Showing posts with label Saudi Arabia. Show all posts
Showing posts with label Saudi Arabia. Show all posts

Friday, November 27, 2009

AFP | Devastating Flood Kills 83 in Jeddah, Saudi Arabia - Gateway for Muslim pilgrams headed to Mecca


Officials said none of the dead were pilgrims for the hajj

JEDDAH, Saudi Arabia - November 27, 2009 — More bodies have been recovered in the western Saudi city of Jeddah, gateway for Muslim pilgrims headed to Mecca, pushing the death toll from Wednesday's flash flood to 83, reports said on Friday.


The Al-Watan and Okaz newspapers said the toll had risen to 83, nearly all of them in Jeddah, after the Red Sea port was hit by a torrential downpour that sparked what observers said looked like a tidal wave when it struck the city.


Al-Hayat said 84 had died.


Officials said none of the dead were pilgrims for the hajj, which was underway in Mecca 80 kilometres (50 miles) away.


Receding waters yesterday revealed crumbled bridges and torn up roads, with crumpled vehicles piled up in areas like driftwood.


Citizens worried that a huge sewage reservoir outside the city would burst its banks. Jeddah municipality spokesman Ahmad al-Ghamdi said that the reservoir was safe and not in danger of being overwhelmed by floodwaters, the reports said.


Source:

http://www.google.com/hostednews/afp/article/ALeqM5jR6Avqt7ormuzBGi3nnSubaieu1g

Thursday, November 5, 2009

AP | Saudis bomb Yemen rebels across border

Saudis bomb Yemen rebels across border

SAN'A, Yemen — Saudi Arabia sent fighter jets and artillery bombardments across the border into northern Yemen on Thursday in a military incursion apparently aimed at helping its troubled southern neighbor control an escalating Shiite rebellion.

The Saudis — owners of a sophisticated air force they rarely use — have been increasingly worried that extremism and instability in Yemen could spill over to their country, the world's largest oil exporter. The offensive came two days after the killing of a Saudi soldier, blamed on the rebels.

Yemen denied any military action by Saudi Arabia inside its borders. But Yemen's president is a key ally of the Saudis, making it highly unlikely the kingdom would have launched the offensive without tacit Yemeni agreement.

The offensive immediately raised concerns of another proxy war in the Middle East between Iran and Saudi Arabia, a key U.S. ally. Shiite Iran is believed to favor the rebels in Yemen while Saudi Arabia, which is Sunni, is Iran's fiercest regional rival.

The same dynamic has played out in various forms in Lebanon, where Iran supports the Shiite militant Hezbollah and Saudi Arabia favors a U.S.-backed faction, and in Iraq, where Saudi Arabia and Iran have thrown support to conflicting sides in the Sunni-Shiite struggle.

A top Saudi government adviser confirmed "a large scale" military operation underway on the Saudi-Yemeni border with further reinforcements sent to the rugged, mountainous area.

"It is a sustained operation which aims to finish this problem on our border," he said, speaking on condition of anonymity because of the sensitivity of the issue. He said Saudi troops were coordinating with Yemen's army, but Yemen's defense ministry denied the Saudis were inside the country.

The northern rebels, known as Hawthis, have been battling Yemeni government forces the past few months in the latest flare-up of a sporadic five-year conflict. They claim their needs are ignored by a Yemeni government that is increasingly allied with hard-line Sunni fundamentalists, who consider Shiites heretics.

The rebels said the Saudi airstrikes hit five areas in their northern stronghold Thursday but it was not possible to independently verify the reports. They said there were dead and wounded, and that homes were destroyed.

"Saudi jets dropped bombs on a crowded areas including a local market in the northern province of Saada," Hawthi spokesman Mohammed Abdel-Salam told The Associated Press. "They claim they are targeting al-Hawthis, but regrettably they are killing civilians like the government does."

He said the attacks were followed by hundreds of shells from the border, but there was no reliable information about casualties.

The fighting is more than 600 miles from Saudi Arabia's oil fields on the kingdom's eastern Persian Gulf coast. But northern Yemen overlooks the Red Sea, the world's busiest route for oil tankers.

Two Arab diplomats, speaking on condition of anonymity, said Saudi Tornado and F-15 warplanes had been bombarding targets inside Yemen since Wednesday afternoon, inflicting significant casualties on rebels. The diplomats spoke on condition of anonymity because they are not allowed to talk to the media.

They said army units and special forces also had been sent to northern Yemen, and that several Saudi towns on the border had been evacuated as a precaution.

The weak central government of Yemen, which has little control outside the capital San'a, is fighting on multiple fronts including the northern rebels and a separatist movement in the south. But the most worrisome is a lingering threat from al-Qaida militants.

The U.S. also fears any Yemeni fighting could spill over into Saudi Arabia and is concerned that Yemen could become a haven for al-Qaida militants hiding out in the nation, at the tip of the Arabian peninsula.

The Yemeni government openly accuses Iran of arming the Hawthis rebels, but there has been no public evidence to back those claims, said Joost Hiltermann, deputy program director of the Middle East program for the International Crisis Group think tank in London.

"I think Iran is probably pleased with what is happening, but that is not the same as saying they are supporting the Hawthis," Hiltermann said.

Simon Henderson, director of Gulf and energy policy at the Washington Institute for Near East Policy in Washington, agreed that there is no clear evidence that Iran funds the rebels. But he said there is a wide assumption that Iran favors the Hawthis and the Saudis are backing Yemen's Sunni president.

"So it is a Saudi-Iranian proxy war," he said.

Saudi Arabia, rich in oil, has one of the world's most sophisticated air forces but rarely uses it.

The bulk of its air power, with more than 350 combat aircraft, derives from squadrons of F-15s and British-supplied Tornados, according to the military and intelligence analysis group GlobalSecurity.org. The kingdom also for decades has received U.S. military assistance in the form of training.

The Saudi incursion marks the first time since the 1991 Gulf War that the country has deployed military might beyond its borders.

In that war, Saudi forces assisted the U.S. Marine Corps, providing staging grounds for airstrikes and in joint operations targeting Iraqi positions in Kuwait with artillery fire and ground offensives.

The incursion is not, however, Saudi Arabia's first involvement in internal Yemeni conflicts. During Yemen's 1962-70 civil war, sparked by a military coup that overthrew Yemen's royalist government, Saudi Arabia supported the royalists against the Egyptian-backed government.

When civil war erupted again in 1994, it was widely believed that the Saudis sided with southern secessionist rebels against the central government.

A security official told Saudi Arabia's state news agency that the soldier died when gunmen infiltrated from Yemen and attacked security guards patrolling the Mount Dokhan border area Tuesday. Rebels said that area was among the bombing targets Thursday.

The Gulf Cooperation Council, the region's main diplomatic forum, condemned what it called the "violation and infiltration" of Saudi Arabia's borders. "Saudi Arabia is capable of protecting its lands," it warned in a statement.

RELATED:

Saudis bomb Yemen rebels across border

The Associated Press - Ahmed Al-Haj, Salah Nasrawi - ‎56 minutes ago‎
SAN'A, YemenSaudi Arabia sent fighter jets and artillery bombardments across the border into northern Yemen on Thursday in a military incursion ...
BBC News - NewsOK.com

Wednesday, October 28, 2009

Financial Times | Saudis drop West Texas Intermediate WTI oil contract for benchmark pricing its oil

By Javier Blas in London

Published: October 28 2009 20:27 | Last updated: October 28 2009 20:27

Saudi Arabia on Wednesday decided to drop the widely used West Texas Intermediate oil contract as the benchmark for pricing its oil, dealing a serious blow to the New York Mercantile Exchange.

The decision by the world’s biggest oil exporter could encourage other producers to abandon the benchmark and threatens the dominance of the world’s most heavily traded oil futures contract. It is the main contract traded on Nymex.

The move reveals the growing discontent of Riyadh and its US refinery customers with WTI after the price of the price of the benchmark became separatedfrom the global oil market this year.

The surge in oil inventories in Cushing, Oklahoma, where WTI is delivered into America’s pipeline system, depressed the value of the WTI against other global benchmarks, throwing the global oil market into disarray.

In January, WTI, which usually trades at a premium of $1-$2 a barrel to Brent, fell sharply, leaving it at a discount of almost $12 – a record gap. This dislocation in the market continued well into the summer.

From January, Saudi Arabia will base the price of oil for its US customers on a new index developed by Argus, the London-based oil pricing company.

The Argus Sour Crude Index will track the price in the physical market of a basket of US Gulf Coast crudes, including Mars, Poseidon and Southern Green Canyon.

Argus said the change in policy reflected the “increased importance of the US Gulf coast sour crude market, in which both production and trading activity was rising sharply”.

Paul Horsnell, head of commodities research at Barclays Capital in London, said Saudi Arabia’s decision was likely to reflect a “wider discontent” from its customers in the US about WTI performance.

ExxonMobil, Marathon and Valero are among the US’s biggest buyers of Saudi crude oil.

Edward Morse, chief economist at LCM Commodities in New York, said: “It is a recognition by large players that WTI sometimes does not reflect the true value of crude oil in the waterborne market.”

Saudi Arabia has priced its oil using WTI since 1994.

The price was based on quotes from the physical market which were compiled by Platt’s, a unit of McGraw-Hill.

Oil companies then covered their exposure to WTI using the futures market on Nymex.

Bob Levin, managing director of market research at the CME Group-owned Nymex, said the exchange was ready to move with the market.

“We plan to introduce a cash-settled futures contract tracking the new Argus index,” he said.

Mike Vinciquerra, equity research analyst at BMO Capital Markets, said the new Argus index would not replace WTI. “It’s more a supplement,” he said.