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Global Energy Advisory February 12th 2016

Politics, Geopolitics & Conflict

• Saudi Arabia continues to reel under the pressure of conflicts on its border and burgeoning geopolitical threats to its stability. Following suicide bombings the week before, earlier this week, seven Education Ministry workers were killed in the Al-Dair governorate of Jazan by a single gunman on a rampage. There is no indication that this is connected in any way to the Islamic State or to the conflict in Yemen, but the governorate is in the north, in the area that borders Yemen, and tensions have been mounting for some time. In October in the city of Jazan, another gunman opened fire in a bank, killed two and wounding two others. Jazan is one location in Saudi Arabia that is being targeted by missiles coming from across the border in Yemen. Earlier this week, the authorities claimed to have shot down a ballistic missile targeting the city.

• Tensions have significantly escalated between North and South Korea since Pyongyang carried out a nuclear test in January and then followed that with a long-range rocket launch last weekend. North Korea has now evicted all South Koreans from a jointly run industrial zone at Kaesong and taken control of all South Korean factory assets there. This was in retribution for South Korea’s announcement that it would be closing the complex, which Pyongyang has interpreted as a declaration of war. Kaesong is some six miles inside North Korea, which is now moving to put the area under…




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