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March 12, 2004 |
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THE CROWN PRINCE CONTACTS THE YEMENI PRESIDENT AND RECEIVES A MESSAGE FROM PRESIDENT MUBARAK. THE PRESIDENT OF KAZAKHSTAN DESCRIBES THE INITIATIVE OF CROWN PRINCE ABDULLAH FOR PEACE IN THE MIDDLE EAST AS BRAVE AND WISE. THE SIGNING OF CONTRACTS TO EXPLORE AND DEVELOP GAS RESOURCES IN THE EMPTY QUARTER. MINISTER GHAZI ALGOSAIBI SIGNS CONTRACTS FOR WATER PROJECTS IN THE SOUTHERN REGION. Crown Prince Abdullah Ibn Abdul Aziz, Deputy Prime Minister and Commander of the National guard, held a meeting with Pakistan's President Pervez Musharraf. During the meeting, they discussed the latest developments in the Islamic and international arenas, the developments in the region, and aspects of cooperation between the two countries and ways of enhancing them in all fields. The meeting was attended by Prince Sultan Ibn Abdul Aziz, Second Deputy Prime Minister, Minister of Defense and Aviation and Inspector General; princes; ministers; and high-ranking officials from the two sides. Crown Prince Abdullah Ibn Abdul Aziz, Deputy Prime Minister and Commander of the National guard, received at his palace Pakistan's President Pervez Musharraf. The Crown Prince hosted a luncheon in honor of the President and his accompanying delegation. The audience and luncheon were attended by Prince Sultan bin Abdulaziz, Second Deputy Premier, Minister of Defense and Aviation and Inspector General; princes; ministers; and high-ranking officials. Pakistan's President General Pervez Musharraf arrived in Riyadh coming from Madinah. At Riyadh Airbase Airport, Musharraf was received by Crown Prince Abdullah Ibn Abdul Aziz, Deputy Prime Minister and Commander of the National guard; Prince Sultan Ibn Abdul Aziz, Second Deputy Prime Minister, Minister of Defense and Aviation and Inspector General; princes; ministers; high-ranking officials and Pakistan's Ambassador to the Kingdom Abdul Aziz Merza. Musharraf was accompanied by a delegation including a number of ministers and senior officials. Pakistan's President Pervez Musharraf and his accompanying delegation arrived in Jeddah to perform Umrah rituals. At King Abdul Aziz International Airport, they were received by Prince Mishaal Ibn Majid Ibn Abdul Aziz, the Governor of Jeddah and a number of officials. Pakistani president Perviz Musharraf and the accompanying delegation performed Omrah (minor Hajj.) Upon arrival at the Grand Mosque, the president was received by a number of officials. Pakistani President Pervez Musharraf had arrived in Madinah to visit Prophet Mohammad's (Peace Be Upon Him) Mosque. Musharraf was received by Prince Meqrin Ibn Abdul Aziz, the Governor of Madinah region and high-ranking officials. Pakistan's President Pervez Musharraf left Riyadh concluding a two-day visit to the Kingdom. At Riyadh Airbase Airport, President Musharraf was seen off by Crown Prince Abdullah Ibn Abdul Aziz, Deputy Prime Minister and Commander of the National guard; Prince Sultan Ibn Abdul Aziz, Second Deputy Prime Minister, Minister of Defense and Aviation and Inspector General; princes; ministers; and high-ranking officials. President General Pervez Musharraf flew back home from Riyadh, after a two-day visit to the Kingdom of Saudi Arabia. The President held talks with top Saudi leadership on a wide-range of regional and international issues, including non-proliferation, terrorism, and the situation in Kashmir, Palestine, Iraq and Afghanistan. During his stay in the Kingdom, President Musharraf performed Umrah (the minor pilgrimage) in Makkah and visited Prophet Mohammad's Mosque in Madinah. Pakistani President Pervez Musharraf wrapped up a brief visit to the Kingdom after discussing issues including possible defense cooperation with top officials. His talks with Crown Prince Abdullah, Deputy Prime Minister and Commander of the National Guard, also covered regional cooperation, the international situation, Indo-Pak relations, and ways of strengthening the Organization of the Islamic Conference (OIC), according to Pakistani Ambassador Abdul Aziz Mirza. Saudi Arabia and Pakistan have been pushing proposals to bolster the 57-member OIC. Mirza said defense cooperation "also figured during the talks. The Kingdom has shown willingness for defense purchases from Pakistan." Saudi Arabia and Pakistan recently concluded a successful joint naval exercise. A spokesman of the Pakistani Embassy said Saudi Arabia welcomed the recent agreement on a road map for peace between India and Pakistan. Ways of forging closer cooperation in fighting terrorism and organized crime were also on the agenda, he added. The two leaders also talked about the growing commercial relations between their countries, the ambassador said. There has been a continuous trade imbalance of more than $450 million in favor of the Kingdom, which Pakistan is unlikely to offset with increased exports in the near future. Pakistan's share in total imports in Saudi Arabia is a negligible 0.42 percent. The two countries have set up 26 small and medium-sized joint projects so far. Recently, Saudi Arabia's Jamjoom Kinnana signed an agreement with a Pakistani company for the assembly of wireless local loop in Pakistan. The Kingdom's largest billet-making plant in the private sector, the Tuwairqi Group of Companies, has agreed to invest $100 million in Karachi, according to a report published recently. During his trip to the Kingdom, the President was accompanied by first lady Sehba Musharraf, Foreign Minister Khurshid Mahmud Kasuri, Minister for Information and Broadcasting Sheikh Rashid Ahmad, Minister for Information Technology Awais Ahmad Leghari and Minister of State for Defense Production Habibullah Waraich. The President of Pakistan General Pervez þ Musharraf's recent two-day visit to Saudi Arabia was successful and it þ achieved all objectives, stated the foreign Office spokesman Masood Khan stated.þ þ At his weekly press briefing, he said talks were held between President þ þMusharraf and the top Saudi leadership on a wide-range of regional and international issues and the visit achieved all objects, attached with it.þ þ The primary objective was to exchange views and coordinate positions on a þnumber of issues, the spokesman said adding, the primary issue was the þbilateral relationship between the two countries. þ þ He said the President apprised the Saudi leadership on Pakistan-India þ þrelations, non-proliferation and terrorism. They also discussed the situation in Kashmir, Palestine, Iraq and Afghanistan and reviewed the situation in the Middle East, he added.þ þ The spokesman said, as Pakistan and Saudi Arabia are two important members of the Islamic conference so they looked at ways and means to strengthen þ cooperation among Muslim countries. "And also looked at ways to raise the þprofile of the Muslim countries and promote a dialogue between the Muslim þworld and western world," heþ þadded. þ þ "So, I must say all dimensions and aspects were covered and this was a þ þsuccessful visit," the spokesman said. Hundreds of people gathered to have a glimpse of the President and his entourage as Pakistani President General Pervez Musharraf left for Riyadh from Madina. In Madina, hundreds of people were seen following his entourage to greet him inside and outside the Holy Mosque. The President warmly shook hands with the people. He came to express his gratitude to Almighty, the Creator for saving his life in two separate attacks in a week's time in one city and almost the same location, embassy sources said. It is for the first time that President Musharraf was accompanied by four ministers, Khursheed Mehmood Kasuri, Foreign Affairs, Sheikh Rasheed Ahmed, Information, Habibullah Warhaaich, Defense Production, and Awais Ahmed Khan Leghari, Information and Technology. Eyewitness said President Musharraf and his wife Sehba Musharraf spent all their time in Makkah and Madina inside the Holy Mosques. President Musharraf and his entourage left for Riyadh after praying at the Prophet's Mosque and, earlier, performing Umrah in Makkah. The doors of the Holy Ka aba in Makkah and the Prophet s tomb in Madina were opened for President Musharraf and his delegation, sources said. Chowdhary Shahbaz Hussien, told The Saudi Gazette this visit of the Pakistani leader would further consolidate the relations of the two brotherly countries Saudi Arabia and Pakistan and influence developments around the world. Both the countries Saudi Arabia and Pakistan have periodical consultations and this visit will provide the leaders of two countries a good chance to exchange their views, said Hussien. Answering a question, he said, Pakistan s economic indicators are very encouraging. Foreign investments are on the rise. Foreign reserves are steadily increasing. The law and order situation, as compared to pre-October 99, has considerably improved. Ethnic, communal and religious fanaticism is on the decline, he added. On the other hand Crown Prince Abdullah Ibn Abdul Aziz, Deputy Prime Minister and Commander of the National Guard, received a message from Tunisia's President Zine Al-Abbedine bin Ali to the Custodian of the Two Holy Mosques King Fahd Ibn Abdul Aziz. The message was delivered to the Crown Prince during an audience with Tunisia's Minister of Foreign Affairs Al-Habib bin Yahya. The Minister conveyed regards of the Tunisian President to the Custodian of the Two Holy Mosques King Fahd Ibn Abdul Aziz and Crown Prince Abdullah Ibn Abdul Aziz, Deputy Prime Minister and Commander of the National Guard. In turn, the Crown Prince sent his best wishes to the president. The audience was attended by Prince Saud Al-Faisal, the Foreign Minister, other princes and officials. Crown Prince Abdullah Ibn Abdul Aziz, Deputy Prime Minister and Commander of the National Guard, received a telephone call from Egypt's President Mohammed Hosni Mubarak. During the call, they discussed bilateral relations between the two brotherly countries and the latest developments in the region at Arab and international arenas. On the other hand Kazakhstan's President Nur Sultan Nazarbayev has described the initiative of Crown Prince Abdullah Ibn Abdul Aziz, the Deputy Prime Minister and Commander of the National Guard for peace in the Middle East as brave and wise. In a statement reported by Russian News Agency Itar-Tass, the Kazakh president said that the Saudi initiative poses a base for settlement and peace in the Middle East. He noted that the two countries' stands are identical on the settlement of the situation in Iraq after war. He condemned terrorist acts that have taken place in the Kingdom, expressing his country's solidarity with it. It is noteworthy that the Kazakh President concluded a visit to the Kingdom. Crown Prince Abdullah Ibn Abdul Aziz, Deputy Prime Minister and Commander of the National guard, received at his palace the President of Russian Lukoil Company Wahid Akbarov and President of Chinese Sinopec Company Wang Jiming on the occasion of their winning contracts to explore and produce gas in Rub' Al-Khali (Empty Quarter). The audience was attended by Minister of Petroleum and Mineral Resources Ali Ibn Ibrahim Al-Naimi; Prince Faisal Ibn Turki Ibn Abdul Aziz, advisor at the Ministry of Petroleum and Mineral Resources and other officials. The Kingdom of Saudi Arabia signed three deals to explore gas in the northern part of the empty quarter with Saudi Aramco and a number of firms from Russia, China, Italy and Spain. The deals were signed by the Minister of Petroleum and Mineral Resources Ali Ibn Ibrahim Al Naimi and presidents of the firms. The signing was attended by Prince Abdul Aziz Ibn Salman Ibn Abdul Aziz, the Undersecretary of the Ministry of Petroleum and Mineral Resources for Petroleum Affairs; and other officials. Minister of Petroleum and Mineral Resources Ali Al-Naimi had met with visiting Italian Minister of Productive Activities Antonio Marzano and Chinese Energy official Sho Ding Ming and their accompanying delegations. During the separate meetings, discussions focused on issues pertaining to oil, mining and investment. The Minister of Petroleum and Mineral Resources Ali Ibn Ibrahim Al-Naimi said that the three international oil companies signed agreements on gas prospective in northern Rub' Al-Khali (Empty Quarter) in Riyadh have undertaken to dig 20 wells in areas A,B, and C during the exploration period in addition to a seismic survey of 26.750 kilometers long. In a press conference, Minister Al-Naimi added that the volume of the investment required in the first phase of exploration and prospective in the three areas is estimated at more than S.R. 3 billion. He pointed out that investment in these projects aims at increasing gas reserves and upstream to meet the requirements of development, diversify income resources by providing gas and its products to various industries, find job opportunities for citizens and encourage Saudi contractors and exporters. Domestically produced gas will be consumed to enhance the major gas network which has a current capacity of 7 billion cubic feet per a day, he said and expected that gas demand will reach nearly 14 billion cubic feet per a day in the Kingdom during 2025. Minister Al-Naimi indicated that 17 petrochemical projects worth S.R. 20 billion are waiting for natural gas projects. He praised the efforts exerted by various governmental institutions in the Kingdom for restructuring investment climate and its promotion to be in line with a vision set by the Kingdom's leadership for economic reform. Expecting a great increase of economic returns following the discovery of non-associated gas in Rub' Al-Khali area, he stressed that these projects will greatly contribute to finding jobs for Saudi citizens. He expected that these projects will provide nearly 35000 direct jobs in addition to 3 or four times that number of indirect employments through investment that will be open for Saudi businessmen to provide support services for the international companies in investment sites in Rub' Al-Khali. Minister of Petroleum and Mineral Resources Ali Al-Naimi signed the landmark gas exploration contract, worth SR3 billion in the first phase, with international oil giants for upstream gas exploration and production in the northern Rub Al-Khali or Empty Quarter. The companies are Russian, Chinese, Italian and Spanish, and cooperation in gas will help forge ties with these countries in other areas, according to Al-Naimi. "There is no question cooperation in the economic field has the secondary benefit of increasing total cooperation in many fields. We have strong relations with Russia. We have had excellent cooperation in managing the stability of the oil market," he said. The signing ceremony for the contracts with Lukoil of Russia, China Petrochemical Corporation (Sinopec) and a consortium comprising ENI (Italy) and Repsol YPF of Spain took place at King Faisal Conference Hall. The agreements were signed on behalf of their companies by Vagit Alekperov, president and CEO of Lukoil, Wang Jiming, vice president of Sinopec, Vittorio Mincatto, CEO of ENI, and Alfonso Cortina, chairman of Repsol YPF, and Abdullah S. Al-Jumaah, president of Saudi Aramco. Under the agreement, which is of ten-year duration for the first phase, the companies will carry out exploration of non-associated gas in areas designated A, B and C. Lukoil will take over A with 30,000 sq. km, while Sinopec was awarded B with 40,000 sq. km. The ENI-Repsol consortium won C with nearly 52,000 sq. km. Al-Naimi expressed hope the projects would be rewarding for all sides, stimulate economic development, and create job opportunities for Saudis. "As many as 35,000 job opportunities will arise once the projects move into the production phase at the end of the exploration phase," he said. Exploration alone would need SR3 billion in investment from the four international partners. The Kingdom currently produces seven billion cubic feet of gas per day through its five gas plants at Hawiyah, Haradh, Shedgum, Berri and Uthmaniyah. By 2025 the expected demand would surge to 14 billion cubic feet. "Our first priority is to satisfy the local demand before looking for export opportunities if additional capacity is available," Al-Naimi said. Saudi Aramco will be a partner in the three ventures holding 20 percent of the stakes in each of the three projects. Russia's Lukoil has committed $215 million for the first phase, while other companies did not disclose how much they would invest. The contracts will run for a maximum of 40 years. Al-Naimi said: "Efforts are under way to provide the Chinese market with petroleum products through investment in joint venture refineries." Sinopec sources said the cost of geophysical exploration would work out to $4,000 per sq. km. Absent from the first upstream opening since oil and gas were nationalized 30 years ago are any Americans. ChevronTexaco unsuccessfully bid for one of the three blocks offered in a bidding process industry sources and analysts said was open and fair. Super major ExxonMobil (XOM), the biggest foreign investor in Saudi Arabia with $5 billion in refineries, walked away from an earlier incarnation of the current deals. Asked about the exclusion of American firms from the contracts, the minister said they were "already present in the Kingdom and are among the biggest investors." He said the contracts were awarded on the basis of competitive bids and the experience and expertise of the winning firms. There were no other criteria, he added. Alekperov said Lukoil during the first five-year exploration period will drill a minimum of nine exploration wells and acquire 8,750 line km of 2D seismic. He said investment in the Kingdom would be a priority within the framework of their international strategy. Vittorio Mincatto, CEO of ENI, said he was impressed by Saudi Aramco's "first-class technical capabilities, their huge resources, their professionalism, and their highly qualified staff." Alfonso of Repsol also paid tribute to Saudi Aramco's professionalism. On the other hand Prince Abdul Majeed Ibn Abdu Aziz, Governor of Makkah region has inaugurated the First Forum of Media Institutions organized by the International Islamic Media Organization of the Muslim World League to present the goals of a newly established World Islamic Media Organization (WIMO). Speaking on the occasion, Dr Abdullah Ibn Abdul Mohsin Al-Turki, Secretary General of the League and Chairman of the Organization's Board of Directors, said that it is the responsibility of the Islamic Media Organization to present information to serve Muslims worldwide. He hailed the Saudi media's service of Islam. Prince Abdul Majeed highlighted the importance of media and its role in the service of Islam, lauding the role played by the Islamic Media Organization in this regard. Prince Abdul Majeed announced that a new city for technology and research would be established in Al-Shumaisi, between Makkah and Jeddah. The Emir also inaugurated an exhibition on the sidelines of the conference entitled First Meetings of Media Organizations, at the Westin Jeddah Hotel venue. Noting hostile media campaigns launched against Muslims and Islam, the Emir in his address called upon to the gathering of scholars and journalists from more than 15 countries, to show the unity of Islam and the Islamic media in the age of globalization. Extolling the universality of the message of Islam, he called for more research endeavors in the Islamic world, especially as regards technology. A technology city is coming up in Al-Shimaysi along Makkah-Jeddah road, to encourage the people to study medicine and engineering and so be able to defend Islam in a bright way, he pointed out, noting Saudi Arabia s initiative in this direction. The conference opened with a visual presentation of WIMO's mission to correct the image of Islam and Muslims in the world and to portray the role of Saudi Arabia in the Islamic world as a defender of Islam. WIMO will work to clarify the position of Islam regarding the issues being debated in the international area, and to develop the image of Islam and Muslims, MWL Secretary General Abdullah Ibn Abdul Muhsen Al-Turki said. In a statement, he said that it is the duty of Muslim world media establishments, and every Muslim, to coordinate their efforts in defense of Islam. The Minister of Water and Electricity and President of the Board of Directors of the Saudi Electricity Company, Dr Ghazi AlGosaibi, said that projects worth SR790 million have been approved by the Ministry to enhance electricity capabilities in the southern region. In a press statement, following a meeting of the Company's Board, Dr AlGosaibi said that these projects include the expansion of power generation stations in Jazan, Bisha and Asir. There will also be an imminent announcement of major projects in central and western regions, estimated to cost over SR5,000 million. "These important projects will help meet demands for electric power for citizens, and will support development in all fields," AlGosaibi added. Dr AlGosaibi noted that the Company continues to promote private sector investment in its projects, adding that the Company had already presented investment opportunities in electricity generation and distribution fields to businessmen in the Kingdom and abroad. Meanwhile the Deputy Minister of Water and Electricity Eng Abdullah Al-Hussein opened a forum entitled "Public-Private Partnership in the Fields of Water and Electricity". The forum is organized by the Ministry of Water and Electricity in cooperation with the French Embassy in Riyadh. Addressing the inaugural session, Al-Hussein said that the forum reflects the strong ties of cooperation between the Kingdom of Saudi Arabia and France in the fields of water and electricity. He reiterated the keenness of the Ministry of Water and Electricity to develop the water and electricity sectors. French Ambassador to the Kingdom Bernard Poletti and a number of officials will participate in the forum. According to Deputy Minister for Water and Electricity Abdullah Al-Hussein, no one really knows how much water is left. The last study on groundwater was done some 25 years ago and test wells show there are marked declines in water level. "We have to instigate programs," Al-Hussein told Arab News, "and we have hired hydrological consultants to study the two major aquifers in the Kingdom. Within two years, we shall be in a better position to assess." Agricultural projects, many of which were designed to encourage Bedouin settlement, have increased water resource exploitation. Historically, improperly drilled wells reduced their effectiveness by leaching the lands they were meant to irrigate. In the early 1990s, large-scale agricultural projects relied mainly on such underground aquifers, which then provided more than 80 percent of the water for agricultural use. In 1987, about 90 percent of the total water demand in the Kingdom was consumed by agriculture. That figure has not changed significantly. There were attempts to cut down on agricultural production subsidy to wheat was drastically cut. Now production is restricted to domestic consumption. However, reduction in wheat has given rise to an increase in fodder crops, and the saving in water use has been minimal. "There is still concern for agricultural consumption," Al-Hussayen said. "There are two plans: the National Water Plan to assess the reserves and other studies. This will let us know our status." "We hope to have more balance between domestic and agricultural requirements," said Al-Hussein. "Groundwater can fulfill a lot of the domestic requirement. It is a lot cheaper (than desalinated water), and in many cases, closer to the consumption center." Stopping most domestic agricultural production could one day become the only option, he indicated. "Everything," he added, "is up for investigation." Research into new technologies for desalination is only part of the total water package. The research and development center at the Saline Water Conversion Corporation (SWCC) has patented a nano-filtration process. Using it, "production increased by more than 40 percent," he said. "It is a very promising technology." Al-Hussein has great faith in the effectiveness of water conservation at the grassroots level. Using basic and inexpensive methods, he believes water consumption by households could be halved. "If we could solve our problem with wheat and fodder crops, we could cut our consumption of non-renewable water by 70 percent." "We should start with conservation," he said, "because it is the most promising, with clear and sure results. We can do it now, cheaply and with little effort." In the UK, up to 40 percent of water waste is in leakage from transmission systems. In Saudi Arabia, Al-Hussein estimated loss as conservatively 20 percent. "Even that would mean that we are losing a million cubic meters a day" the average for the rest of the world. The deputy minister sees leakage as one major area of conservation. "If we cut leakage to five percent which has been done in Singapore for example it's like building another Jubail plant virtually free." Currently it costs only about 10 percent of the value of the lost water to repair the transmission system. "A well worthwhile investment," he said. Higher charges are one way of encouraging people to conserve. More realistic charging, with or without privatization of the sector, is "a conservation necessity, and it's also necessary to keep up with demand." Without a regular, sufficient income for whoever produces the water "there will always be a shortage of coverage and supply." Al-Hussein sees water pricing at a level near the actual cost of production as a sound conservation measure. At the moment, "if you are in the first and second tariff tier, water is probably subsidized by about 90 percent," he said. Whether the price is at production cost or just a lower subsidy now, "that is to be decided." Tariffs are a major deterrent to waste and should be combined with other things to help conservation, said Al-Hussein. "Customers will weigh the options as to whether to pay the bill or do repairs in the house or change appliances." However, for low-income households charges would always be at a minimum for sufficient water to sustain life. The main user of water in the average house is the lavatory, consuming between 30 and 40 percent of water used. The government is issuing "displacement bags" plastic bladders that hold three liters of water. Placed in the cistern, they reduce each flush by the same amount. They are also recommending the use of aerators in faucets. These can reduce flow by 50 percent. Legislation can help too. "If we were to ban the import of vertically loaded washing machines and allow only horizontal loaders, this would use 40 percent less water, 40 percent less power and 40 percent less detergent." It would also reduce wastewater by 40 percent and save on treatment costs. "There are so many ways we can reduce with simple existing technology," he said. "Let us start with what we have, which achieves simple and clear results and does not require much money." Saudi Arabia is a young society 60 percent are less than 18 years old and Al-Hussein felt schools were a vital part of a conservation awareness program. "We should be experts in water conservation. If anybody in the world should be expert at conserving water, it should be the Saudis," he said. On the other hand the Shoura Council discussed in a session a report on the performance of the Ministry of Culture and Information. The session was chaired by Dr. Salih Ibn Homaid, the chairman of the council, and was attended by Dr. Fuad Al-Farsi, the Minister of Culture and Information. Also, the council discussed a report on the performance of the Ministry of Communications and Information Technology and the Saudi Post Corporation. |
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