Want to reduce negative politics: Rahul tells party leaders

NEW DELHI: Newly-appointed Congress vice president Rahul Gandhi Wednesday said he wanted to try and reduce the "negative politics" and get into "positive politics", which would take the country forward.

Addressing party leaders at the 24, Akbar Road party office here, Gandhi said he wanted to make the Congress party "accessible to as many people... this is my sentiment".

He said political discussions tended to be "extremely acrimonious, fighting with each other over small reasons... want to try and reduce that, don't want to get into negative politics, want to get into positive politics as that is what will take the country forward".

"We are a dynamic country and this country can do wonders... Lately I feel a lot of the discussion is negative... there is a lot of positive things happening everyday... Many youngsters are transforming things."

He was elevated Saturday to the post of party vice president at the Congress Chintan Shivir in Jaipur.

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The Promise and Perils of Mining Asteroids

Encouraged by new space technologies, a growing fleet of commercial rockets and the vast potential to generate riches, a group of entrepreneurs announced Tuesday that they planned to mine the thousands of near-Earth asteroids in the coming decades.

The new company, Deep Space Industries (DSI), is not the first in the field, nor is it the most well-financed. But with their ambition to become the first asteroid prospectors, and ultimately miners and manufacturers, they are aggressively going after what Mark Sonter, a member of DSI's board of directors, called "the main resource opportunity of the 21st century." (Related: "Asteroid Hunter to Be First Private Deep-Space Mission?")

Prospecting using miniaturized "cubesat" probes the size of a laptop will begin by 2015, company executives announced. They plan to return collections of asteroid samples to Earth not long after.

"Using low cost technologies, and combining the legacy of [the United States'] space program with the innovation of today's young high tech geniuses, we will do things that would have been impossible just a few years ago," said Rick Tumlinson, company chairman and a longtime visionary and organizer in the world of commercial space [not sure what commercial space means].

"We sit in a sea of resources so infinite they're impossible to describe," Tumlinson said.

Added Value

There are some 9,000 asteroids described as "near-Earth," and they contain several classes of resources that entrepreneurs are now eyeing as economically valuable.

Elements such as gold and platinum can be found on some asteroids. But water, silicon, nickel, and iron are the elements expected to become central to a space "economy" should it ever develop.

Water can be "mined" for its hydrogen (a fuel) and oxygen (needed for humans in space), while silicon can be used for solar power systems, and the ubiquitous nickel and iron for potential space manufacturing. (See an interactive on asteroid mining.)

Sonter, an Australian mining consultant and asteroid specialist, said that 700 to 800 near-Earth asteroids are easier to reach and land on than the moon.

DSI's prospecting spacecraft will be called "FireFlies," a reference to the popular science fiction television series of the same name. The FireFlies will hitchhike on rockets carrying up communication satellites or scientific instruments, but they will be designed so that they also have their own propulsion systems. The larger mining spacecraft to follow have been named "DragonFlies."

Efficiencies

It all sounds like science fiction, but CEO David Gump said that the technology is evolving so quickly that a space economy can soon become a reality. Providing resources from beyond Earth to power spacecraft and keep space travelers alive is the logical way to go.

That's because the most expensive and resource-intensive aspect of space travel is pushing through the Earth's atmosphere. Some 90 percent of the weight lifted by a rocket sending a capsule to Mars is fuel. Speaking during a press conference at the Santa Monica Museum of Flying in California, Gump said that Mars exploration would be much cheaper, and more efficient, if some of the fuel could be picked up en route. (Related: "7 Ways You Could Blast Off by 2023.")

Although there is little competition in the asteroid mining field so far, DSI has some large hurdles ahead of it. The first company to announce plans for asteroid mining was Planetary Resources, Inc. in spring 2012—the group is backed by big-name investors such as Google's Larry Page and Eric Schmidt, filmmaker James Cameron, and early Google investor Ram Shriram. DSI is still looking for funding.

Owning Asteroids

While these potential space entrepreneurs are confident they can physically lay claim to resources beyond Earth, there remain untested legal issues.

The United Nations Space Treaty of 1967 expressly forbids ownership of other celestial bodies by governments on Earth. But American administrations have long argued that the same is not true of private companies and potential mining rights.

While an American court has ruled that an individual cannot own an asteroid—as in the case of Gregory Nemitz, who laid claim to 433 Eros as a NASA spacecraft was approaching it in 2001—the question of extraction rights has not been tested.

Moon rocks brought back to Earth during the Apollo program are considered to belong to the United States, and the Russian space agency has sold some moon samples it has returned to Earth-sales seen by some as setting a precedent.

Despite the potential for future legal issues, DSI's Gump said his group recently met with top NASA officials to discuss issues regarding technology and capital, and came away optimistic. "There's a great hunger for the idea of getting space missions done with smaller, cheaper 'cubesat' technology and for increased private sector involvement."

Everyone involved acknowledged the vast challenges and risks ahead, but they see an equally vast potential—both financial and societal.

"Over the decades, we believe these efforts will help expand the civilization of Earth into the cosmos, and change what it means to be a citizen of this planet," Tumlinson said.

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Te'o Tells Couric He Briefly Lied About Girlfriend

Manti Te'o briefly lied to the media and the public after discovering his online girlfriend did not exist and was a part of an elaborate hoax, he admitted in an exclusive interview with ABC News' Katie Couric.

The star Notre Dame linebacker, who has been hounded by the reporters since the story broke Jan. 16, told Couric in a taped interview Tuesday that he was not lying up until December. Te'o said he was duped into believing his online girlfriend, Lennay Kekua, died of cancer.

"You stuck to the script. And you knew that something was amiss, Manti," Couric said.

"Katie, put yourself in my situation. I, my whole world told me that she died on Sept. 12. Everybody knew that. This girl, who I committed myself to, died on Sept. 12," Te'o said.

Te'o said he received a phone call Dec. 6 from a woman claiming she was Kekua, even though Kekua had allegedly passed away three months earlier.

"Now I get a phone call on Dec. 6, saying that she's alive and then I'm going be put on national TV two days later. And to ask me about the same question. You know, what would you do?" Te'o said.

See more exclusive previews tonight on "World News With Diane Sawyer" and "Nightline." Watch Katie Couric's interview with Manti Te'o and his parents Thursday. Check your local listings or click here for online station finder.

Te'o, 21, was joined by his parents, Brian and Ottilia, in the interview.

"Now many people writing about this are calling your son a liar. They are saying he manipulated the truth, really for personal gain," Couric said to Te'o's father.

Man Allegedly Behind the Manti Te?o Dead Girlfriend Hoax Watch Video

Manti Te'o Girlfriend Hoax: The Man Accused of Elaborate Prank Watch Video

'Catfish' Documentary Creator on Manti Te'o Hoax Watch Video

"People can speculate about what they think he is. I've known him 21 years of his life. And he's not a liar. He's a kid," Brian Te'o said with tears in his eyes.

Click here for a who's who in the Manti Te'o case.

Diane O'Meara told NBC's "Today" show Tuesday that she was used as the "face" of the Twitter account of Manti Te'o's online girlfriend without her knowledge or consent.

O'Meara said that Ronaiah Tuiasosopo used pictures of her without her knowledge in creating Kekua.

"I've never met Manti Te'o in my entire life. I've never spoke with him. I've never exchanged words with him," O'Meara said Tuesday.

The 23-year-old marketing executive went to high school in California with Tuiasosopo, but she says they're not close. Tuiasosopo called to apologize the day Deadspin.com broke the hoax story, she said.

Timeline of Manti Te'o girlfriend hoax story

In an interview with ESPN last week, Te'o said he had received a Twitter message from Tuiasosopo apologizing for the hoax.

The Hawaiian also spoke to Tuiasosopo on the phone the day the Deadspin report came out, according to ESPN.com. He found out that "two guys and a girl are responsible for the whole thing," he said.

But he did not know the identities of the other individuals involved, other than the man he says was Tuiasosopo.

Tuiasosopo, a 22-year-old resident of California, has not admitted involvement publicly. Tuiasosopo graduated from Paraclete High School in Lancaster, Calif., in 2007 and has posted dozens of videos online signing Christian songs.

Those who knew him say he was a devout Christian and a good athlete. His former football coach Jon Flemming described him as gregarious, and from a "good loving family." Flemming said Tuiasosopo is the kind of guy who gives you a hug when he sees people he knows.

"He's doing good. Wishing everyone would go away," Flemming told ABC News Wednesday after a recent correspondence with Tuiasosopo.

Flemming said Tuiasosopo is "somebody I'd want my kid to grow up like. He's responsible, respectful, disciplined, dedicated."

Tessi Toluta'u, a Polynesian beauty queen, told ABC News this weekend that "Lennay Kekua" reached out to her in 2008 about entering pageants.

When visiting Los Angeles in 2009, Toluta'u was supposed to meet Kekua, but she failed to appear. Tuiasosopo met Toluta'u instead.

"[It's a] sick joke that went way too far," Toluta'u said.

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Broadcasting Board ‘dysfunctional,’ IG says

Voice of America coffeee cup. VOA no longer uses these colors, changing the logo to blue, gray and green several years ago.
(David Byrd - David Byrd)
It’s not often that an inspector general’s report uses the word “dysfunctional” several times.

But the Broadcasting Board of Governors — which oversees the Voice of America, Radio Free Europe, Radio and (the un-watched) TV Marti, Radio Free Asia and so on — has managed to earn that.

And, after reading the 20-page report, it’s hard not to conclude that the chronically troubled agency desperately needs a top-to-bottom overhaul.

The BBG’s “dysfunction stems from a flawed legislative structure and acute internal dissension,” the report concludes, noting that a part-time board “cannot effectively supervise” the operations.

There are openings on the nine-member board, but before you sign up, the report found that “board dynamics are characterized by a degree of hostility that renders its deliberative process ineffectual.”

“Board meetings are dominated by one member” — apparently Victor Ashe , a former Republican Knoxville mayor and President George W. Bush’s ambassador to Poland — “whose tactics and personal attacks on colleagues and staff have created an unprofessional and unproductive atmosphere.”

But the IG said the overall board is hampered by “chronic vacancies and absences of board members” . . .“fails to stand by its own decisions”and conducts “disorganized” meetings. They’ve failed to “impose discipline” on Ashe, the report said, and since the others “have allowed the tactics of one [board member] to hamstring the board, they bear some responsibility for its being dysfunctional.”

Before we could call him, Ashe e-mailed us a response to the report, saying the un-named governor was “undoubtedly me.” The IG “failed to identify a single area of waste “ in the $730 million operation, he wrote, and “failed to discuss the low morale” at the broadcasting units.

Ashe noted that he “had a perfect attendance record” at board meetings and has “raised numerous issues” on matters such “waste, low morale. . . and excessive travel to international conferences.”

And the employee union quickly blasted the report as little more than a “hatchet job,” and ”primarily” a character assassination of Ashe. In a statement, the union said Ashe had raised “legitimate concerns” about an agency that “continually ranks as the worst managed federal government agency.”

For its part, the board said in a statement that “the BBG appreciates the work” by the IG’s team and that the members “take their findings seriously and have enacted some of the recommended actions. . .”

Quite unclear whether the dysfunctional Congress can improve the situation.

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Taxi drivers in S. Korea threaten to go on strike

SEOUL : Taxi drivers in South Korea are threatening to go on a partial strike from January 30.

It is in protest against a government decision to block legislation that would give them subsidies for public transport.

The so-called "Taxi Bill" was passed in Parliament earlier this month, but was vetoed by President Lee Myung-bak and will go back to Parliament for another vote.

If Parliament fails to pass the bill, all taxis across the country will go on strike from February 20.

The question being asked in South Korea is whether taxis should be considered public transportation, the same way that buses, subways and trains are.

Most lawmakers in Parliament have said "yes", but President Lee's government disagrees.

Yim Jong Yong, Minister in the Prime Minister's Office, said: "Public transportation refers to mass transportation, operating along specific routes and fixed timetables, so taxis cannot be included in this category."

The taxi bill was passed in Parliament earlier this month, with overwhelming support from both the ruling and opposition parties.

Classifying taxis as part of the country's mass transportation system means they can get state subsidies on fuel, tax and other benefits, just like bus and subway operators do.

Reports say central and local governments spend about 1.2 trillion won - or about US$1.1 billion - subsidising the bus industry every year.

If taxis are included, critics say the government would have to more than double its spending on subsidies, costing it an additional 1.9 trillion won a year.

They point out that taxis account for only about 9 per cent of transportation, whereas buses make up over 30 per cent.

Subways and trains account for more than 20 per cent.

But taxi drivers argue that they should be considered part of the public transport system.

Koo Soo Young, head of the Taxi Drivers Union, said: "There is a reason why taxis should be classified as public transport. Buses carry about 13 million passengers in one day, while taxis carry about 11 million passengers. Also the number of trains and subways is only about half the number of taxis. This shows that a large number of people use taxis because the fares are so cheap."

Although the government has rejected the bill, it said it is willing to help the taxi industry.

It is planning to come up with a plan that would give some subsidies to taxi drivers and at the same time appease bus drivers, who worry they will have to share government subsidies with taxis.

Taxi drivers are threatening to go on strike over this bill. But experts have pointed out that subsidies in the Taxi Bill will likely only benefit taxi companies, and not the drivers themselves. So drivers will really need to think this through and see what the government has to offer first.

- CNA/ms

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Chidambaram in Hong Kong, seeks to reassure foreign investors

HONG KONG: India's economy will grow "no better than" 5.7% in the current fiscal year but will regain traction in 2013/2014, the finance minister said on Tuesday, as he sought to reassure international investors that the government remained committed to pro-growth policies and reforms.

P Chidambaram made the comments at a media briefing after meeting investors in Hong Kong as part of a four-city tour to try and boost capital flows into Asia's third-largest economy.

The minister also sought to allay fears that India was in danger of losing its investment-grade credit rating and being downgraded to "junk" status, as policymakers struggle to revive economic growth, rein in subsidies and hold down the fiscal deficit without triggering a backlash ahead of 2014 elections.

"I was not worried when I took over (as finance minister) in August 2012, and after so many steps that we have taken, I think I should be less worried. In fact, all of us should be less worried. There should no case whatsoever for anybody to downgrade India," he said.

"The silver lining is we are able to finance the current account deficit without reserves. Thankfully there are enough inflows of FDIs and FIIs (foreign institutional investment) and companies are able to raise money abroad under external commercial borrowing," he said.

Fitch and Standard and Poor's last year cut their ratings outlooks for India to "negative", citing its slowing growth and bloated deficit and putting it in danger of being the first of the BRICs grouping of fast-growing economies to be downgraded to sub-investment-grade status.

Chidambaram said he expected the economy to grow by no more than 5.7% in the current fiscal year ending in March, but predicted it would pick up momentum in the following year beginning in April, expanding by 6-7%.

India's economy extended its long slump in the July-September quarter and looked on track for its worst full-year performance in a decade, highlighting the urgency of politically difficult reforms to revive activity.

Since Chidambaram was appointed the government has opened up the retail sector and pushed reforms to allow more foreign investment in its insurance and pension sectors and simplify its tax laws.

Last week it allowed state fuel retailers to raise prices to gradually align them with market rates and help cut its fuel subsidy bill.

The finance minister said there was also room to sell off more state assets to ease fiscal strains. He forecast the government would raise $5 billion from such divestments in the current fiscal year and said he had approval for further sales in the next few years.

Chidambaram will also meet investors in Singapore, London and Frankfurt over the next week.

"The finance minister was both clear and confident of what needs to be done, how and when it will be done, and timelines," said a research note released by Citi, which hosted Chidambaram's meeting earlier in the day with more than 200 equity and fixed-income investors.

"The market has been cautious leading into what is seen as an 'election/populist' budget in February 2013. The finance minister was decidedly more positive. He suggests the fiscal deficit target will be met, taxes will not be raised and while policy will and should be biased towards the poor, the budget will offer a lot."

The minister assured investors that the government's top priority is curtailing spending in the short term, while in the medium-term it aims to cut the fiscal deficit by 60 basis points per year, reducing it to 3% in four years from an expected 5.3% this fiscal year, the note from Citi said.

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Inauguration: 7.5 Things You Should Have Seen

A presidential inauguration is a big, long event that lasts all day and into the night–and who has time to really watch it? People have jobs, ones that don’t let you off for a federal holiday.

Everyone (or, at least, some) will be talking about it, which means potential embarrassment for anyone who doesn’t know what happened. Thankfully, ABC employs  news professionals stationed in Washington, D.C., to pay attention to these kinds of things and boil off some of the less noteworthy or interesting stuff, presenting you with short videos of everything that really mattered. Or at least the things a lot of people were talking about.

A full day of paying attention to President Obama’s second Inauguration leads one of those professionals to offer these 7 1/2 things:

1. Beyonce Sang the National Anthem

Boy, howdy! Did she ever? Beyonce has essentially become the Obama’s go-to female performer: She recorded a music video for Michelle Obama’s “Let’s Move” initiative in 2011, and she performed at the president’s last inauguration in 2009. Her velvety, soulful “Star Spangled Banner” is getting good reviews.

2. Kelly Clarkson Also Sang

Kelly Clarkson is not as “in” with the First Couple as Beyonce seems to be, but they let her sing “My Country ‘Tis of Thee,” and she did a pretty good job with it. This was kind of weird, though, because at one point she said she loved Ron Paul, although she later said she would vote for Obama.

3.  Obama Talked About Gay Rights

This may not seem shocking since more than half the country, including President Obama, supports gay marriage. But the president made a point of mentioning gay rights during his speech, equating the struggles of the LGBT community with those of  past civil rights movements, and in doing so made history.

He name-checked Stonewall, the New York City bar that was raided by police in 1969 sparking riots to protest the anti-gay crackdown. And he actually used the word “gay”: “Our journey is not complete until our gay brothers and sisters are treated like anyone else under the law – for if we are truly created equal, then surely the love we commit to one another must be equal as well,” Obama said in his address.

Plenty of inaugural addresses have been chock full of rhetoric about freedom and equality, but in the last four years, the political culture surrounding gay rights has changed significantly, as more states legalized same-sex marriage and as broad swaths of the country got more comfortable with homosexuality in general. Obama’s “evolution” on gay marriage, and now his inaugural address, have helped signify that change.

4. Joe Biden Made Jokes and Shook Hands With People

Could we expect anything less?

Here’s how the Vice President toasting Sen. Chuck Schumer instead of President Obama at the big luncheon:  ”I raise my glass to a man who never, never, never operates out of fear, only operates out of confidence, and a guy–I’m toasting you, Chuck.” Watch it:

And here he is, scurrying around and jovially shaking hands with people along the parade route:

5. Richard Blanco Read a Poem That Was Sort of Whitman-esque, But Not Entirely

Cuban-born Richard Blanco became America’s first openly gay, Latino Inauguration poet. He read a nine-stanza poem entitled “One Today,” which set a kind of unifying American tableau scene.

6. Obama and Michelle Walked Around Outside The Limo

President Obama walked part of the parade route, from the Capitol to the White House, with Michelle. They waved to people. It is not entirely abnormal for a president to do this at an inaugural parade. But they walked quite a ways.

7. John Boehner: ‘Godspeed’

The speaker of the House presented American flags to Obama and Biden, telling them: “To you gentlemen, I say congratulations and Godspeed.”

7 1/2. Sasha and Malia Were There. 

Obama’s daughters, Sasha and Malia, were there. They didn’t really do much, but they did wear coats of different shades of purple that got a lot of  attention on Twitter.

Reports of the daughters looking at smartphones and applying lip gloss highlighted their day. As did this .gif of Sasha yawning.

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Parents-to-be welcome new pro-family incentives

SINGAPORE: From 1 May 2013, working fathers will be legally entitled to one week of paid paternity leave.

Parents welcome the move, but some pro-family organisations are calling for bolder measures.

Eileen Chan and Alvin Tan tied the knot two years ago. They are expecting their firstborn in April, and with that, the bumped-up Baby Bonus.

"I think the extra S$2,000 will come in handy, especially when it comes to immunisation for the kid," said Ms Chan. "In the first year, kids tend to fall sick more often."

For the Tans, the most welcome new measure is paternity leave. Mr Tan plans to take the week off right after his wife delivers.

He said: "Especially when the baby is new-born, as a father I'd like to spend more time at home with the kid, with my wife to help settle the kid in."

Alvin is optimistic his employer will grant his paternity leave, even though his child will be born just before the measure officially kicks in on 1 May 2013.

Employers are encouraged to offer paternity leave to all eligible employees with children born on or after 1 Jan 2013, and this will be reimbursable by the government.

Ms Chan can also share one week of her maternity leave with her husband.

It's a move the National Family Council welcomes, but its chairman Mr Lim Soon Hock is calling for a whole month of maternity leave to be made gender-neutral.

Mr Lim said: "If we were to have longer paternity leave, essentially what we are creating is an opportunity for our women to go back to work earlier. But fundamental to this thinking must be that we have to move away from the notion that men are more valuable in the workplace than women."

The slew of bonuses is good news, but it is not the reason why the Tans want to have two children.

Mr Tan said: "The baby itself is the bonus, so all these incentives, we're just happy to receive them!"

The new Marriage and Parenthood Package also makes adoption leave a legal entitlement.

Working, married women who adopt children under a year old will be entitled to four weeks of government-paid leave.

Previously, this was offered by employers on a voluntary basis.

- CNA/xq

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Hafiz Saeed seeks to exploit Shinde's Hindu terror remarks, BJP launches all-out attack

LAHORE/SILIGURI/JAMMU: Mumbai attacks mastermind and LeT founder Hafiz Saeed on Monday sought to exploit home minister Sushilkumar Shinde's jibe against RSS and BJP saying Indian "propaganda" against Pakistani organizations of spreading terror now stood "exposed".

A day after Shinde accused BJP and RSS of running terror camps and indulging in Hindu terror, he went to the extend of levelling an accusation that Indian organizations were "involved in all kinds of terrorism in Pakistan".

Saeed, for whom the US has announced a $10 million bounty, told a press conference in Lahore that India always resorted to propaganda against Pakistani organizations but it now stood "exposed".

He claimed: "India tried to involve us in the Mumbai attacks but after a passage of five years, nothing has been established against us in the courts".

Saeed, who now heads JuD, also made a ridiculous demand asking the Pakistan government to take steps to get India declared "a terrorist state" by the UN Security Council.

Shinde faces BJP ire

BJP slammed Union home minister Sushil Kumar Shinde on Monday for accusing it and RSS of running terror training camps and said he should either prove it or apologize.

"Shinde has to prove what he has said otherwise he has to withdraw the remark or apologize," leader of the opposition in Rajya Sabha Arun Jaitley told reporters in Siliguri.

"Congress which withdrew POTA has always been soft towards terrorists and terrorism instead of taking a hard stand," Jaitley said.

"That was why Shinde's hand was trembling to sign (the order) on the person who launched the attack on Parliament and whose death sentence was upheld by Supreme court," Jaitley said.

He said that the entire country knew that BJP and RSS were symbols of nationalism. "BJP is a party which always stood against terrorism," he said.

Earlier, addressing a public meeting, Jaitley alleged that the UPA government was not interested in curbing terror and had no courage to respond strongly to Pakistan on the beheading of two Indian soldiers.

'Lost mental balance'

Lashing out at Sushilkumar Shinde for his controversial remarks during the Congress summit in Jaipur, the Jammu state president of BJP said it seems the home minister has lost his mental balance.

"Shinde seems to have lost his mental balance, otherwise he would not have been making such irresponsible statements," said BJP state president Jugal Kishore Sharma.

The party takes strong exception to Shinde's remarks on a nationalist party like BJP and a "thoroughly patriotic social organization" like RSS, Sharma said, accusing the Congress of playing divisive tactics.

He said both Shinde and his party should concentrate more on issues like corruption and price rise which are concerned to common man, instead of making "unproven allegations" against BJP.

Shinde had stoked a controversy on Sunday by accusing BJP and RSS of conducting terror training camps and promoting "Hindu terrorism", setting off an angry reaction from the saffron parties which demanded an apology from Sonia Gandhi.

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Attack at Algeria Gas Plant Heralds New Risks for Energy Development

The siege by Islamic militants at a remote Sahara desert natural gas plant in Algeria this week signaled heightened dangers in the region for international oil companies, at a time when they have been expanding operations in Africa as one of the world's last energy frontiers. (See related story: "Pictures: Four New Offshore Drilling Frontiers.")

As BP, Norway's Statoil, Italy's Eni, and other companies evacuated personnel from Algeria, it was not immediately clear how widely the peril would spread in the wake of the hostage-taking at the sprawling In Amenas gas complex near the Libyan border.

Map by National Geographic

Algeria, the fourth-largest crude oil producer on the continent and a major exporter of natural gas and refined fuels, may not have been viewed as the most hospitable climate for foreign energy companies, but that was due to unfavorable financial terms, bureaucracy, and corruption. The energy facilities themselves appeared to be safe, with multiple layers of security provided both by the companies and by government forces, several experts said. (See related photos: "Oil States: Are They Stable? Why It Matters.")

"It is particularly striking not only because it hasn't happened before, but because it happened in Algeria, one of the stronger states in the region," says Hanan Amin-Salem, a senior manager at the industry consulting firm PFC Energy, who specializes in country risk. She noted that in the long civil war that gripped the country throughout the 1990s, there had never been an attack on Algeria's energy complex. But now, hazard has spread from weak surrounding states, as the assault on In Amenas was carried out in an apparent retaliation for a move by French forces against the Islamists who had taken over Timbuktu and other towns in neighboring Mali. (See related story: "Timbuktu Falls.")

"What you're really seeing is an intensification of the fundamental problem of weak states, and empowerment of heavily armed groups that are really well motivated and want to pursue a set of aims," said Amin-Salem. In PFC Energy's view, she says, risk has increased in Mauritania, Chad, and Niger—indeed, throughout Sahel, the belt that bisects North Africa, separating the Sahara in the north from the tropical forests further south.

On Thursday, the London-based corporate consulting firm Exclusive Analysis, which was recently acquired by the global consultancy IHS, sent an alert to clients warning that oil and gas facilities near the Libyan and Mauritanian borders and in Mauritania's Hodh Ech Chargui province were at "high risk" of attack by jihadis.

"A Hot Place to Drill"

The attack at In Amenas comes at a time of unprecedented growth for the oil industry in Africa. (See related gallery: "Pictures: The Year's Most Overlooked Energy Stories.") Forecasters expect that oil output throughout Africa will double by 2025, says Amy Myers Jaffe, executive director of the energy and sustainability program at the University of California, Davis, who has counted 20 rounds of bidding for new exploration at sites in Africa's six largest oil-producing states.

Oil and natural gas are a large part of the Algerian economy, accounting for 60 percent of government budget revenues, more than a third of GDP and more than 97 percent of its export earnings. But the nation's resources are seen as largely undeveloped, and Algeria has tried to attract new investment. Over the past year, the government has sought to reform the law to boost foreign companies' interests in their investments, although those efforts have foundered.

Technology has been one of the factors driving the opening up of Africa to deeper energy exploration. Offshore and deepwater drilling success in the Gulf of Mexico and Brazil led to prospecting now under way offshore in Ghana, Mozambique, and elsewhere. (See related story: "New Oil—And a Huge Challenge—for Ghana.") Jaffe says the Houston-based company Anadarko Petroleum has sought to transfer its success in "subsalt seismic" exploration technology, surveying reserves hidden beneath the hard salt layer at the bottom of the sea, to the equally challenging seismic exploration beneath the sands of the Sahara in Algeria, where it now has three oil and gas operations.

Africa also is seen as one of the few remaining oil-rich regions of the world where foreign oil companies can obtain production-sharing agreements with governments, contracts that allow them a share of the revenue from the barrels they produce, instead of more limited service contracts for work performed.

"You now have the technology to tap the resources more effectively, and the fiscal terms are going to be more attractive than elsewhere—you put these things together and it's been a hot place to drill," says Jaffe, who doesn't see the energy industry's interest in Africa waning, despite the increased terrorism risk. "What I think will happen in some of these countries is that the companies are going to reveal new securities systems and procedures they have to keep workers safe," she says. "I don't think they will abandon these countries."

This story is part of a special series that explores energy issues. For more, visit The Great Energy Challenge.

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