Iraqi PM discusses energy, security in Turkey

ANKARA, Aug 7 (Reuters) Turkey today said it had agreed to expand energy cooperation with neighbouring Iraq and urged visiting Prime Minister Nuri al-Maliki to crack down on Kurdish separatist guerrillas operating out of his country.

But Turkish officials acknowledged Maliki's ability to deliver on agreements is limited by Iraq's dire security situation and by fresh turmoil in his crumbling government.

''Turkey and Iraq will build thermal power stations. Their number will be decided after bilateral talks but I can say one will be in Iraq and one will be in Turkey,'' Turkish Energy Minister Hilmi Guler told reporters.

The deal also includes enlarging and renovating electricity transmission lines and cooperation on oil exploration, he said.

Turkey is keen to invest in Iraq's lucrative energy sector.

Turkish construction and transport companies are also actively operating in the war-shattered Arab country.

But bilateral relations have been badly strained by the continued presence of Kurdistan Workers Party (PKK) rebels in mainly Kurdish northern Iraq.

NATO member Turkey has repeatedly urged US occupying forces and Iraqi government troops to tackle the rebels or risk a major Turkish incursion into northern Iraq.

Ankara has amassed large numbers of troops along its border with Iraq to try to deter the rebels crossing over.

But Maliki has little clout in the autonomous north, whose Kurdish leaders are loathe to turn against their ethnic kin.

Maliki and Turkey's Prime Minister Tayyip Erdogan were due to give a joint news conference later on Tuesday.

MALIKI WEAKENED Maliki is expected to promise cooperation on security and may agree to classify the PKK as a terrorist organisation.

But he has been further weakened this week by the defection of more ministers from his government. Some 17 ministers, or nearly half, have now quit or decided to boycott meetings.

''I expect Maliki at least to make a statement that will soothe Turkey ... But it will be in the form of recognising the PKK as a terrorist organisation and giving some promises rather than taking action,'' said Nihat Ali Ozcan of the Economic Policy Research Foundation of Turkey (TEPAV).

''The Iraq government does not have the power to take a decision and dictate it to the administration in northern Iraq.'' The head of northern Iraq's Kurdish administration, Massoud Barzani, has rejected Turkish demands to crack down on the PKK.

The United States and the Baghdad government have urged Ankara to avoid any military incursion into northern Iraq that could destabilise the most peaceful part of that country.

Erdogan and top Turkish army generals have refused to rule out military action, though they know this would not achieve the aim of destroying the PKK.

Military and political pressure on Erdogan to send troops into Iraq has to some extent subsided since his centre-right AK Party won re-election last month.

But with nationalists in the new parliament and continued PKK attacks on Turkish troops, he was expected to deliver a tough message to Maliki in order to deflect charges his government is weak on fighting terrorism.

Ankara blames the PKK for the deaths of more than 30,000 people since 1984 when the group launched its armed struggle for an ethnic homeland in southeast Turkey.

REUTERS AE MSJ RAI2130