MS Risk Blog

U.K. Oil Worker Kidnapped and Released in Aceh, Indonesia

Last week, on Tuesday, 11^th June, a British national was kidnapped in the Indonesian province of Aceh before being released in the early hours of Thursday, 13^th June. Malcolm Primrose, 61, is a senior drilling advisor for PT Medco E&P Malaka Oil Company and reportedly has 30 years of experience in Indonesia.

When on his way home after work on Tuesday, his car was stopped by four armed men on the road between the company’s drilling site and his home village. His driver, named only as Dania, was tied up while Primrose was kidnapped. No shots were fired. Following the incident, the local police authorities began a large scale manhunt with military support.

On Wednesday 12^th June, the kidnappers contacted authorities demanding a £500,000 ransom from Primrose’s family. Primrose was found unharmed in the early hours of Thursday morning, having been released in a remote palm oil plantation. According to the authorities, no ransom was paid in this instance, reportedly because his family were unable to meet the demand. No individuals have been arrested, and the identity of the kidnappers remains unknown.

Aceh is a region at the northern tip of Sumatra, and Indonesia’s third wealthiest province by natural resources.  From 1978 – 2005 a sustained and bloody insurgency took place in the province, led by the Free Aceh Movement (GAM). Aside from numerous historical and cultural grievances, such as a desire for autonomy and more conservative Islamic governance, one major issue centred on the exploitation of natural resources – mainly oil and gas. GAM’s leaders claimed that profits from natural resources were appropriated by the central Indonesian government and not reinvested fairly in Aceh itself.

Between 1989 – 1990, the Indonesian government launched a campaign to end the insurgency which led to the deaths of over 12’000 people, and was marred by numerous accusations of human rights abuses. A second Indonesian military campaign in 2003 – 2004 resulted in a decisive defeat for GAM.

This, combined with the devastation left by the 2004 tsunami, brought the 30 year conflict to an end. A peace deal in 2005 granted increased autonomy to Aceh in exchange for the separatists laying down arms. In elections since then, Aceh has consistently voted ex-GAM members into power, and enforced sharia law in the province.

While the issues that led to the insurgency have been largely resolved, there remain many individuals formerly active in the insurgent movement and a large volume of firearms in private ownership. There are also lingering economic difficulties in the province, with poverty amongst the highest in Indonesia.

Additionally, the position of some oil and gas operations remains contentious– US Company ExxonMobil was the subject of an attempted legal action in the United States based on accusations it collaborated with the Indonesian military by facilitating human rights abuses to protect its natural gas fields. Throughout Indonesia disputes between local communities, local government and resource companies are relatively commonplace, sometimes causing protests and disorder as a result. There are suggestions that the conservatism of Aceh’s populace may create increased tension with foreign companies.

Nevertheless, despite these lingering issues, last week’s incident is unusual as Aceh remains broadly peaceful with kidnapping of foreigners very rare. A French World Bank consultant was kidnapped in 2008 but released unharmed 24 hours later, while 5 Chinese workers were also kidnapped and released unharmed after 2 days in 2008. There have been no reported incidents since then.

The case took another interesting turn on Sunday, 16^th June, when a source in the Indonesian National Police told the Jakarta Globe that Medco E&P had reportedly been the target of several attacks in the past weeks that it did not report to authorities. This included the shooting of company equipment and the attempted bombing of a workers barracks, neither of which caused injuries or significant damage. Nevertheless, and while reports are still vague, it suggests last week’s kidnapping of Primrose may be connected to a specific campaign against Medco instead of the result of a larger trend targeting foreign nationals in the region.

Foreign workers should be aware that the oil and gas industry has a contentious history in Aceh, and that the province as a whole remains impoverished and with a legacy of separatism and insurgency. However, while there is some cause for caution, kidnapping and other violent incidents remain rare, with currently no signs of a larger phenomenon of kidnap for ransom targeting foreigners emerging in Aceh.

AQIM Confirms Death of Abou Zeid

In a statement that was published on Sunday, Al-Qaeda’s north African branch has confirmed that one of its top leaders, Abdelhamid Abou Zeid, was killed in fighting in Mali.  The confirmation from the terrorist group comes three months after officials in Chad and France announced the leaders’ death.

Algerian-born Abdelhamid Abou Zeid, considered to have been one of the most radical leaders of al-Qaeda in the Islamic Maghreb (AQIM), was killed “on the battlefield defending Umma (the Muslim community) and Sharia law.”  This is according to a statement that was released on Sunday and carried by ANI, which is a private Mauritanian news agency.  According to ANI director Mohamed Mahmoud Ould Abou Al-Maali, “it is the first time that an AQIM statement officially referred to the death of Abou Zeid.”  The statement however provided no date for his death.  Back in March, officials in Paris had announced that Abou Zeid was killed after France led an offensive to remove al-Qaeda-linked groups from the northern regions of Mali.  Both France and Chad have indicated that the 46-year-old militant was killed at the end of February.

Born in Debdeb, Algeria, which is located close to the border with Libya, Abou Zeid was a young activist in the FIS Islamist movement which won the country’s first democratic elections in 1991 but which was denied power.  He then disappeared underground and remained in silence for most of the 1990’s.  He re-emerged in 2003 as second in command of the GSPC, which kidnapped dozens of foreigners in southern Algeria.  The group, along with several other organizations, would later evolve into AQIM.  According to court documents Abou Zeid, whose real name was Mohamed Ghdir, was considered to be a deputy to AQIM’s “Saharan emir” Yahia Djouadi.  He commanded a battalion of fighters from Algeria, Mauritania and Mali, which was known as Tareq ibn Ziyan, named after an eighth-century Muslim military commander.

Mali

Meanwhile in Mali, a female lawmaker is set to run for President in elections which are due to be held next month.  Aissata Cise Haidara, 54, announced her candidacy on Saturday at a rally which was attended by several thousand supporters, composed mainly of women and young people.  During the rally, she stated that “I am a candidate, not just to make up the numbers but to play a role in the rebuilding of Mali, which has become an unrecognizable country today.”  She further indicated that “we must develop all of Mali although more must be done in the north.  But we have to be careful because if you focus development in the north, the south will itself revolt.”  Ms. Haidara is an MP for Bourem, which is situated in northern Mali.  Amongst other candidates in the running for the presidency are former prime ministers Soumana Sacko and Ibrahim Boubacar Keita.

International mediators have so far failed to secure an agreement between Mali’s Interim President and the northern rebels.  Although talks last weekend have brought the two groups closer, an agreement is necessary in order to enable elections to go ahead as planned on 28 July.  The MNLA indicated last week that it was ready to sign an accord proposed by Burkina Faso, which is the regional mediator, however current Mali President Dioncounda Traore has yet to agree.  Consequently the talks are continuing between the two groups.  The coming presidential elections are seen as a key step in the recovery of Mali.

Breakthrough in Talks Over Legislative Elections in Guinea

A United Nations envoy has confirmed that Guinea’s government and opposition parties have made a breakthrough during talks that were held over the weekend, which could result in an end to the violent political demonstrations and pave the way for legislative elections to take place.  More than fifty people have been killed in the past three months in protests which have been organized by activists who accuse President Alpha Conde of preparing to rig the polls which are scheduled to take place on 30 June 2013.

Over the past weekend, President Conde’s government along with Guinea’s opposition parties have been meeting at UN-mediated talks which have focused on the organization of the long-delayed legislative elections.  Said Djinnit, a UN envoy who mediated the talks between the government and opposition parties in the coastal capital city of Conakry, indicated that the parties had made significant progress over their demands and that there was reason for hope.  Djinnit further indicated that in return for some guarantees, Guinea’s opposition parties have agreed to rejoin the electoral process and have dropped their demands for South African company Waymark, which was charged with updating the voter register, being replaced.  The opposition had initially accused the company of filling the electoral roll with the names of President Conde’s ethnic Malinke supporters.  However the company has denied these charges.  The opposition parties had also called for Guineans living overseas to be given the right to vote.  Djinnit has indicated that “regarding the vote of Guineans abroad, the presidential camp, which had reservations on the issue, have lifted their opposition.  It has agreed that Guineans living abroad could participate in elections.”  He further stated that decisions stemming from the talks could affect the date of the election.

While a spokesman for Guinea’s government could not be immediately reached for comment, a spokesman for the opposition noted that a minimum consensus had been reached and that the parties were waiting for concrete actions from both the government and Guinea’s electoral commission.  However Aboubacar Sylla, the opposition spokesman, did state that “we have reasons to be cautiously optimistic.”

A spokesman for UN Secretary-General Ban Ki-moon has indicated that the UN Chief was “encouraged” by the progress that was made during the multi-party political dialogue.  In a statement that was released by the UN, his spokesperson stated that ‘the Secretary-General welcomes the constructive spirit in which Guinean parties have pursued the dialogue..” and that he “encourages the parties to build on this positive atmosphere in order to resolve outstanding issues and create the conditions for free, fair and peaceful legislative elections.”  The United States’ State Department has also welcomed the agreement that was reached between the political parties.

Guinea has been without a functioning legislature for years while the country’s economy remains to be at a standstill.  Following a military coup in December 2008, political instability in Guinea has deterred a number of investors, despite the country’s large deposits of iron ore, bauxite, gold and other minerals.  Although Guinea is the world’s largest exporter of bauxite, a metal that is used to produce aluminium, the country remains to be amongst the world’s poorest nations.  Investor confidence has been undermined by repeated clashes which have occurred since March of this year.

Egyptian-Ethiopian Tensions Over Nile Dam

Ethiopia’s plan to divert a stretch of the Blue Nile for a hydroelectric dam has caused outrage in Egypt. The Great Ethiopian Renaissance Dam is part of a major investment project to boost power exports. The dam will have a capacity equivalent to six nuclear power plants.

Ethiopia, which is the source of the Blue Nile, believes that it could wean itself off of food aid by irrigating the river, however some experts say that the reserve could cause nearly 20% reduction of the water supply to Egypt and Sudan. A colonial agreement gives Egypt and Sudan the right to use up to 90% of the Nile’s water. In 2010, six countries attempted to create a new arrangement for redistribution of Nile waters, but Egypt and Sudan refused to enter any agreement that affected their share of the water supply.

Egyptians see the building of the dam as a threat to national survival. As a desert nation with very little rainfall, the growing population is increasingly dependent on the water supply. The nation relies on the Nile for 98 per cent of its irrigation, and estimates show that Egypt will require an additional 21 billion cubic metres of water per year by 2050 to meet the needs of a projected population of 150 million. Supporters of the dam say Egypt could solve the crisis by being more efficient with water usage; opponents argue that Egypt already recycles up to 15 billion cubic metres of water.

Escalating Tensions

In a surprise move in late May, Ethiopia decided to proceed with the project days after a state visit by Egyptian President Mohammed Morsi. The Ethiopian government says a scientific report ensures that the dam will do “no appreciable harm” to Sudan and Egypt downstream. The report, which was to be released in early June, is still shrouded in secrecy.

The Egyptian Parliament denounced Prime Minister Hashim Kandil for failing to prevent the construction. One MP shouted, “Egypt will turn to a graveyard… We have to stop the construction of this dam first before entering negotiations.” Egypt’s Foreign Minister is planning a visit to Addis Ababa on 16 June to continue discussions.

In early June, senior Egyptian politicians were unknowingly caught on live television discussion options with President Morsi. Ayman Nour, head of Egypt’s Ghad party, suggested leaking false reports that Egypt was building up its air power. Younis Makhyoun, leader of the al-Nour party, suggested supporting Ethiopian rebels, or as a last resort, destroying the dam. The “secret” meeting triggered heavy backlash. Egypt has not issued an official apology for the broadcast; one member tweeted she was sorry members of the meeting were unknowingly broadcast. Opposition leader Mohamed El Baradei was invited but did not attend the meeting. He tweeted sincere apologies to the people and governments of Ethiopia and Sudan.

Egypt’s ambassador to Ethiopia has been summoned to explain the hostile remarks.

Meanwhile, President Morsi gave a speech to supporters on 10 June, in which he announced that “all options are open” in dealing with the situation. Morsi said to a cheering crowd, “We are not calling for war, but we will never permit our water security to be threatened.” Morsi received a standing ovation after quoting from an old Egyptian song, “If it diminishes by one drop, our blood is the alternative.”

A spokesman for the Ethiopian prime minister called Morsi’s speech irresponsible, and promised that the project would proceed. “Of course we are going to go ahead with the project, because we believe we are justified.”

Nile Basin Nations Water Relations

Disputes over the Nile’s water supply span over a century. Colonial treaties promised Egypt a vast majority of the water supply, and an agreement following Sudan’s independence in 1956 allocated 55.5 billion cubic metres of the Nile to Egypt, and 18.5 billion to Sudan, totalling 87 per cent of the Nile flow. However, the treaties provided nothing to nations further upstream.

Ethiopia and other nations believe the colonial treaties are antiquated. Ethiopian Foreign Minister Tedros Adhanom said, “Ethiopia cannot remain poor. It must utilise its resources to lift its people out of poverty.”

The Nile Basin Initiative was created in 1998 to bring together all ten states that border on the Nile to discuss the issue, but have failed to reach an agreement as the Cairo government guards historic treaties. The failure to agree on water redistribution has created deep bitterness among other Nile nations. In March 2011, Ethiopia, Rwanda, Uganda, Kenya, Burundi and Tanzania signed a new agreement to overturn the colonial-era treaties and replace them with a more equitable utilisation of the river.

Egypt-Ethiopia Relations

Many in Ethiopia believe that Egypt is the source of many of its troubles. In 1959, Egyptian President Gamal Abdul Nasser excluded Ethiopia from the planning of the Aswan Dam. In response, Ethiopian

Emperor Haile Selassie caused the separation of the Ethiopian Orthodox Church from its sister church in Alexandria, ending a 1,600 year relationship.

In response to the Emperor’s actions, Nasser backed the Eritrean revolt against Ethiopia, and encouraged Somali Muslims to fight for Ethiopia’s Ogaden region. Eritrea’s eventual independence caused Ethiopia to become a landlocked nation, a source of great anger. Eritrea backs the Egyptian position over the Nile.

Meanwhile, Ethiopia continues with the project, with a $1 billion loan from China. The project, according to the Ethiopian government, began in May and is 21 percent complete.

Gunfire Breaks Out at Paramilitary Barracks in Niger’s Capital City

On the ground sources have indicated that gunfire broke out at a paramilitary barracks in Niamey, the capital of Niger, with sporadic shots lasting for about one hour.  According to statements from local residents, “the shooting began around 21:30 local time (2030 GMT).”  Sporadic gunfire could be heard for an hour and then the sounds of shooting stopped.  At the beginning of this year, the camp hosted troops from Chad who were at the time on transit to Mali where they have since fought jihadist militants alongside French and West African forces.

Military and government officials could not be reached in order to provide further details, and it was not immediately possible to indicate whether the gunfire was linked to a number of recent attacks in the country which have been carried by Islamist militants.  Since the incident, the area around the gendarmerie camp in the northern regions of the capital has been almost deserted.  A jeep carrying paramilitary members was seen travelling in the direction of the city centre.  A road block has also been set up at the road which heads to the northern part of the city.

With a number of violent attacks occurring in northern Niger of the past month, citizens of the country have begun to express fears of a “war on terror” in their homeland.  Tensions were raised by two suicide bombings on May 23 in the north of Niger.  The attacks targeted an army base in Agadez and a uranium mine at Arlit which is run by French nuclear giant Areva.  More than twenty people were killed in those attacks.  Earlier this month, government officials confirmed that twenty convicts escaped during a jailbreak from a prison in Niamey.

Responsibility for both suicide attacks, the first to have occurred in the west African country, have been claimed by two armed Islamist groups:  the Movement for Oneness and Jihad in West Africa (MUJAO) and Signatories in Blood.  Algerian militant Mokhtar Belmokhtar, reported to have organized the two bombings, has threatened to attack Niger again, together with any other country that has troops stationed in Mali, where a French-led military intervention launched in January has seized back control of the northern towns from groups linked to al-Qaeda.