Deformed Dolphin Accepted Into New Family


In 2011, behavioral ecologists Alexander Wilson and Jens Krause of the Leibniz-Institute of Freshwater Ecology and Inland Fisheries in Germany were surprised to discover that a group of sperm whales (Physeter macrocephalus)—animals not usually known for forging bonds with other species—had taken in an adult bottlenose dolphin (Tursiops truncatus).

The researchers observed the group in the ocean surrounding the Azores (map)—about 1,000 miles (1,600 kilometers) off the coast of Lisbon, Portugal—for eight days as the dolphin traveled, foraged, and played with both the adult whales and their calves. When the dolphin rubbed its body against the whales, they would sometimes return the gesture.

Among terrestrial animals, cross-species interactions are not uncommon. These mostly temporary alliances are forged for foraging benefits and protection against predators, said Wilson.

They could also be satisfying a desire for the company of other animals, added marine biologist John Francis, vice president for research, conservation, and exploration at the National Geographic Society (the Society owns National Geographic News).

Photographs of dogs nursing tiger cubs, stories of a signing gorilla adopting a pet cat, and videos of a leopard caring for a baby baboon have long circulated the Web and caught national attention.

A Rare Alliance

And although dolphins are known for being sociable animals, Wilson called the alliance between sperm whale and bottlenose dolphin rare, as it has never, to his knowledge, been witnessed before.

This association may have started with something called bow riding, a common behavior among dolphins during which they ride the pressure waves generated by the bow of a ship or, in this case, whales, suggested Francis.

"Hanging around slower creatures to catch a ride might have been the first advantage [of such behavior]," he said, adding that this may have also started out as simply a playful encounter.

Wilson suggested that the dolphin's peculiar spinal shape made it more likely to initiate an interaction with the large and slow-moving whales. "Perhaps it could not keep up with or was picked on by other members of its dolphin group," he said in an email.

Default

But the "million-dollar question," as Wilson puts it, is why the whales accepted the lone dolphin. Among several theories presented in an upcoming paper in Aquatic Mammals describing the scientists' observations, they propose that the dolphin may have been regarded as nonthreatening and that it was accepted by default because of the way adult sperm whales "babysit" their calves.

Sperm whales alternate their dives between group members, always leaving one adult near the surface to watch the juveniles. "What is likely is that the presence of the calves—which cannot dive very deep or for very long—allowed the dolphin to maintain contact with the group," Wilson said.

Wilson doesn't believe the dolphin approached the sperm whales for help in protecting itself from predators, since there aren't many dolphin predators in the waters surrounding the Azores.

But Francis was not so quick to discount the idea. "I don't buy that there is no predator in the lifelong experience of the whales and dolphins frequenting the Azores," he said.

He suggested that it could be just as possible that the sperm whales accepted the dolphin for added protection against their own predators, like the killer whale (Orcinus orca), while traveling. "They see killer whales off the Azores, and while they may not be around regularly, it does not take a lot of encounters to make [other] whales defensive," he said.


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OPM plans to shake up charity program raise concerns about reduced donations



One rule under review by the Obama administration would “eliminate the use of cash, check and money order contributions. Instead, all donations will be required to be made through electronic means.”


This could “streamline the operations,” as proposed rules from OPM suggest, but whether it also would “increase the effectiveness of the program to ensure its continued growth and success” is questionable.

The reason: In 2011, the last year for which OPM data are available, just 22 percent of the money pledged was donated electronically. Moreover, 88.4 percent of the donors did not make electronic contributions.

So, a move to electronic-only donations would seem to put CFC at risk of losing a majority of its donors. The proposal worries executives of some charitable organizations, even as they welcome other sections of the plan.

Federal employees contribute through the CFC to various charities. Donations exceeded $272 million in 2011. That’s a lot of money, but it represents a drop of almost $10 million from 2009, the high point.

An OPM spokeswoman said the agency does not comment on rules under review. In the 53-page document that contains the proposed regulations, however, OPM Director John Berry wrote:

“These proposed changes will introduce efficiencies and cost savings into the CFC by leveraging technology that was not widely available just a few years ago. They will make the CFC more efficient, more transparent, more accountable and more relevant to Federal, Postal and military service personnel who want to make the biggest impact with their donations.”

Scott Jackson, chief executive of Global Impact, said electronic giving can save $14 a pledge, by reducing processing costs.

“That’s very, very powerful,” he added. How the change to electronic-only contributions might effect donations presents “important issues to work through,” he said. Global Impact administers the overseas campaign of the CFC.

Those issues leave Stephen M. Delfin “highly concerned.” He is president and chief executive of America’s Charities, a group that works with CFC organizations. Delfin said he is worried that the rules, previously reported by the Federal Times, could result in lower donations.

“You have to be careful,” he said. “Technology is not a panacea.”

Marshall Strauss, chief executive of the Workplace Giving Alliance, a consortium of CFC federations, agreed. Although he thinks “electronic donations are an excellent addition to the campaign,” he said he worries that relying solely on that “may dramatically reduce the number of people giving and the overall receipts of the campaign. Many thousands of people prefer to give by check or even cash, and we would hope the government would preserve these options.”

In addition to electronic-only giving, Delfin and others have concerns about a proposal to eliminate 184 local CFC committees in favor of fewer and larger regional panels.

This would require “a reduced number of Federal personnel for oversight purposes,” according to the plan.

But it also would diminish the sense of community that charitable leaders say is crucial in motivating individuals to give.

Dumping the local committees will shrink the “person-to-person feeling of the campaign, which is very, very important,” said Kalman Stein, president and CEO of EarthShare, which was recently selected to administer the Combined Federal Campaign of the National Capital Area.

Stein said that he doesn’t think OPM understands “how critical that local component is” and that he is “very concerned the campaign will decline precipitously” if the Local Federal Coordinating Committees are eliminated.

“Our history shows that more consolidation leads to less donations,” said Stein, who, along with Strauss, was a member of the CFC-50 Commission. The commission, formed in 2011 to mark CFC’s 50th anniversary, issued a report last year. A number of its recommendations were incorporated into OPM’s proposals.

But Stein said consolidating the local committees into regional ones would go “way beyond the commission’s recommendations.”

The commission said its 24 recommendations were designed to further encourage a “history of giving” by federal employees, who have “set the standard for workplace giving to charitable organizations.”

But the recent decrease in donations “is a cause for concern,” the report said.

Now there is concern that parts of the OPM plan could make the situation worse.

Previous columns by Joe Davidson are available at wapo.st/JoeDavidson.

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Keppel Corp's net profit falls 22% on-year in Q4






SINGAPORE: Falling margins from building oil rigs has hit the bottomline of Keppel Corp.

Net profit for the world's leading rig builder fell 22 per cent on-year to S$305 million in the fourth quarter last year.

Still, full year profit for the conglomerate came in 15 per cent to S$2.24 billion.

Despite lower net profit in the three months ended Dec 31, Keppel Corp still declared a final dividend of 27 cents per share.

As part of its 45th anniversary, Keppel Corp is handing out more goodies to its shareholders.

The company has proposed to distribute one Keppel REIT unit for every five Keppel Corp shares.

That is about 27.4 cents per share based on Keppel REIT's closing price of S$1.37 on Thursday.

Together with the interim dividend of 18 cents, total distribution for 2012 will be 72.4 cents per share.

Keppel Corp said the lower net profit was partly due to lower contributions from its offshore and marine unit.

Offshore and Marine's contribution was 12 per cent lower from a higher base in 2011 when margins were at record highs. It contributes to half of Keppel Corp's net profits.

"Keen rivalry from Chinese and Korean yards have suppressed prices and squeezed margins on newbuilds," said Choo Chiau Beng, chief executive officer at Keppel Corp. "In 2013, we will be completing a record of 22 newbuild units."

Analysts remained upbeat of Keppel's prospects going forward.

They say their financial results still outperformed market expectations.

Keppel Corp expects crude oil prices to stay above US$100 per barrel, supporting the need for more global exploration and production.

But global challenges like the slower US economy and the eurozone crisis from last year will continue to pose uncertainties for Keppel Corp's business.

Keppel Corp's property arm, led by the listed Keppel Land, boosted the group's earnings.

Net profit for the property division was 2.5 times higher than in 2011, offsetting the lower earnings from business in the offshore and marine, and infrastructure.

But Keppel Corp does not expect its property arm to perform better this year.

This is because recognition from sales of completed units at its development Reflections at Keppel Bay is expected to be lower this financial year.

- CNA/xq



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Union home minister Sushilkumar Shinde should be tried for sedition: Balbir Punj

BHOPAL: Journalist and Rajya Sabha BJP MP Balbir Punj on Thursday said that Union home minister Sushilkumar Shinde should be charged with sedition and tried for treason for his statement linking BJP-RSS to 'Hindu terrorism' at the recently held Jaipur Congress Conclave. Punj was in the Madhya Pradesh capital on Thursday to lead the BJP's protest here seeking Shinde's sacking from the post of the nation's home minister.

Blinded by vote-bank politics, the home minister has made a statement favouring Pakistan and feeding the anti-India propaganda machine. The home minister of the country making the statement in the presence of the entire UPA government is a dishonour to India. It is internationally known that terror is bred in Pakistan and exported to India,'' the Rajya Sabha MP said. Pakistan has so far denied having terror training camps in that country. Sushil Shinde spoke like he is the home minister of Pakistan and not of India. Going by the gravity of his crime, the government must try him for treason under the various sections of IPC,'' he added.

Attacking the UPA-Centre on its Hindu terror propaganda, Punj said that the NIA was arresting Indian nationals in connection with the Samjhauta Express blasts while the United States department of Treasury in a press note issued on July 1, 2009 specifically named Arif Qasmani, chief co-ordinator of the Lashkar-e-Tayyiba as the facilitator of the July 2006 Mumbai suburban train blasts and the February 2007 Samjhauta Express blasts.

While the government made a series of arrests to prove Hindus as terrorists, the UPA has done nothing to extradite Arif Qasmani and bring him to justice for the Samjhauta blasts. Instead they built a case to connect Hindus to terror to favour their political motives,'' Balbir Punj argued.

Punj quoted the US department of treasury press note which said: "Arif Qasmani is the chief coordinator for the Lashkar-e-Tayyiba's dealings with outside organisations and has provided significant support for LeT terrorist operations. Qasmani has worked with LeT to facilitate terrorist attacks, including the July 2006 train bombing in Mumbai, India and the February 2007 Samjhauta Express bombing in Panipat, India.''

The US treasury department press release mentioned how Qasmani was being funded by Dawood Ibrahim and how he provided logistics support to the Al Qaida.

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Deformed Dolphin Accepted Into New Family


In 2011, behavioral ecologists Alexander Wilson and Jens Krause of the Leibniz-Institute of Freshwater Ecology and Inland Fisheries in Germany were surprised to discover that a group of sperm whales (Physeter macrocephalus)—animals not usually known for forging bonds with other species—had taken in an adult bottlenose dolphin (Tursiops truncatus).

The researchers observed the group in the ocean surrounding the Azores (map)—about 1,000 miles (1,600 kilometers) off the coast of Lisbon, Portugal—for eight days as the dolphin traveled, foraged, and played with both the adult whales and their calves. When the dolphin rubbed its body against the whales, they would sometimes return the gesture.

Among terrestrial animals, cross-species interactions are not uncommon. These mostly temporary alliances are forged for foraging benefits and protection against predators, said Wilson.

They could also be satisfying a desire for the company of other animals, added marine biologist John Francis, vice president for research, conservation, and exploration at the National Geographic Society (the Society owns National Geographic news).

Photographs of dogs nursing tiger cubs, stories of a signing gorilla adopting a pet cat, and videos of a leopard caring for a baby baboon have long circulated the web and caught national attention.

A Rare Alliance

And although dolphins are known for being sociable animals, Wilson called the alliance between sperm whale and bottlenose dolphin rare, as it has never, to his knowledge, been witnessed before.

This association may have started with something called bow riding, a common behavior among dolphins during which they ride the pressure waves generated by the bow of a ship or, in this case, whales, suggested Francis.

"Hanging around slower creatures to catch a ride might have been the first advantage [of such behavior]," he said, adding that this may have also started out as simply a playful encounter.

Wilson suggested that the dolphin's peculiar spinal shape made it more likely to initiate an interaction with the large and slow-moving whales. "Perhaps it could not keep up with or was picked on by other members of its dolphin group," he said in an email.

Default

But the "million-dollar question," as Wilson puts it, is why the whales accepted the lone dolphin. Among several theories presented in an upcoming paper in Aquatic Mammals describing the scientists' observations, they propose that the dolphin may have been regarded as nonthreatening and that it was accepted by default because of the way adult sperm whales "babysit" their calves.

Sperm whales alternate their dives between group members, always leaving one adult near the surface to watch the juveniles. "What is likely is that the presence of the calves—which cannot dive very deep or for very long—allowed the dolphin to maintain contact with the group," Wilson said.

Wilson doesn't believe the dolphin approached the sperm whales for help in protecting itself from predators, since there aren't many dolphin predators in the waters surrounding the Azores.

But Francis was not so quick to discount the idea. "I don't buy that there is no predator in the lifelong experience of the whales and dolphins frequenting the Azores," he said.

He suggested that it could be just as possible that the sperm whales accepted the dolphin for added protection against their own predators, like the killer whale (Orcinus orca), while traveling. "They see killer whales off the Azores, and while they may not be around regularly, it does not take a lot of encounters to make [other] whales defensive," he said.


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N. Korea Vows More Nuke Tests Targeting U.S.













In a bellicose statement singling out the United States as the "sworn enemy" of the Korean people, North Korea today announced plans for a third nuclear test and continued rocket launches.


The move is seen as a disappointment to those who hoped the country's new leader, Kim Jong-Un, might take a less aggressive path than his predecessor and father, Kim Jong-il.


It is also seen as a direct challenge to President Obama and South Korea's newly elected president, Park Geun-hye, who takes office next month.


The statement from North Korea's National Defense Commission read:


"Settling accounts with the U.S. needs to be done with force, not with words as it regards jungle law as the rule of its survival."








North Korea Launches Missile After 4 Failed Attempts Watch Video









The renewed threats come in response to the U.S. backed resolution tightening sanctions against North Korea after its December rocket launch.


At that time, North Korea repeatedly insisted that the launch was simply part of its peaceful space program. The recent statement made no mention of that.


It read: "We are not disguising the fact that the various satellites and long-range rockets that we will fire and the high-level nuclear test we will carry out are targeted at the United States."


South Korean officials analyzed debris from the December launch that, they say, indicates North Korea built and tested crucial components for a missile that can fly further than 6,200 miles.


Analysts say that preparations at the Pungyee test site in northeastern North Korea are underway and that a new underground test could take place on short notice.


Within the international monitoring community it is not believed that North Korea currently has the capability to launch a long-range rocket with the capacity to reach the United States or the technology to mount a nuclear warhead on a long-range missile. But the U.S. is not pleased with North Korea's plans. Glyn Davies, the top U.S. envoy to the region, said in Seoul, "We hope they don't do it. We call on them not to do it."


China, North Korea's main ally in the region, is also urging restraint. China backed the U.S. resolution at the United Nations and today the Foreign Ministry cautioned North Korea not to take further steps to increase tension.



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Congress backtracks on Telangana deadline

NEW DELHI/HYDERABAD: Going back on its word to announce a solution to the Telangana problem by Jan 28, the Congress party Wednesday said "one month does not mean 30 days".

Dashing hopes of Telangana leaders, including those from its own ranks who were expecting a decision to carve out a Telangana state, the ruling party said a decision on the vexatious issue was not likely to be made by Jan 28.

"I don't think we should see it in a tight compartment. One month does not mean one month or 30 days. Tomorrow sometimes does not mean tomorrow morning," Congress general secretary Ghulam Nabi Azad said.

"One week does not mean seven days. Sometime it can be two weeks. This is a very important issue which we have to solve. We have been trying hard to resolve it as early as possible," said Azad, who is in charge of party affairs in Andhra Pradesh.

Azad's statement came after he and Union home minister Sushilkumar Shinde, minister of overseas Indian affairs Vaylar Ravi and Lok Sabha member Ahmed Patel met Congress president Sonia Gandhi.

Azad clarified that after the Dec 28 all-party meeting on Telangana, Shinde had only stated that the government would try to find a solution in a month.

The development came even as Telangana leaders, including state ministers and MPs, were camping in the national capital to lobby with the central leadership to keep its word and take a positive decision by Jan 28.

Some Congress leaders from Telangana said they were shocked by Azad's statement while others hoped that a decision would come anytime after Jan 28. Manda Jagannadham, a Congress MP from the region, said Azad's remarks would give credence to allegations that Congress always betrayed the cause of Telangana.

Earlier, after camping in the national capital for two days to lobby against division of the state, Congress leaders of Seemandhra (Rayalaseema and Andhra regions) had met President Pranab Mukherjee, Prime Minister Manmohan Singh and Congress leaders to impress upon them the need to keep the state united.

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The Promise and Perils of Mining Asteroids


Encouraged by new space technologies, a growing fleet of commercial rockets and the vast potential to generate riches, a group of entrepreneurs announced Tuesday that they planned to mine the thousands of near-Earth asteroids in the coming decades.

The new company, Deep Space Industries (DSI), is not the first in the field, nor is it the most well-financed. But with their ambition to become the first asteroid prospectors, and ultimately miners and manufacturers, they are aggressively going after what Mark Sonter, a member of DSI's board of directors, called "the main resource opportunity of the 21st century." (Related: "Asteroid Hunter to Be First Private Deep-Space Mission?")

Prospecting using miniaturized "cubesat" probes the size of a laptop will begin by 2015, company executives announced. They plan to return collections of asteroid samples to Earth not long after.

"Using low cost technologies, and combining the legacy of [the United States'] space program with the innovation of today's young high tech geniuses, we will do things that would have been impossible just a few years ago," said Rick Tumlinson, company chairman and a longtime visionary and organizer in the world of commercial space [not sure what commercial space means].

"We sit in a sea of resources so infinite they're impossible to describe," Tumlinson said.

Added Value

There are some 9,000 asteroids described as "near-Earth," and they contain several classes of resources that entrepreneurs are now eyeing as economically valuable.

Elements such as gold and platinum can be found on some asteroids. But water, silicon, nickel, and iron are the elements expected to become central to a space "economy" should it ever develop.

Water can be "mined" for its hydrogen (a fuel) and oxygen (needed for humans in space), while silicon can be used for solar power systems, and the ubiquitous nickel and iron for potential space manufacturing. (See an interactive on asteroid mining.)

Sonter, an Australian mining consultant and asteroid specialist, said that 700 to 800 near-Earth asteroids are easier to reach and land on than the moon.

DSI's prospecting spacecraft will be called "FireFlies," a reference to the popular science fiction television series of the same name. The FireFlies will hitchhike on rockets carrying up communication satellites or scientific instruments, but they will be designed so that they also have their own propulsion systems. The larger mining spacecraft to follow have been named "DragonFlies."

Efficiencies

It all sounds like science fiction, but CEO David Gump said that the technology is evolving so quickly that a space economy can soon become a reality. Providing resources from beyond Earth to power spacecraft and keep space travelers alive is the logical way to go.

That's because the most expensive and resource-intensive aspect of space travel is pushing through the Earth's atmosphere. Some 90 percent of the weight lifted by a rocket sending a capsule to Mars is fuel. Speaking during a press conference at the Santa Monica Museum of Flying in California, Gump said that Mars exploration would be much cheaper, and more efficient, if some of the fuel could be picked up en route. (Related: "7 Ways You Could Blast Off by 2023.")

Although there is little competition in the asteroid mining field so far, DSI has some large hurdles ahead of it. The first company to announce plans for asteroid mining was Planetary Resources, Inc. in spring 2012—the group is backed by big-name investors such as Google's Larry Page and Eric Schmidt, filmmaker James Cameron, and early Google investor Ram Shriram. DSI is still looking for funding.

Owning Asteroids

While these potential space entrepreneurs are confident they can physically lay claim to resources beyond Earth, there remain untested legal issues.

The United Nations Space Treaty of 1967 expressly forbids ownership of other celestial bodies by governments on Earth. But American administrations have long argued that the same is not true of private companies and potential mining rights.

While an American court has ruled that an individual cannot own an asteroid—as in the case of Gregory Nemitz, who laid claim to 433 Eros as a NASA spacecraft was approaching it in 2001—the question of extraction rights has not been tested.

Moon rocks brought back to Earth during the Apollo program are considered to belong to the United States, and the Russian space agency has sold some moon samples it has returned to Earth-sales seen by some as setting a precedent.

Despite the potential for future legal issues, DSI's Gump said his group recently met with top NASA officials to discuss issues regarding technology and capital, and came away optimistic. "There's a great hunger for the idea of getting space missions done with smaller, cheaper 'cubesat' technology and for increased private sector involvement."

Everyone involved acknowledged the vast challenges and risks ahead, but they see an equally vast potential—both financial and societal.

"Over the decades, we believe these efforts will help expand the civilization of Earth into the cosmos, and change what it means to be a citizen of this planet," Tumlinson said.


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Rajnath Singh to be next BJP president: TV reports

NEW DELHI: Former Uttar Pradesh chief minister Rajnath Singh is slated to be the next BJP president. TV reports say that the RSS has accepted the Rajnath's appointment.

According to TV reports, NitinGadkari has proposed Rajnath Singh's name for the post during the meeting at ArunJaitely's house.

Earlier, high drama unfolded in the BJP on the eve of election of a new party president with Yashwant Sinha procuring a nomination form.

Gadkari, who shared the stage at a party programme in Utan in Maharashtra with senior leader L K Advani, will reach the capital tonight. He will file his nomination papers tomorrow and is likely to be declared elected unopposed, party sources said.

Sinha created a flutter this evening when he procured a nomination form and voters' list from chief electoral officer, Thawar Chand Gehlot. Advani declined to answer newsmen's questions as to whether Sinha, a former Union minister, is in the race.

Confirming this, Gehlot said Sinha is the only person to have taken the form from him till now. However, he hastened to add that the forms are easily available on the party website and state headquarters of the BJP.

Earlier in the day, Mahesh Jethmalani said he is being denied a nomination form to prevent him from contesting.

Party veterans point out that despite all the pretence of an election of the BJP president, the stringent provisions of the party Constitution will make it difficult for the forms of Sinha and Jethmalani to be accepted.

A candidate for the BJP presidential poll should have been an active member of the party for 12 consecutive years and an ordinary member for 15 years. He would also need atleast 20 proposers each from five different state units, which adds upto 100.

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Attack at Algeria Gas Plant Heralds New Risks for Energy Development



The siege by Islamic militants at a remote Sahara desert natural gas plant in Algeria this week signaled heightened dangers in the region for international oil companies, at a time when they have been expanding operations in Africa as one of the world's last energy frontiers. (See related story: "Pictures: Four New Offshore Drilling Frontiers.")


As BP, Norway's Statoil, Italy's Eni, and other companies evacuated personnel from Algeria, it was not immediately clear how widely the peril would spread in the wake of the hostage-taking at the sprawling In Amenas gas complex near the Libyan border.



A map of disputed islands in the East and South China Seas.

Map by National Geographic



Algeria, the fourth-largest crude oil producer on the continent and a major exporter of natural gas and refined fuels, may not have been viewed as the most hospitable climate for foreign energy companies, but that was due to unfavorable financial terms, bureaucracy, and corruption. The energy facilities themselves appeared to be safe, with multiple layers of security provided both by the companies and by government forces, several experts said. (See related photos: "Oil States: Are They Stable? Why It Matters.")


"It is particularly striking not only because it hasn't happened before, but because it happened in Algeria, one of the stronger states in the region," says Hanan Amin-Salem, a senior manager at the industry consulting firm PFC Energy, who specializes in country risk. She noted that in the long civil war that gripped the country throughout the 1990s, there had never been an attack on Algeria's energy complex. But now, hazard has spread from weak surrounding states, as the assault on In Amenas was carried out in an apparent retaliation for a move by French forces against the Islamists who had taken over Timbuktu and other towns in neighboring Mali. (See related story: "Timbuktu Falls.")


"What you're really seeing is an intensification of the fundamental problem of weak states, and empowerment of heavily armed groups that are really well motivated and want to pursue a set of aims," said Amin-Salem. In PFC Energy's view, she says, risk has increased in Mauritania, Chad, and Niger—indeed, throughout Sahel, the belt that bisects North Africa, separating the Sahara in the north from the tropical forests further south.


On Thursday, the London-based corporate consulting firm Exclusive Analysis, which was recently acquired by the global consultancy IHS, sent an alert to clients warning that oil and gas facilities near the Libyan and Mauritanian borders and in Mauritania's Hodh Ech Chargui province were at "high risk" of attack by jihadis.


"A Hot Place to Drill"


The attack at In Amenas comes at a time of unprecedented growth for the oil industry in Africa. (See related gallery: "Pictures: The Year's Most Overlooked Energy Stories.") Forecasters expect that oil output throughout Africa will double by 2025, says Amy Myers Jaffe, executive director of the energy and sustainability program at the University of California, Davis, who has counted 20 rounds of bidding for new exploration at sites in Africa's six largest oil-producing states.


Oil and natural gas are a large part of the Algerian economy, accounting for 60 percent of government budget revenues, more than a third of GDP and more than 97 percent of its export earnings. But the nation's resources are seen as largely undeveloped, and Algeria has tried to attract new investment. Over the past year, the government has sought to reform the law to boost foreign companies' interests in their investments, although those efforts have foundered.


Technology has been one of the factors driving the opening up of Africa to deeper energy exploration. Offshore and deepwater drilling success in the Gulf of Mexico and Brazil led to prospecting now under way offshore in Ghana, Mozambique, and elsewhere. (See related story: "New Oil—And a Huge Challenge—for Ghana.") Jaffe says the Houston-based company Anadarko Petroleum has sought to transfer its success in "subsalt seismic" exploration technology, surveying reserves hidden beneath the hard salt layer at the bottom of the sea, to the equally challenging seismic exploration beneath the sands of the Sahara in Algeria, where it now has three oil and gas operations.


Africa also is seen as one of the few remaining oil-rich regions of the world where foreign oil companies can obtain production-sharing agreements with governments, contracts that allow them a share of the revenue from the barrels they produce, instead of more limited service contracts for work performed.


"You now have the technology to tap the resources more effectively, and the fiscal terms are going to be more attractive than elsewhere—you put these things together and it's been a hot place to drill," says Jaffe, who doesn't see the energy industry's interest in Africa waning, despite the increased terrorism risk. "What I think will happen in some of these countries is that the companies are going to reveal new securities systems and procedures they have to keep workers safe," she says. "I don't think they will abandon these countries."


This story is part of a special series that explores energy issues. For more, visit The Great Energy Challenge.


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