ENB190408

Oil Hunt
17 Apr, 2008 14:08:10
Sri Lanka private sector concerned over oil exploration delay
April 17, 2008 (LBO) – Sri Lankan companies aiming to provide support services to petroleum firms in anticipation of an offshore oil strike say they are disappointed
by a government decision to award only one block instead of three.
Industry officials said they were worried the supply service providers might not have enough business to start operations if the government commences the search for
offshore oil with only a single block. "We're worried we might lose out on the supply side," said Irshad Musheen, Head of Shipping at the Hemas conglomerate, one of the companies positioning itself to get into the offshore petroleum supply services business.
The government offered three exploration blocks in the northwestern Mannar Basin and received bids in January from three firms, mainly regional players focusing on
India and south Asia.
But only block No 1, in the north of the exploration area, drew interest from all three bidders, ONGC Videsh, Cairn India, and Niko Resources of Cyprus.
Petroleum minister A.H.M. Fowzie said Tuesday they were only evaluating the block for which it received three bids and that it would be awarded to the bidder who will give most profits to the government.
Neil de Silva, head of the petroleum resources development secretariat overseeing exploration efforts, said no decision had yet been taken on what to do with the other two blocks that had been offered.
De Silva acknowledged the need to speed up the exploration process and said a decision on awarding the first block would likely be made in May.
Industry officials said the chances of finding oil in one block would be much lower than if all three blocks had been awarded.
"The probability of finding oil is higher if you look at a larger area than a smaller area," de Silva acknowledged.
Musheen of Hemas said that if oil was not found in the single block that is to be awarded, the chances of getting bidders for the next two blocks would be less.
"Also, if you start with only one block, there's a chance that we might lose out on goods and services supply to competitors in the region."
Sri Lanka's private sector has been hoping an offshore oil strike would open up business and employment opportunities in providing support services.
Several firms have visited Norway for talks with offshore oil industry players there and have also formed an oil and gas committee within the Ceylon Chamber of Commerce.
One firm, Capital Maharaja Organisation, a big unlisted conglomerate, has earmarked a group of 30 engineers for training in offshore petroleum skills.
Maharaja officials had earlier warned delays in starting oil exploration could be costly, especially with exploration fields elsewhere coming on the market.
It has struck a joint venture deal with Norwegian oil drilling firm Aker Kvaerner for future involvement in oil and gas exploration in the island.

Australia to seriously consider LTTE ban: Kohona
Talks with Aussie Foreign Minister fruitful The new Australian government under Prime Minister Kevin Rudd is said to be giving serious consideration to the banning of the LTTE and further curbing activities
of the outfit on Australian soil, a Sri Lankan official said.
Foreign Secretary Dr. Palitha T.B. Kohona who met Australia’s Foreign Minister Stephen Smith, in Perth last week said the two sides had discussed a request by
Sri Lanka to ban the LTTE in Australia.
“It was noted very seriously,” Dr. Kohona told the Daily Mirror when asked what sort of response the new Australian government gave to the request.
In a statement condemning the assassination of Minister Jeyaraj Fernandopulle the Australian Foreign Ministry said it remained concerned about the escalation of
violence in Sri Lanka and condemns terrorism in all its forms and stressed that the use of terrorist methods by the LTTE is completely unacceptable. Dr. Kohona said
that the meeting with the Australian Foreign Minister was the first between the two countries since the appointment of the new Australian government.
“We appreciated the legal measures taken by Australia to curb LTTE fund raising on their soil. Action has already been taken against three LTTE operatives,” Dr.
Kohona said of the meeting.
The Australian Foreign Minister had on his part noted the importance encouraging the Sri Lankan Diaspora in Australia support peace moves in Sri Lanka.
The Sri Lankan Foreign Secretary had also raised concerns of the LTTE using its connections in South East Asia to carry out human trafficking to Australia.
Led by the Society for Peace, Unity and Human Rights in Sri Lanka (SPUR) there is a growing lobby to list the LTTE under the Criminal Code of 1995 which would
proscribe it under domestic law, giving the Police more powers to track down and prosecute agents of the LTTE in Australia.
In May last year two Melbourne men were arrested and charged with being members of and raising money for the banned LTTE.
“I want to make it clear that these men weren’t involved in any possible attacks on Australia soil,” Federal Police Assistant Commissioner Frank Prendergast told
reporters at the time.
“The offences they have been charged with are activities which occurred in Australia supporting the LTTE in Sri Lanka,” he added. The arrests came after dawn raids
in Melbourne and Sydney.

Vaiko meets PM on Sri Lanka Tamils issue
The Hindu 18 04 08
J. Venkatesan
New Delhi: Marumalarchi Dravida Munnetra Kazhagam general secretary Vaiko on Thursday met Prime Minister Manmohan Singh here and requested the
government to mount diplomatic pressure on the Sri Lankan government to stop its military offensive and initiate peace talks for a workable solution to fulfil the
aspirations of Sri Lankan Tamils.
Mr. Vaiko told The Hindu that he had explained to Dr. Singh the outcome of an international conference on ‘Peace and Reconciliation in South Asia’ held in Oslo
on April 10 and 11 under the auspices of the International Association for Human Values.
Mr. Vaiko said he had told the Prime Minister that the situation in Sri Lanka was becoming grave day by day, endangering the life and security of Tamils. Innocent
Tamils were being killed by the military. He explained the plight and misery of Tamils living in jungles without food and medicine. He requested that India should not
provide arms to Sri Lanka.
Mr. Vaiko said the Prime Minister told him about India’s stand —that there could be no military solution to the problem. Dr. Singh assured him, saying: “We are not
supplying arms to Sri Lanka. I will discuss the matter with the Foreign Minister [Pranab Mukherjee] and see what best can be done.”
Mr. Vaiko said he would meet Mr. Mukherjee.
Mr. Vaiko, in a memorandum submitted to the Prime Minister, said: “I draw your kind attention to the most painful scenario of gross violation of human rights
subjecting the Tamils to indescribable hardship and misery. There have been indiscriminate killings, abductions and disappearance of Tamils. The innocent Tamil
youth, who are not engaged in armed struggle, are also not spared. They are abducted by armed forces and thereafter [there is] no further news about them. It is
feared that they are murdered.”

Sri Lankan Armed Forces Will Liberate North During This Year
Lt. General Sarath FonsekaThu, 2008-04-17 02:07
By Walter Jayawardhana
Commander of the Sri Lanka Army said that the Northern Province of Sri Lanka will be taken from the Liberation Tigers of Tamil Eelam (LTTE) during this year.
He was reading this statement from a written document when he delivered the Sinhala and Hindu New Year message at a New Year festival at the Sri Lanka Army
Headquarters in Colombo. The message in Sinhala language was broadcast by the state owned Independent Television Network.
Sri Lanka Army Commander Lt. General Sarath Fonseka said , “the North will be liberated from the terrorists this year and civilian life established.”
Speaking at this New Year feast, where all soldiers attached to the Army Headquarters and their families were feted regardless of their rank, Lt. General Fonseka
said, “The gallant soldiers created the positive environment prevailing in the country at present. Therefore, they earn accolades from the entire nation.”
The Sri Lanka Army is progressing well into the territory held by the Liberation Tigers of Tamil Eelam (LTTE) currently and the armed insurgent group has also
reportedly lost extents of land in the Wanni, according to independent reports, aided by the Sri Lanka Air Force, Sri Lanka Navy and the Special Task Force of the
Police.
The Army Chief said the innocent people yearning for peace are confident that their dream would soon become a reality. He called upon the Army personnel to be
determined to fulfill this people’s wish.
The nation appreciates, Lt. General Sarath Fonseka said, the commitment displayed by the Army in liberating the entire East from the terrorists, last year. The Army
Commander opined that their determination should be, therefore, to liberate the North from the LTTE terrorists and free the people encountering untold hardships.
He said the whole nation, should remember, in fond memories and respect, the supreme sacrifices, made by the armed forces personnel so far to achieve this.
He expressed his gratitude to all “gallant” members of the Army, engaged in operations in the North.
President of the Army Seva Vanitha Unit Mrs. Anoma Fonseka and Lt. Gen. Fonseka visited the Army Hospital and inquired into the well being of the soldiers
receiving treatment and distributed sweet meats among them to celebrate the New Year.
- Asian Tribune

"China emphasized support for Sri Lanka's territorial integrity,"- Minister G.L.Peiris Thursday, 17 April 2008
"During the President's recent visit to China to attend the BOAO summit, China emphasized its support for Sri Lanka's territorial integrity and pledged to stand by Sri
Lanka in its efforts to counter terrorism," stated the Minister of Export Development and International Trade, Prof. G.L. Peiris.Minister Peiris addressing the media in Colombo today (17th) for a summary of the President's visit to BOAO Forum in China, stated that the visit was iconic to showcase the undying friendship Sri Lanka has with China.
Prof. Peiris stated that during the visit President conducted a long discussion with the Chinese PresidentHu Jintao, where the latter was appreciative of Sri Lanka's
continued stand in support of the One China Policy, and stated that this position has stood well as a test of the good relations between the two countries.
Further, he stated that the visit was highly fruitful for Sri Lanka from an economic perspective. China has already pledged more that US $ 1 billion in assistance to Sri
Lanka in 2007 for projects that include the Norochcholai Coal Power Project, the Hambantota Port Development Project, the supply of 100 railway carriages and
Multiple Diesel Units to the Sri Lanka Railway, and the construction of a Performing Arts Theatre.
He stated that discussions are underway with the Chinese authorities on Chinese assistance for the Katunayake-Colombo Highway which will cost US $ 292 million
and for the 2nd phase of the Hambantota Port which will cost US $ 75 million.
The Minister stated that they also had an opportunity to inform a delegation of Chinese investors of the opportunities available for investment in Sri Lanka. There was
a cross-section of investors present from the Chinese mainland, Hong Kong and Macao, and included key personalities in banking, communications, ship building,
digital TV, tourism and resort development and retail marketing.
The prospective investors were briefed of the opportunities and advantages of investing in Sri Lanka, especially in view of the facilities available to investors under the
Board of Investment.
The investors have showed their interest in investing in Sri Lanka in fields such as gem and jewellery, communication and rubber industry.
Meanwhile President also held discussion with the Tanzanian President who requested Sri Lanka to join African nations in trade ventures in Asia.
He also discussed the possibility of developing Sri Lanka's fishery industry with the President of Chili.
Pakistani President Pervez Musharaff was also among the international leaders with whom President Rajapaksa conducted discussions.
During the discussion, President Rajapaksa explained the need to enhance the existing Free Trade Agreement between the two countries to a Comprehensive
Economic Partnership, which view found favour with President Musharaff.

Bishops Deny Charges That Statue Removal Abets Tamil Rebel Struggle
COLOMBO (UCAN) -- The country's Catholic bishops have responded to criticism over the Church's removal of a revered Marian statue from a shrine in the
north, denying it was done at the request of Tamil rebels. The Catholic Bishops' Conference in Sri Lanka issued a statement April 10 in response to speculation in the media and criticism by politicians. Critics contended the
Church aided the rebels' war strategy when it removed the statue on April 3 from the Our Lady of Madhu Shrine in Mannar. Priests and nuns removed the statue with the approval of Bishop Rayappu Joseph of Mannar due to heavy fighting around the shrine between government forces and the Liberation Tigers of Tamil Eelam (LTTE). The statue was moved to a church in Thevanpiti (or Theavanpiddi), a coastal village under rebel control. The country's most popular Catholic shrine, which has been damaged recently by shelling in its vicinity, is about 220 kilometers north of Colombo. In the statement the bishops issued during a conference meeting April 9-11 in Kandy, they said they wished to correct misinterpretations and unfounded speculation in
local and international media about the statue's removal. "Priests at the Madhu shrine decided, with the approval of the Bishop of Mannar, to take the statue along with them to the closest functionally available church, in
Theavanpiddi," the statement said. "As a last resort, they had taken this decision of their own free will and not under any compulsion or at the request of the LTTE or any other, as viciously reported in
some media," it added. The bishops' statement stressed that the statue had been removed only "temporarily," not permanently, and will be taken back "at the first opportunity" when safety
can be assured. Some newspapers joined politicians in expressing concern over the removal of the statue to an LTTE-held area. The Buddhist political party Jathika Hela Urumaya (JHU), made up mostly of Buddhist monks, issued a statement on April 10 in which they criticized the removal of
the statue from what was considered a neutral zone to an LTTE-controlled area. Venerable Omalpe Sobitha Thero, JHU general secretary, blamed the LTTE and Bishop Rayappu Joseph in the statement written in Sinhalese. "Now the LTTE
cadres are at the shrine, so the bishop should be held responsible if any damage is caused to the shrine," the monk said. "By removing the statue from the shrine, the LTTE is trying to win the support of the world Catholic community to give the impression that the LTTE itself protects the statue, and this removal has facilitated the LTTE to use the shrine area for their war strategies," the monk added. A priest from Colombo, who declined to be named, told UCA News the JHU allegations were unfounded. He charged they were a pretext to attack the Church.
"Have they visited the area before making irresponsible and divisive statements to cause panic among the Christian believers?" the priest asked. He expressed concern that the Buddhist political party was causing unnecessary dissension. The Ministry of Defence voiced its concerns in an April 9 article on its website (3w.defence.lk): "The LTTE has cynically manipulated the situation at the Madhu
Shrine, which resulted in the priests having to vacate the Church premises, taking the Sacred Statue of Our Lady of Madhu with them. It is highly questionable
whether there was any compelling need to move the Statue to a location deep inside the uncleared areas, whereas it would have been logical to take it to Mannar, for
safekeeping with the Bishop of Mannar." The April 16 issue of Daily Mirror, a newspaper, carried an opinion piece in which Ruki Fernando, coordinator of the Law and Society Trust, a human rights NGO, said both government and LTTE forces should stay away from the shrine. Fernando, a Catholic, suggested the shrine be treated as a "zone of peace," as the Church
wishes. He called on all parties to try to resolve the problem. END

Indo-UK naval exercise from next week
Manu Pubby Posted online: Friday, April 18, 2008 at 2359 hrs IST New Delhi, April 17
India and the UK will hold their latest round of maritime engagements next week with a low-key joint naval exercise codenamed ‘Konkan 2008’, starting from Goa
coast. The maritime interdiction exercise, third in a series that started in 2004, will feature frontline warships of the Royal Navy, including the Illustrious Aircraft
Carrier and the HMS Trafalgar nuclear submarine. The 10-day-long exercise, aimed at building confidence and interoperability between the navies, will focus on aerial operations and joint tactical manoeuvers for
maritime interdiction. While only Indian and UK warships will participate in the exercise, the American Navy’s USS Cole will observe the manoeuvers. The exercise will also feature the ‘Merlin’ anti-submarine warfare helicopters of the Royal Navy, besides the HMS Westminster guided missile destroyer and two
support vessels. From the Indian side, frontline warships, including the Mysore and Rajput, will take part in the exercise, besides a Kilo-class diesel submarine.
However, India’s sole aircraft carrier, INS Viraat, will not be visible at the exercise as it is out of commission for the next year. The Navy has decided to keep it in
service till 2012 when the Gorshkov is scheduled to arrive. In the absence of the carrier, the Navy will operate its Sea Harriers for the joint exercise. This year’s low-key exercise comes in contrast with the high profile nature of the last edition of the Konkan series in 2006, also off the Goa coast. Besides visits by
the Chief of the Royal Navy, a number of senior defence officials and mediapersons were taken aboard HMS Invincible aircraft carrier during the exercise.