Feral Jundi

Friday, December 16, 2011

Industry Talk: The UN Is Looking For A Few Good Security Firms In Libya

Filed under: Industry Talk,Libya — Tags: , , , , — Matt @ 10:51 PM

Here you go folks. If you have an office in Libya, or are thinking of setting up shop in Libya, definitely give UNSMIL a call when there. They reached out to me in an email which I posted below, and are in the market for some ‘good professional companies that can provide the mission in Libya with security services’.

As to the type of missions, who knows?

I also posted a quick story below on a few of the security companies already in Libya. The cool thing with this story is that it sounds like the new government has changed it’s mind about foreign security. Here is the quote:

Since Libya’s new leaders have yet to succeed in creating a national army to protect the oilfields, Western security companies will have to fill the gap.
The oilmen are paying top dollar for security so they can repair damaged fields and get oil production going again.
Several weeks ago, London’s HIS security consultancy was reporting that the NTC was unwilling to allow private security firms into the country. This, it said, “is acting as a brake on the country’s resurgent oil production.” That, however, appears to have changed as security slumped.

You are probably wondering why the NTC is changing their mind? Well now that Ghaddafi is out, a few of the tribes throughout Libya are fighting with the NTC over who controls what. So the NTC is not able to get everyone under the same tent for the sake of the country and their security forces are over extended trying to deal with it all. And oil production is directly impacted by that instability, which is not good for rebuilding.

Bottom line, western companies want and demand security for their technicians and executives, and the NTC is now allowing them to contract with security companies to keep the oil flowing. That oil is what will help rebuild the country, and private security is a big part of that process. Or until the NTC can get a handle on the security of the country.  It looks like private security will also be a big part of the UN’s mission in Libya as well. –Matt

 

Dear Sir,
Thanks for your response below.
However, please note the United Nations in UNSMIL based in Tripoli and a branch in Benghazi is looking for good professional Companies that can provide the mission in Libya with a security services.
If your Company has a branch in Libya and you are is interested, kindly advice in order to provide you with a vendor registration form to register your company for bidding exercise.
Thanks; regards.
Anne Marie Hougaz-Laferla
Procurement Officer
UNSMIL – Libya
Tel.: 218-91-222-0094
E-mail: hougaz@un.org

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Security firms hustle in lawless Libya
Dec. 9, 2011
As rival militias in postwar Libya wage turf wars in Tripoli and the interim government struggles to form a national army, Western mercenaries are moving in to fill the security vacuum in the oil-rich North African state.
Under the circumstances, it’s not surprising that the executive bureau of the National Transitional Council, striving to govern a country wracked by gunfire and political feuding, is giving these companies the time of day.
Western oil companies and other business groups hustling to get a piece of Libya’s oil and natural gas wealth want protection before they start investing large amounts of money in the new Libya following the defeat and ignominious death of leader Moammar Gadhafi in an eight-month civil war.
“Compared to former Finance Minister Ali Tarhouni’s rather hostile attitude, Libya’s new leadership is showing greater openness toward foreign private security companies,” observed the Intelligence Online newsletter, which has headquarters in Paris.

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Friday, July 15, 2011

Cool Stuff: The Mayfair Set–Col. David Stirling’s Private War Against Egypt In Yemen

Filed under: Cool Stuff,History,Industry Talk,Video — Tags: , , , , , , , , , — Matt @ 2:56 PM

This is a really cool documentary, and it covers far more than the history of Col David Stirling’s adventures. Stirling was the founder of the SAS, which is a remarkable accomplishment and story on it’s own, but the history that intrigued me the most was what he did in retirement. Specifically his private military ventures and the private war he waged in Yemen. This was a privately funded war, waged by professional soldiers and forces in Yemen, with the approval of Britain.

This is also another example of a modern private military force, winning a war. They did it, and this would be a great source for a case study on the potential of private military forces. Stirling was quite the risk taker, and certainly an innovator back in his day. It is also pretty relevant to today’s issues with private military companies, and of the politics of the middle east and the defense industry. Check it out and go to the youtube link to watch the whole series if you are interested. They also discuss his work in Oman and the business he did with Saudi Arabia. Very interesting stuff. –Matt

 

Friday, June 17, 2011

Iraq: In Rebuilding Iraq’s Oil Industry, US Subcontractors Hold Sway

Filed under: Industry Talk,Iraq — Tags: , , , , , , — Matt @ 8:38 PM

“The strategic interest of the United States is in new oil supplies arriving on the world market, to lower prices,” Mr. Kuzyaev said.
“It is not important that we did not take part in the coalition,” he said, referring to the military operations in Iraq. “For America, the important thing is open access to reserves. And that is what is happening in Iraq.”

This is an area of Iraq reconstruction that everyone is watching. Because every drop of oil that can be extracted out of the ground in Iraq, will only help to feed a very hungry global oil market.

The article below also made a key point which is worth mentioning again. US companies will definitely play a crucial part in building and maintaining oil infrastructure and drilling in Iraq. Although it would have been nice for the US and it’s coalition partners to have even more of a share of oil contracts there, but politically speaking, it just wasn’t in the cards.

Probably the biggest point to mention here is how much money American companies stand to make with their oil services contracts:

“Iraq is a huge opportunity for contractors,” Alex Munton, a Middle East analyst for Wood Mackenzie, a research and consulting firm based in Edinburgh, said by telephone.
Mr. Munton estimated that about half of the $150 billion the international majors are expected to invest at Iraqi oil fields over the next decade would go to drilling subcontractors — most of it to the big four operators, which all have ties to the Texas oil industry.

And with that kind of money and company presence in Iraq, security will be very important in these post war years. Companies like Edinburgh International are already in the mix for energy security work in Iraq, and I expect to see more of that. –Matt


In Rebuilding Iraq’s Oil Industry, U.S. Subcontractors Hold Sway
By ANDREW E. KRAMER
June 16, 2011
When Iraq auctioned rights to rebuild and expand its oil industry two years ago, the Russian company Lukoil won a hefty portion — a field holding about 10 percent of Iraq’s known oil reserves.
It seemed a geopolitical victory for Lukoil. And because only one of the 11 fields that the Iraqis auctioned off  went to an American oil company — Exxon Mobil — it also seemed as if few petroleum benefits would flow to the country that took the lead role in the war, the United States.
The auction’s outcome helped defuse criticism in the Arab world that the United States had invaded Iraq for its oil. “No one, even the United States, can steal the oil,” the Iraqi government spokesman, Ali al-Dabbagh, said at the time.
But American companies can, apparently, drill for the oil.
In fact, American drilling companies stand to make tens of billions of dollars from the new petroleum activity in Iraq long before any of the oil producers start seeing any returns on their investments.
Lukoil and many of the other international oil companies that won fields in the auction are now subcontracting mostly with the four largely American oil services companies that are global leaders in their field: Halliburton, Baker Hughes, Weatherford International and Schlumberger. Those four have won the largest portion of the subcontracts to drill for oil, build wells and refurbish old equipment.

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Friday, May 20, 2011

Industry Talk: Saudi Arabia To Raise A Multi-Billion Dollar, 35,000 Member ‘Facilities Security Force’ With US Help

Filed under: Industry Talk,Military News,Saudi Arabia — Tags: , , , , , , , , , — Matt @ 6:59 PM

In October 2008, Ford Fraker, then the U.S. ambassador to Saudi Arabia, called the facilities security force program “probably the single biggest initiative for the U.S.-Saudi relationship” and said the value of contracts associated with the program could reach tens of billions of dollars…..

The special security force is expected to grow to at least 35,000 members, trained and equipped by U.S. personnel as part of a multiagency effort that includes staff from the Justice Department, Energy Department and Pentagon. It is overseen by the U.S. Central Command.
The force’s main mission is to protect vital oil infrastructure, but its scope is wider. A formerly secret State Department cable released by the WikiLeaks website described the mission as protecting “Saudi energy production facilities, desalination plants and future civil nuclear reactors.”

Oh boy.  Now everyone was freaking out about the whole R2 contract in the UAE for an 800 man battalion, but a 35,000 man ‘facilities security force’ is way bigger and more valuable. I will say that the Vinnell Arabia contract is a sizable and long term contract and has been a source of employment for the industry for awhile, but this new force could take contracts there to a whole new level.

And that quote up top by U.S. ambassador Ford Fraker is quite significant. He said ‘tens of billions of dollars’ folks!  Now you can see exactly what Erik Prince was thinking about when he wanted to create a mega training facility in the desert of the UAE.  A 35,000 man force requires a ton of training to start up and maintain over the years, and training providers will be a premium in that part of the world.

It also makes sense why the US is not freaking out about Prince and his plans in the UAE.  For a force this large in Saudi Arabia, and with all the competition for trainers and manpower throughout the world in places like Iraq and Afghanistan, you can see that every competent and capable training facility out there will be very popular. Especially facilities that are close, cost effective, and deliver a quality service.  Of course the Saudis will also build local facilities for training and housing these forces. But for the really specialized stuff that I am sure R2 will offer, they could easily cater to forces like this.

Let’s not forget about what the national interest is for the US and it’s allies–keep the oil flowing.  Saudi Arabia is a key part of our energy policy, and their oil and refinery capability is vital to the US economy.  Any threat to that oil, be it from terrorists, internal uprising or Iran, is a threat to US national security.  That is the relationship we have right now, and we will continue to have for awhile.

I also think that we cannot afford to see Saudi Arabia collapse via uprisings.  Libya or Egypt collapsing was one thing, but losing Saudi Arabia to political collapse would be unacceptable. And in the case of this massive facilities security force, we either train their forces to stand the line, or it could potentially be US troops standing that line if Saudi Arabia were to explode. Contracts like Vinnell Arabia or the future contracts for this current force, are insurance for the west pure and simple. –Matt

……The forging of closer U.S.-Saudi military ties is so sensitive, particularly in Saudi Arabia, that the Pentagon and the State Department declined requests for on-the-record comment and U.S. officials rejected a request for an interview with the two-star Army general, Robert G. Catalanotti, who manages the project to build a “facilities security force” to protect the Saudis’ network of oil installations and other critical infrastructure. The Saudi Embassy in Washington did not respond to two written requests for comment. –Understanding Saudi Stability and Instability: A Very Different Nation, By Anthony H. Cordesman, Feb 26, 2011
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U.S. quietly expanding defense ties with Saudis
By Robert Burns
Thursday May 19, 2011
WASHINGTON — Despite their deepening political divide, the United States and Saudi Arabia are quietly expanding defense ties on a vast scale, led by a little-known project to develop an elite force to protect the kingdom’s oil riches and future nuclear sites.
The U.S. also is in discussions with Saudi Arabia to create an air and missile defense system with far greater capability against the regional rival the Saudis fear most, Iran. And it is with Iran mainly in mind that the Saudis are pressing ahead with a historic $60 billion arms deal that will provide dozens of new U.S.-built F-15 combat aircraft likely to ensure Saudi air superiority over Iran for years.
Together these moves amount to a historic expansion of a 66-year-old relationship that is built on America’s oil appetite, sustained by Saudi reliance on U.S. military reach and deepened by a shared worry about the threat of al-Qaida and the ambitions of Iran.

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Friday, March 11, 2011

Black Swan Events: Earthquake/Tsunami In Japan, Uprisings In The Middle East

Filed under: Black Swan Events,Disaster Response,Hawaii,Japan,Libya,Saudi Arabia,Washington — Tags: , , , , , , , , , , , , — Matt @ 1:47 AM

     This is tragic, and my heart goes out to all those impacted by these disasters.  I was watching the tsunami in Japan on television and the footage was remarkable.  The tsunami was a result of an earthquake and it has pummeled Japan. There is a tsunami warning for Hawaii, other Pacific islands, and the entire West Coast in the US. To follow this stuff, definitely track the Pacific Tsunami Warning Center and your local news to get updates.

     A couple of things that come to mind on this.  This event, along with what is going on in Libya and potentially in Saudi Arabia, are all combining to make a Blackswan Event. Events that were not predicted, and change the dynamic dramatically. What I mean by that, is that the shock waves from both disasters, could have drastic consequence. The price of oil will rise, and all the business and economies that depend upon the stability of Japan will be negatively impacted. If Hawaii and the West Coast of the US are hit, that could have consequence as well. I will further update this post as events unfold and we will see how it goes…. –Matt

Update: 03/12/2011- Now the latest deal is the Nuclear Facilities in Japan are in dire straights. If they melt down, the fallout is of concern.  In the comments section, I have put up an article that discusses the fallout potential, and especially how it would impact North America via the Pacific Jet Stream.

Major Earthquake, Tsunami Hit Japan

Saudi police open fire at protest

Oil Rises in New York as Libyan Violence Intensifies, Refinery is Bombed

Major Earthquake, Tsunami Hit Japan

March 11, 2011

A massive 8.9 magnitude earthquake has struck off Japan’s northeastern coast, triggering a four meter tsunami that washed away cars along parts of the coastline.Video from national broadcaster NHK showed dozens of cars, large ferries and some buildings being swept out to sea in the port city of Kamaishi in the province of Iwate.The Japanese Meteorological Agency issued a tsunami warming for the entire Pacific coast of Japan following the quake that struck about 125 kilometers off the eastern coast, at a depth of 10 kilometers.  Residents in the coastal areas have been urged to immediately evacuate to higher ground.The Pacific Tsunami Warning Center in the U.S. state of Hawaii said a tsunami warning was also in effect for Russia, Marcus Island and the Northern Marianas.  It said a tsunami watch was issued for Guam, Taiwan, the Philippines, Indonesia and Hawaii.

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