By George Obulutsa
NAIROBI, June 22(Reuters) - Frontier Services Group (FSG)
0500.HK , co-founded by Erik Prince who created the U.S.
security firm Blackwater, said on Thursday it would provide
logistics, aviation and security services for a regional
development project in Somalia.
Hong Kong-listed FSG said the deal was signed with the Free
Zone Investment Authority of the South West State of Somalia,
one of the federal regions set up under efforts in the Horn of
Africa nation to rebuild its political structures and economy.
The president of the South West State region, Sharif Hassan
Sheikh Aden, said in a statement that the project was part of
the region's move to attract local and foreign investors.
Some investment has started returning to Somalia as it
recovers from two decades of conflict, but much has come from
Somali expatriates and most has focused on Mogadishu. Some
Turkish and other foreign firms are among the new investors.
"The project will include an integrated solution of
air-land-sea logistics capabilities and advanced security
management," FSG said in a statement about the deal.
South West State's plans include building a seaport,
airport, residential areas and setting up agricultural zones,
FSG said in its statement.
"We have brought together strong international business
leaders to team-up with talented Somali entrepreneurs to make
development in South West Somalia a reality," the regional
president said, according to the FSG statement.
He did not give details about costs or timelines.
The Free Zone Authority's website offered no further
information. The regional president's office could not be
reached for comment.
Many rural areas and small settlements in South West State,
which lies south of Mogadishu, are controlled by al Shabaab, an
al Qaeda-linked group which regularly launches attacks in its
bid to oust the nation's Western-backed, federal government.
The Lower Shabelle region, which also lies in South West
state, has also suffered clashes between two big, rival clans.
Prince, a former U.S. Navy Seal who is FSG's executive
chairman, founded U.S. military contractor Blackwater which drew
international criticism for its actions in Iraq. He later sold
Blackwater, which then changed its name.
(Additional reporting by Feisal Omar in Mogadishu; Editing by
Edmund Blair)
((george.obulutsa@thomsonreuters.com; Tel: +254 20 499 1232;
Reuters Messaging:
george.obulutsa.thomsonreuters.com@reuters.net))
Keywords: SOMALIA FRONTIER SERVICE/