Looking for a moment beyond the Persian Gulf, we also see threats to global energy security in a host of other countries. It's impossible to cover all of them in the short time I have left, so let me just hit some of the highlights. In Algeria, Islamic militants are locked in a campaign of violence and terror against the military-backed regime and domestic population. Despite the turmoil, Algeria has made important strides toward increasing its oil and gas exports substantially in the next five years with the help of US and other Western companies. A resurgent militant movement or social explosion could disrupt Algeria's exports by creating political chaos or attacking the oil and gas infrastructure.
Instability is also possible next door in Libya.
We expect the Libyan leader Qadhafi would respond to any perceived threats to his hold on power with a broad campaign of repression that could temporarily disrupt Libyan oil production. Further clouding the picture is Libya's egregious international behavior. The United States continues to argue for stronger international sanctions to force Libya to comply with UN resolutions regarding the 1988 bombing of Pan Am 103 and an end to Libyan support for terrorism. Outside the Middle East, we are keeping close watch on events in Russia. Labor strikes in the petroleum sector in protest of unpaid wages and deteriorating working conditions hold the very real potential of disrupting Moscow's oil and gas exports.