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Halliburton Employee
Killed In Iraq
First US Government Contractor Killed In Iraq

By Joshua Chaffin in Washington
The Financial Times
8-5-3

An employee of Halliburton, the Houston-based oilfield service company, became the first US government contractor to be killed in Iraq on Tuesday when the truck he was riding in struck an anti-tank mine north of Tikrit.
 
The death highlighted the continued instability of Iraq and the dangers it poses for the civilian contractors the US military is relying on to rebuild the country and support its own operations.
 
Kellogg Brown & Root, a Halliburton division, said the employee was on a routine mail run between central and northern Iraq when the truck was attacked.
 
The employee, whose name was withheld, was treated at the scene by army medics then transported to a nearby hospital, where he was pronounced dead. Two other employees in the convoy were not injured, KBR said.
 
It was unclear on Tuesday whether the assailants intentionally targeted private contractors, or if the attack was random.
 
"It confirms what we have thought for a long time - even though the guerrilla resistance has primarily targeted US military convoys, it also poses a significant risk for civilian contractors," said Josh Mandel, a senior Middle East analyst at Control Risks Group, a business risk consultancy that recently opened an office in Baghdad.
 
Companies around the world looked to the reconstruction of Iraq as an historic business opportunity potentially worth tens of billions of dollars.
 
But the excitement has faded amid concerns about the security situation on the ground. More than 50 US soldiers have been killed since President George W. Bush declared the end of major combat operations in May.
 
Control Risks Group and other security consultancies have warned companies about a range of potential dangers - from the country's lawless roads to criminal gangs and guerrilla insurgents.
 
A Sri Lankan man working for the Red Cross was killed in Iraq last month when his car was fired on by attackers near Hilla.
 
Halliburton, which was headed from 1995 to 2000 by US vice-president Dick Cheney, is one of the largest private contractors in Iraq.
 
The company does everything from erecting forward bases to delivering soldiers' mail under an open-ended support contract known as Logcap III, awarded by the army. Halliburton also won a separate Pentagon contract to perform emergency repairs to the country's oil infrastructure.
 
The Defense Department has increasingly relied on the private sector for such tasks because it believes it can complete them at lower cost while allowing the military to focus on core operations.
 
Halliburton said on Tuesday the safety of employees was a top priority, but declined to discuss specific security arrangements in Iraq.
 
 
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