, in a third video, a man describing himself as Amiri said he had fled from U.S. “agents” and was in hiding, urging human rights groups to help him to return to Iran.

July 2010 – Iran has sent to U.S. authorities more documents about the disappearance of the scientist, demanding his release, the foreign ministry says on July 3.

– “The documents about Shahram Amiri’s abduction by the CIA have been delivered to the Swiss embassy as the preservers of America’s interests,” according to Iran’s IRNA.

– The scientist has taken refuge in the Iranian interests section of Pakistan’s embassy in Washington, a Pakistan foreign ministry official says.

Body remains found on wheels of plane in Riyadh

(Reuters) – Workers at Riyadh airport found the remains of a body on the tires of a plane which arrived from Beirut early Saturday, an airport source in Beirut said.

The source said some passengers on the Saudi Arabian airline Nas Air flight had reported seeing a man with a backpack running toward the plane shortly before it took off from Beirut.

They told the pilot what they had seen, the source said, but the flight continued to Saudi Arabia and the body was only discovered after the plane had landed and been inspected.

Saudi and Lebanese officials were trying to establish the identity of the dead person, the source said.

Odfjell SE: Odfjell orders newbuilding

Odfjell has today signed an agreement with Daewoo Shipbuilding & Marine Engineering Co.,
Ltd (DSME) to build one fully IMO II 75,000 dwt chemical tanker with 31 coated tanks for
delivery first half 2013 at a total price of about USD 65 million.

On the same date our J/V partners National Chemical Carriers of Saudi Arabia (NCC) has
ordered a sister vessel with expected delivery late 2013.

The ships will be commercially operated by our J/V NCC Odfjell Chemical Tankers JLT
(NOCT), based in Dubai.

Both Odfjell and NCC have options for one more vessel each.

For more information, please contact: President/CEO Jan A. Hammer on mobile +47 908 39
719. E-mail: jan.hammer@odfjell.com mailto:jan.hammer@odfjell.com

The Odfjell Group is a leading participant in the global market of the seaborne
transportation and storage of chemicals and other speciality bulk liquids. The Odfjell
fleet includes about 90 ships, trading both globally and regionally. The tank terminal
division consists of nine fully or partially owned tank terminals and nine associated
tank terminals strategically located. The Odfjell Group is headquarted in Bergen, Norway
and has more than 20 offices world wide. Odfjell has about 3 700 employees and an annual
gross revenue of about USD 1.3 billion.

This information is subject of the disclosure requirements acc. to ยง5-12 vphl (Norwegian
Securities Trading Act)

Saudi not to buy European sovereign debt-paper

(Reuters) – Saudi Arabia does not intend to buy European sovereign debt, central bank chief Muhammad al-Jasser said in published remarks on Sunday.

“There are no plans to buy European sovereign debt,” Jasser said in Saudi’s al-Watan daily newspaper. (Reporting by Asma Alsharif; Editing by Dinesh Nair)

Saudi writers find new voice, depictions of closed society

DUBAI, June 21 (Reuters) – Islamists in Saudi Arabia depict them as a pampered liberal elite while the authorities in this conservative Islamic state throw up obstacles in their path.

Despite the odds, novelists in closed, controlled Saudi Arabia have come into their own in recent years, publishing a growing body of work that has attracted attention not only in the kingdom but beyond for the creative representations of an opaque, troubled society.

Saudi novelist Abdo Khal this year won the International Prize for Arabic Fiction, known as the Arabic Booker, a departure from previous years when winners hailed from Egypt, the traditional centre of Arabic literature. The success was taken by many as a sign that the Saudi novel had come of age.

“Saudi Arabia and the Gulf have been regarded as marginal countries in the cultural scene, but now they have a major presence,” said Saudi novelist Yousef al-Mohaimeed, whose 2003 novel Wolves of the Crescent Moon painted a striking picture of a merciless society.

“Output has increased steadily over the last 7 years and now there are more than 50 novels published by Saudis each year.”

For decades a society largely closed to outsiders, tightly controlled by state-backed religious and security services, Saudi Arabia has witnessed immense change in recent years.

The September 11 attacks forced the clique of princes running the world’s top oil producer to reconsider engagement with the world. High oil prices since 2002 have been another factor, allowing ordinary Saudis to access the information revolution seen as a threat by many in the ruling elite.

Young Saudis especially, who make up a majority of the country’s population of 18 million, turned to writing blogs and novels in an outpouring of expression.

Political activity is a practical impossibility in Saudi Arabia, where the royal family dominates governance and clerics of the puritanical Wahhabi sect to enforce a rigid moral system.

Most women are unable to drive and mix with unrelated men.

The 2005 novel Girls of Riyadh by Rajaa Alsanea, though dismissed by critics as lightweight, was a sign of the times: three affluent young women reveal their trials and tribulations in finding the perfect mate through a series of email exchanges. It was a surprise success, translated into many languages.

The late author Abdelrahman Munif was stripped of his Saudi nationality for his insolence after publishing books in the 1980s that showed how oil wealth enabled the rise of tribal kleptocracies in traditional Gulf Arab society.

But the new generation of writers have managed to develop a local audience and gain recognition in Saudi Arabia.

CHALLENGES

“There is censorship, which is sometimes eased, sometimes tightened, and there are the Islamists who are still strong and suffocating,” says novelist Badriya Al-Bisher, whose 2005 book Hind wa al-Askar (Hind and the Soldiers) annoyed conservatives by arguing that after years of living under Islamic tradition, the Saudi woman represses herself.

Abdo Khal’s winning novel Tarmi Bi-Sharar — a Quranic reference to hell, meaning “throwing sparks” — came to market with a non-Saudi publisher and was briefly withdrawn at this year’s Riyadh International Book Fair. His books have in the past been difficult to find in Saudi bookshops.

Mainstream television gives little attention to writers. Saudi state media and the pan-Arab news and entertainment networks presided over by Saudi princes and tycoons have virtually closed off Arab air space to literati.

Even al-Jazeera — the most popular channel in the region, currently on good terms with Riyadh — has reduced its cultural coverage to a minimum for the entire Arab region.

Yet the novel is one of the few areas of artistic production that has not been co-opted by state actors, largely because the powerful have paid it little attention.

Billionaire prince Alwaleed bin Talal has monopolised much of Arabic film and music production through his Rotana network. Critics have noted that Saudi funding of drama in Egypt and Syria involves a subtle conformism with conservative mores.

The biggest selling books in Saudi Arabia itself invariably concern religion — the Quran, works central to Wahhabism and self-help books such as preacher Ayedh al-Qarni’s La Tahzan (Don’t Be Sad) .

Mohaimeed says some Lebanese publishers, despite a new interest in Saudi literature, are reticent about Saudi writers for fear of being cut out of the Saudi market, where purchasing power is high.

Khal speaks to some of these distorted dimensions of power relations in Saudi society in his prize-winning book that depicts the moral dangers brought on by the recent oil boom.

An unnamed, faceless tycoon figure in the city of Jeddah has built himself a palace in the vicinity of a poor neighbourhood, which is able to provide individuals desperate enough to work as virtual slaves performing acts of sexual torture on those who have had the misfortune to stand in his way.

“It looks at the humiliation of the human being and suffering,” says Taleb Alrefai, a Kuwaiti novelist who headed the committee that awarded the prize. “It’s about how an individual tries to escape the social and economic chains that are taking away from his dignity.”

“The space for art and culture is very small, and not only in Arab media,” he said, adding: “The novel is the effort of one individual and that’s what gives it its freedom.”

(Editing by Missy Ryan)

Saudi spends $1.6 billion to house displaced near Yemen

(Reuters) – Saudi Arabia has allocated 6 billion riyals ($1.6 billion) to build 6,000 houses for citizens who were displaced from areas bordering Yemen after a two-month conflict with Yemeni Shi’ite rebels.

World

The official SPA news agency said the money would also fund the construction of basic educational and health infrastructure at five sites in the southern Jazan province.

Citizens who have been living in areas bordering Yemen would be housed in these new developments, SPA added.

The Saudi army started in November a campaign against what it said were intrusions into its territory by Yemeni Shi’ite rebels who were accusing Riyadh of letting Yemeni troops use its territory to attack them.

At least 113 Saudi soldiers were killed in the fighting which ended with a truce in January.

Western diplomats have been expecting Riyadh to provide adequate housing for thousands of citizens who live in the relatively poor southern region along the porous border with Yemen, some of whom rely on smuggling for their subsistence.

Before the conflict with the Yemeni rebels, Saudi Arabia started laying out basic infrastructure for the so-called Jazan Economic City in the hope of attracting $30 billion in investments to create an industrial hub that would create much-needed jobs for the population there.

(Reporting by Souhail Karam)

Saudi spends $1.6 bln to house displaced near Yemen

June 20 (Reuters) – Saudi Arabia has allocated 6 billion riyals ($1.6 billion) to build 6,000 houses for citizens who were displaced from areas bordering Yemen after a two-month conflict with Yemeni Shi’ite rebels.

The official SPA news agency said the money would also fund the construction of basic educational and health infrastructure at five sites in the southern Jazan province.

Citizens who have been living in areas bordering Yemen would be housed in these new developments, SPA added.

The Saudi army started in November a campaign against what it said were intrusions into its territory by Yemeni Shi’ite rebels who were accusing Riyadh of letting Yemeni troops use its territory to attack them.

At least 113 Saudi soldiers were killed in the fighting which ended with a truce in January.

Western diplomats have been expecting Riyadh to provide adequate housing for thousands of citizens who live in the relatively poor southern region along the porous border with Yemen, some of whom rely on smuggling for their subsistence.

Before the conflict with the Yemeni rebels, Saudi Arabia started laying out basic infrastructure for the so-called Jazan Economic City in the hope of attracting $30 billion in investments to create an industrial hub that would create much-needed jobs for the population there. (Reporting by Souhail Karam)

25 Saudi Guantanamo prisoners return to militancy

(Reuters) – Around 25 former detainees from Guantanamo Bay camp returned to militancy after going through a rehabilitation program for al Qaeda members in Saudi Arabia, a Saudi security official said on Saturday.

World | Saudi Arabia

The United States have sent back around 120 Saudis from the detention camp at the U.S. naval base in Cuba, set up after the U.S. launched a “war on terror” following the September 11 attacks by mostly Saudi suicide hijackers sent by al Qaeda.

Saudi Arabia, the world’s top oil exporter, has put the returned prisoners along with other al Qaeda suspects through a rehabilitation program which includes religious re-education by clerics and financial help to start a new life.

The scheme, which some 300 extremists have attended, is part of anti-terrorism efforts after al Qaeda staged attacks inside the kingdom from 2003-06. These were halted after scores of suspects were arrested with the help of foreign experts.

Around 11 Saudis from Guantanamo have gone to Yemen, an operating base for al Qaeda, while others have been jailed again or killed after attending the program, said Abdulrahman al-Hadlaq, Director General of the General Administration for Intellectual Security overseeing the rehabilitation.

He pinpointed strong personal ties among former prisoners but also tough U.S. tactics as the reason why some 20 percent of the returned Saudis relapsed into militancy compared to 9.5 percent overall in the rehabilitation program.

“Those guys from other groups didn’t suffer torture before, the non-Guantanamos (participants). Torturing is the most dangerous thing in radicalization. You have more extremist people if you have more torture,” Hadlaq told reporters in a rare briefing about Saudi anti-terrorism efforts.

REHABILITATION SCHEME “A SUCCESS”

Despite the setback with Guantanamo prisoners, Saudi Arabia regards the rehabilitation scheme, which kicks in after militants have served a prison term, as a success.

“There is no doubt that there is an effect,” Hadlaq said.

U.S. President Barack Obama ordered the camp shut after taking office in January 2009 but his plans have been stymied. There are now about 180 detainees left, among them 13 Saudis. At its peak, the camp held about 780 detainees.

More than 2,000 sympathizers of al Qaeda are still in prison in Saudi Arabia. Some 2,000 teachers have been removed from classrooms for their extremist views in the past five years while 400 teachers are in prison, Hadlaq said.

Saudi Arabia plans to build five more rehabilitation centers which will be able to accommodate 250 people each, he said.

The expansion plans are partly to cope with the eventual release of 991 suspected al Qaeda militants whom the authorities said in October were awaiting trial for 30 attacks since 2003.

In July, a Saudi court sentenced one unnamed Islamist to death and handed out to others jail terms of up to 30 years in the first publicly reported trials since the arrests.

(Reporting by Ulf Laessing; Editing by Robert Woodward)

25 Saudi Guantanamo prisoners return to militancy

RIYADH, June 19 (Reuters) – Around 25 former detainees from Guantanamo Bay camp returned to militancy after going through a rehabilitation programme for al Qaeda members in Saudi Arabia, a Saudi security official said on Saturday.

The United States have sent back around 120 Saudis from the detention camp at the U.S. naval base in Cuba, set up after the U.S. launched a “war on terror” following the Sept. 11 attacks by mostly Saudi suicide hijackers sent by al Qaeda.

Saudi Arabia, the world’s top oil exporter, has put the returned prisoners along with other al Qaeda suspects through a rehabilitation programme which includes religious re-education by clerics and financial help to start a new life.

The scheme, which some 300 extremists have attended, is part of anti-terrorism efforts after al Qaeda staged attacks inside the kingdom from 2003-06. These were halted after scores of suspects were arrested with the help of foreign experts.

Around 11 Saudis from Guantanamo have gone to Yemen, an operating base for al Qaeda, while others have been jailed again or killed after attending the programme, said Abdulrahman al-Hadlaq, Director General of the General Administration for Intellectual Security overseeing the rehabilitation.

He pinpointed strong personal ties among former prisoners but also tough U.S. tactics as the reason why some 20 percent of the returned Saudis relapsed into militancy compared to 9.5 percent overall in the rehabilitation programme.

“Those guys from other groups didn’t suffer torture before, the non-Guantanamos (participants). Torturing is the most dangerous thing in radicalisation. You have more extremist people if you have more torture,” Hadlaq told reporters in a rare briefing about Saudi anti-terrorism efforts.

REHABILITATION SCHEME “A SUCCESS”

Despite the setback with Guantanamo prisoners, Saudi Arabia regards the rehabilitation scheme, which kicks in after militants have served a prison term, as a success. “There is no doubt that there is an effect,” Hadlaq said.

U.S. President Barack Obama ordered the camp shut after taking office in January 2009 but his plans have been stymied. There are now about 180 detainees left, among them 13 Saudis. At its peak, the camp held about 780 detainees.

More than 2,000 sympathisers of al Qaeda are still in prison in Saudi Arabia. Some 2,000 teachers have been removed from classrooms for their extremist views in the past five years while 400 teachers are in prison, Hadlaq said.

Saudi Arabia plans to build five more rehabilitation centres which will be able to accommodate 250 people each, he said.

The expansion plans are partly to cope with the eventual release of 991 suspected al Qaeda militants whom the authorities said in October were awaiting trial for 30 attacks since 2003.

In July, a Saudi court sentenced one unnamed Islamist to death and handed out to others jail terms of up to 30 years in the first publicly reported trials since the arrests. (Reporting by Ulf Laessing; Editing by Robert Woodward)

Suspected Yemen separatists kill two police in ambush

SANAA, June 20 (Reuters) – Suspected southern separatists ambushed and killed two Yemeni police officers on a routine patrol on Sunday, punctuating a deal for calm in the flashpoint city of Dalea, provincial officials and state media said.

Separatists had sealed a deal two days earlier to end a weeks-long government siege of the city, with the government pledging to remove roadblocks and the separatists agreeing to pull gunmen out of strategic points, the officials said.

Yemen, neighbour to top oil exporter Saudi Arabia, has been an increased Western security concern since a Yemen-based regional al Qaeda arm claimed responsibility for a failed December attempt to bomb a U.S.-bound plane.

Yemen’s Western allies and Saudi Arabia fear a resurgent al Qaeda wing could exploit unrest to use Yemen as a base for destabilising attacks in the region and beyond. They want the government to resolve internal conflict and consolidate power.

But a separatist movement in the south has taken on steam in recent months, with deaths on both sides, even as a separate civil war with Shi’ite rebels subsides in a northern corner of the Arabian peninsula state.

Tensions have escalated in recent weeks in Dalea, with government forces who have surrounded the city shelling separatist positions in town earlier this month and engaging in gunbattles with secessionists.

After Sunday’s ambush, in which suspected separatists torched a military vehicle after shooting dead the two police officers inside, security forces combed the city for the perpetrators. There was no immediate word on any arrests.

North and South Yemen formally united in 1990 but many in the south, where most of impoverished Yemen’s oil facilities are located, complain northerners have used unification to seize their resources and discriminate against them. (Reporting by Mohammed Ghobari; Writing by Cynthia Johnston; Editing by Matthew Jones)

U.S. rates itself on human trafficking

(Reuters) – More nations are fighting human trafficking, the United States said on Monday in a report that for the first time rated its own performance — described as among the most vigilant but with room to improve.

U.S. | Politics

“The United States is a source, transit and destination country for men, women and children subjected to trafficking in persons, specifically forced labor, debt bondage, and forced prostitution,” the U.S. State Department said in its annual Trafficking in Persons report.

U.S. trafficking most often occurs for labor, rather than for the sex trade, and particularly afflicts domestic workers as well as those in agriculture, manufacturing, janitorial services, construction, health and elder care, it said.

While placing the United States in the top “Tier 1″ group of states that meet basic standards on trafficking, the report said it could improve by collecting better data on cases and by forming task forces like those that combat narcotics.

It also recommended better training of U.S. federal agents and prosecutors in victim protection as well as in identifying, investigating and prosecuting human trafficking cases.

“This report sends a clear message to all of our countrymen and women: human trafficking is not someone else’s problem,” U.S. Secretary of State Hillary Clinton said as she unveiled the report. “Involuntary servitude is not something we can ignore or hope doesn’t exist in our own community.”

The State Department found 13 nations do not meet minimum standards on fighting trafficking and are not making significant efforts to do so, a drop from 17 nations in 2009.

The countries in this lowest “Tier 3″ category were Myanmar (formerly known as Burma), the Democratic Republic of the Congo, Cuba, the Dominican Republic, Eritrea, Iran, Kuwait, Mauritania, North Korea, Papua New Guinea, Saudi Arabia, Sudan and Zimbabwe.

Six countries — Chad, Fiji, Malaysia, Niger, Swaziland and Syria — climbed out of the bottom “Tier 3″ rank.

But Switzerland fell from “Tier 1″ to “Tier 2″ because the State Department learned of laws — long on the books — allowing 16- and 17-year-olds to legally engage in prostitution.

US discovers $1 trillion Afghan mineral deposits-NYT

June 14 (Reuters) – Afghanistan could be holding $1 trillion of untapped mineral deposits including critical industrial metals such as lithium, the New York Times reported, quoting U.S. government officials.

The previously unknown deposits of iron, copper, cobalt and gold are so huge that it could transform the impoverished nation into one of the world’s important mining centres, the report on the newspaper’s website said. (www.nytimes.com/)

The mineral wealth, discovered by a team of Pentagon officials and U.S. geologists, is scattered throughout the country including in the south and east along the border with Pakistan, where the Taliban-led insurgency is the most intense.

“There is stunning potential here,” the newspaper quoted General David Petraeus, commander of the U.S. Central Command, as saying in an interview at the weekend. “There are lots of ifs, of course, but I think potentially it is hugely significant.”

An internal Pentagon memo said Afghanistan could become the “Saudi Arabia of lithium”, the New York Times said. Lithium is a key raw material in the manufacture of batteries for laptops and other electronics such as mobile telephones. ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^

For more on Afghanistan click [ID:nAFPAK]

or see link.reuters.com/syx62d

Afghan blog: blogs.reuters.com/afghanistan/ ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^

Afghanistan does not have any mining industry or infrastructure, so it will take decades for the country to exploit its mineral wealth fully, the paper quoted U.S. officials as saying.

The report about the country’s untapped wealth is likely to intensify competition among regional players such as China, India and even Russia for a greater role in exploiting those resources.

Two Chinese firms have committed themselves to a $4 billion investment in the vast Aynak copper mine, south of Kabul, the biggest non-military foreign investment so far in the country.

Another big contract to mine an estimated 1.8 billion tonnes of high-quality iron ore in the remote mountainous region of Hajigak is expected to open for international bidding this year.

Firms from India and China are eyeing the contract, which the Afghan mines ministry says is the largest unmined iron deposit in Asia.

According to the U.S. study, the biggest deposits discovered so far are of iron and copper and the quantities are large enough to make Afghanistan a major world producer.

Other finds include large deposits of niobium, a soft metal used in producing superconducting steel, rare earth elements and large gold deposits in Pashtun areas of southern Afghanistan.

(Reporting by Sanjeev Miglani; Editing by Paul Tait)

Qatar to be largest overseas property investor in 2010: report

(Reuters) – Qatar is expected to be the largest source of global real estate capital during 2010, real estate consultancy Jones Lang LaSalle said in a report published on Sunday.

The country, which has emerged as “a new global powerhouse,” is expected to rank as the number one global overseas investor in 2010, according to the firm.

“Cash-rich and with a strong appetite for splashy overseas assets, Qatari vehicles have lately outshone their counterparts from the region and are projected to carry on with their rapid expansion across the real estate world,” the report said.

Recent investments — such as the purchase of London department store Harrods in May for around 1.5 billion pounds — are likely to be followed by further investments in other markets across Latin America, Eastern Europe and Asia, it said.

“Qatar is the epitome of energy-rich GCC nations, with a large appetite for real estate investment, fueled by the rapid growth in oil and gas revenues over recent years,” the report said.

Qatar’s competitive advantage will be helped by the decline in investment from German funds, which were among the major global investors in 2009, the report said.

Qatar, the world’s largest exporter of liquefied natural gas, was one of the fastest growing economies worldwide in 2009.

Its economy grew at an average pace of 17.4 percent over the past five years and it is set to largely outperform fellow Gulf oil producers such as Saudi Arabia and the United Arab Emirates in coming years.

A Reuters poll in April showed that Qatar’s economy was likely to expand by 16.1 percent this year.

(Reporting by Regan E. Doherty; Editing by Dinesh Nair)

Qatar to be largest overseas property investor in 2010- report

DOHA, June 13 (Reuters) – Qatar is expected to be the largest source of global real estate capital during 2010, real estate consultancy Jones Lang LaSalle said in a report published on Sunday.

The country, which has emerged as “a new global powerhouse,” is expected to rank as the number one global overseas investor in 2010, according to the firm.

“Cash-rich and with a strong appetite for splashy overseas assets, Qatari vehicles have lately outshone their counterparts from the region and are projected to carry on with their rapid expansion across the real estate world,” the report said.

Recent investments — such as the purchase of London department store Harrods in May for around 1.5 billion pounds — are likely to be followed by further investments in other markets across Latin America, Eastern Europe and Asia, it said.

“Qatar is the epitome of energy-rich GCC nations, with a large appetite for real estate investment, fuelled by the rapid growth in oil and gas revenues over recent years,” the report said.

Qatar’s competitive advantage will be helped by the decline in investment from German funds, which were among the major global investors in 2009, the report said.

Qatar, the world’s largest exporter of liquefied natural gas, was one of the fastest growing economies worldwide in 2009.

Its economy grew at an average pace of 17.4 percent over the past five years and it is set to largely outperform fellow Gulf oil producers such as Saudi Arabia and the United Arab Emirates in coming years.

A Reuters poll in April showed that Qatar’s economy was likely to expand by 16.1 percent this year. (Reporting by Regan E. Doherty; Editing by Dinesh Nair)

Yemen security official, 2 soldiers killed in south

June 13 (Reuters) – Gunmen shot dead a senior security official in south Yemen, scene of escalating separatist tensions, and two soldiers died defusing a bomb near a southern army camp, officials and witnesses said on Sunday. A provincial official said Jalal al-Uthmani, a senior security official in the flashpoint Abyan province, was killed outside his house in a hail of gunfire on Saturday.

In neighbouring Dalea, two soldiers died on Sunday when a bomb they were trying to defuse outside the gate of an army camp exploded, witnesses and local officials said.

Yemen, neighbour to top oil exporter Saudi Arabia, has been a Western security concern since a Yemen-based regional al Qaeda arm claimed responsibility for a failed December attempt to bomb a U.S.-bound plane.

Yemen’s Western allies and Saudi Arabia fear a resurgent al Qaeda wing could exploit unrest to use Yemen as a base for destabilising attacks in the region and beyond. They want the government to resolve internal conflict and consolidate power.

But a separatist movement in the south has taken on steam in recent months, with deaths on both sides, even as a separate civil war with Shi’ite rebels subsides in a northern corner of the Arabian peninsula state.

North and South Yemen formally united in 1990 but many in the south, where most of impoverished Yemen’s oil facilities are located, complain northerners have used unification to seize their resources and discriminate against them. (Reporting by Mohamed Mukhashaf; Writing by Cynthia Johnston; Editing by Elizabeth Fullerton)

UPDATE 1-Saudi telco Atheeb’s CEO resigns after big losses

RIYADH, June 13 (Reuters) – Atheeb Telecom 7040.SE, Saudi Arabia’s first private fixed-line phone operator, said on Sunday its top executive has resigned after it accumulated losses close to 40 percent of its capital one year after starting business.

Ahmad Abbas Sindi was replaced by Raed Kayyal, Atheeb said in a statement posted on the bourse’s website.

The company, which focuses mainly on broadband, started commercial operations in June, 2009.

It said last month its net losses stood at 379 million riyals between February, 2009 and March, 31, 2010 with sales of only 35.4 million riyals, which is below half the cost of sales themselves.

This has raised fears among investors that Atheeb would soon need to replenish its capital to keep the business running and competing with cash-laden rivals such as state-controlled Saudi Telecom 7010.SE and Mobily 7020.SE.

Bahrain Telecom BTEL.BH holds a 15 percent stake in Atheeb Telecom.

Saudi Telecom and Mobily dominate the broadband landscape, which offers the best growth potential in the Arab world’s largest economy.

Some analysts say Atheeb has put less focus on fixed-line voice services because it was bound to face a price war by Saudi Telecom.

Atheeb’s shares lost 15 percent since the firm started commercial operations. (Reporting by Souhail Karam; Editing by Thomas Atkins)

UPDATE 1-StanChart seeking organic growth in S.Korea-exec

SEOUL, June 10 (Reuters) – The head of Standard Chartered’s (STAN.L) South Korean unit said on Thursday the Asia-focused bank was seeking organic growth in the country, ruling out interest in acquiring Korea Exchange Bank (004940.KS).

“Our strategy in Korea is an organic strategy,” SC First Bank Chief Executive Richard Hill told reporters on the sidelines of a bank ceremony.

“We’ve invested now $5 billion of capital in Korea … so we’re going to continue to aggressively expand the business we’ve invested in already. It’s a core market for us,” Hill said, when asked by Reuters about possible interest in KEB.

Britain’s Standard Chartered Bank (2888.HK), which derives more than four-fifths of its profit from Asia, was the first European bank to set up a branch in South Korea and later expanded its presence with the acquisition of Korea First Bank in 2005. South Korea is now its second-biggest market.

Jaspal Bindra, Group Executive Director and Asia CEO for Standard Chartered, earlier told Reuters the bank would be disciplined about any acquisition.

“In our footprint we look at everything that is relevant in the banking space for us, but we are also very disciplined about any acquisition because it has to have both a financial and a strategic fit,” Bindra said on Monday in Vietnam.

“So far we have stayed with that principle, it’s worked well for us, so we’ll have to sort of apply this.”

Asked if there were banking M&A targets in his sights, he said: “Not so much in this region because we are pretty much in every market in Asia.”

He mentioned South Africa and Saudi Arabia as places they might look at.

“In Korea we are already quite big. We have 400 branches in Korea, we are one of the largest foreign banks in Korea. So Korea is not a small place for us,” he said.

U.S. equity fund Lone Star [LS.UL] has put up for sale its 51 percent stake in KEB, South Korea’s sixth-biggest lender by assets, but has seen slow progress in drumming up interest for the stake, worth 4.3 trillion won ($3.45 billion) at market price.

Australia and New Zealand Banking Group (ANZ.AX) and private equity house MBK Partners have shown interest, but South Korean banking groups remain inactive, while sources said ANZ was shifting its M&A focus to another target in Indonesia. [ID:nTOE658058]

HSBC (HSBA.L)(0005.HK), which had been speculated as another possible contender for KEB, has also ruled out its interest. [ID:nTOE63Q06A] ($1=1247.3 Won) (Reporting by Rhee So-eui and John Ruwitch; Editing by Jacqueline Wong)