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Europe
Chirac leaves Soddiland without deal
2006-03-07
French President Jacques Chirac wrapped up a three-day visit to Saudi Arabia Monday without clinching a defense deal as oil giant Total eyed a contract to build a refinery in the oil-rich kingdom. "Saudi Arabia is actively pursuing a detailed study of different solutions" proposed to Riyadh in terms of cooperation in defense and security, Chirac told a news conference. "All this is taking place in an excellent climate," he said.

At stake is the sale of French Rafale fighters and a border monitoring system to Saudi Arabia, which a French presidential spokesman had cautioned would not be finalized during the trip, Chirac's fourth to the Gulf country. French aerospace group Dassault Aviation confirmed last April that talks had taken place on the purchase of the Rafale. The French daily Les Echos said at the time the discussions focused on the purchase of 48 fighters with an option for 48 more in a deal valued at six billion euros (7.2 billion dollars). The fourth-generation Rafale, a multi-role combat jet which can carry out interception and reconnaissance missions as well as nuclear strikes, has yet to find an export market.

The other potential deal involves the Miksa electronic border monitoring system, under which electronic defense manufacturer Thales would supply 225 radars to Saudi Arabia over a period of 12 years for seven billion euros (8.4 billion dollars). The sale of the Miksa -- acronym for Ministry of Interior Kingdom of Saudi Arabia -- would also include a telecommunications network, reconnaissance aircraft and about 20 helicopters.

Chirac, whose visit came some two months after it was announced that Saudi Arabia would buy Typhoon Eurofighter jets from Britain, said he was pleased by the contacts established between more than a dozen French businessmen and industrialists accompanying him and Saudi counterparts. Total's chairman Thierry Demarest meanwhile said he hoped to conclude a deal to build a five-billion-dollar oil refinery in Saudi Arabia's oil-rich Eastern Province within months. The refinery, with a capacity of 400,000 barrels per day (bpd), would be built in Jubail on the Gulf coast. Although he did not give a specific figure, Demarest said such ventures usually do not cost less than five billion dollars.

Chirac, who on Sunday became the first foreign leader to address the Saudi-appointed Shura (consultative) Council, took advantage of his presence in the kingdom, home to Islam's holiest sites, to advocate tolerance and mutual respect at a time when Muslims across the world have been infuriated by the publication of cartoons deemed blasphemous to Prophet Mohammed. "We have always condemned what some call the clash of civilizations, and which I call the clash of ignorances," he told reporters. Chirac also said he "respected" Saudi Arabia's decision to oppose a reduction of OPEC's output so as not to push oil prices further up when the cartel meets in Vienna on Wednesday.
Posted by:Seafarious

#1  But they agreed to keep his kneepads so they'll be available next time he calls.
Posted by: .com   2006-03-07 03:17  

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