Fourth Norwegian dead in Algeria hostage crisis: Statoil

OSLO: Norwegian oil and gas company Statoil on Saturday confirmed the death of a fourth Norwegian employee at the In Amenas gas plant hostage-taking in Algeria this month.

"Today Statoil received the sad news that one more of our dear and highly valued colleagues who has been missing since the terrorist attack at In Amenas in Algeria is now confirmed dead," the group said in a statement.

Statoil identified the man as 43-year-old Alf Vik and said that one other Norwegian working on the site at the time of the attack by Islamist militants on January 16 is still missing.

The Norwegian foreign ministry said on Friday it was "unlikely" the missing man would be found alive.

The updated toll comes after the company on Friday confirmed the death of three other Norwegian employees at the site, including the stepfather of a government minister.

The three victims were identified as Hans Bjone, 55, Thomas Snekkevik, 35, and Tore Bech, 58, who is married to International Development Minister Heikki Holmaas' mother.

According to preliminary estimates by the Algerian authorities, 37 foreign hostages and 29 kidnappers died in the Islamist attack against the gas field and in the military operation that followed.

The hostage-takers were demanding the release of Islamist prisoners and an end to France's intervention in Mali.

- AFP/jc

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At his Republic Day reception, President Pranab gives tradition a break

NEW DELHI: As a pleasant winter sun shone on the manicured lawns of the magnificent Rashtrapati Bhavan, President Pranab Mukherjee mingled with dignitaries at a reception he hosted here Saturday, and in a break from tradition, walked up to the guests and exchanged greetings with them.

At the traditional reception, or " At Home", the President hosts on the occasion of Republic Day, Mukherjee did away with protocol as he ambled along among the guests on the lawns of Rashtrapati Bhavan, exchanging "namastey" and even shaking hands with some.

"Sir, your speeches are really nice," the IANS correspondent told the President, to which he smiled, and said "Thank you!".

Many guests introduced themselves and their spouses to the President, who smilingly accepted the greetings from the excited gathering as his splendidly liveried guards tried politely to keep the people from coming too close.

In another break from tradition, the reception saw Bangla tunes being played by the band.

Two of Nobel laureate Rabindranath Tagore's compositions "Anondo Loke Mongola Loke" and "Gram Chara Oi Ranga Mati" formed a delightful background music as President Mukherjee chatted with his special guests — the King of Bhutan Jigme Khesar Namgyel Wangchuck and his young and beautiful wife Jetsun Pema.

Maroon dahlias, pansies and roses were in full bloom in the neat beds bordering the lawns, while gladioli were bunched together in bouquets in huge brass pots, adding colour to the serene surroundings as the President chatted with Prime Minister Manmohan Singh and his wife Gursharan Kaur and former President APJ Abdul Kalam.

The President's wife, Suvra Mukherjee, who was brought in a wheel chair, appeared to enjoy the Bangla tunes, tapping her fingers to "Anondo Loke, Mongola Loke", and chatting with Gursharan Kaur.

Vice-President Hamid Ansari, United Progressive Alliance chairperson Sonia Gandhi, Lok Sabha speaker Meira Kumar and Bharatiya Janata Party leader LK Advani and his wife among others exchanged greetings with one another. They also went on to mingle with the dignitaries, including foreign envoys and their spouses.

President Mukherjee went up to Advani and spoke with him.

Matar aaloo samosas, chilli paneer, plum cake, patties, pastries, Caribbean delight made of fish were among the snacks on offer, as women, mostly attired in elegant saris, and men in suits, tucked in and watched the proceedings.

Red liveried Presidential guards, with their gold-red turbans brought tray loads of the snacks for the President and the other dignitaries, including the Bhutan king, who were seated under an umbrella-shaped marquee. All around the massive garden, snack stalls were set up for the other guests.

President Mukherjee, a few months after he was sworn in last July, had issued an order doing away with the colonial era of addressing the President as "His Excellency".

He had also directed authorities to organize government functions for him within Rashtrapati Bhavan premises in order to avoid inconveniencing the public.

Last month, in an effort to make Rashtrapati Bhavan more accessible to the public, Mukherjee directed that it be opened for public viewing on Sundays and for increased hours.

An online system of booking for tours of Rashtrapati Bhavan has also been launched.

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CDC: Flu seems to level off except in the West

New government figures show that flu cases seem to be leveling off nationwide. Flu activity is declining in most regions although still rising in the West.

The Centers for Disease Control and Prevention says hospitalizations and deaths spiked again last week, especially among the elderly. The CDC says quick treatment with antiviral medicines is important, in particular for the very young or old. The season's first flu case resistant to treatment with Tamiflu was reported Friday.

Eight more children have died from the flu, bringing this season's total pediatric deaths to 37. About 100 children die in an average flu season.

There is still vaccine available although it may be hard to find. The CDC has a website that can help.

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CDC: http://www.cdc.gov/flu/

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Anonymous Hijacks Federal Website Over Reddit Co-Founder's Suicide

Jan 26, 2013 12:27pm

(AP Photo)

Activists from the hacker collective known as Anonymous assumed control over the homepage of a federal judicial agency this morning.

In a manifesto left on the defaced page, the group demanded reform to the American justice system and what the activists said are threats to the free flow of information.

The lengthy essay largely mirrors previous demands from Anonymous, but this time the group also cited the recent suicide of Reddit co-founder and activist Aaron Swartz as has having “crossed a line” for their organization. Swartz was facing up to 35 years in prison on computer fraud charges.

Prosecutors said he had stolen thousands of digital scientific and academic journal articles from the Massachusetts Institute of Technology with the goal of disseminating them for free.

Read More: Aaron Swartz’ Death Fuels MIT Probe, White House Petition to Oust Prosecutor

Anonymous says Swartz was “killed because he was forced into playing a game he could not win — a twisted and distorted perversion of justice — a game where the only winning move was not to play.”

“There must be a return to proportionality of punishment with respect to actual harm caused,” it reads, also mentioning recent arrests of Anonymous associates by the FBI.

In their statement, the hackers say they targeted the homepage of the Federal Sentencing Commission for “symbolic” reasons.

The group claimed that if their demands were not met they would release a trove of embarrassing internal Justice Department documents to media outlets. Anonymous named the files after Supreme Court justices and provided hyperlinks to them from the defaced page.

As of press time the commission’s site had been taken offline but an earlier attempt by CNN to follow the files’ links yielded dead-ends, mostly offline sites.

The file names use an “.aes256″ suffix, denoting a common encryption protocol. The same system was used to encrypt the Wikileaks Afghan war documents before their release.

SHOWS: Good Morning America World News

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Violence flares on anniversary of Egypt uprising

CAIRO/ALEXANDRIA, Egypt (Reuters) - On the second anniversary of the uprising that toppled Hosni Mubarak, demonstrators clashed with police during protests across Egypt against the Islamist president they accuse of betraying the revolution.

At least 186 civilians and 45 security personnel were injured, officials said.

Thousands of opponents of President Mohamed Mursi and his Muslim Brotherhood allies massed in Cairo's Tahrir Square - the cradle of the revolt against Mubarak - to rekindle the demands of a revolution they say has been hijacked by Islamists.

Street battles erupted in Cairo, Alexandria, Suez and Port Said. Arsonists attacked at least two state-owned buildings as symbols of government were targeted. An office used by the Muslim Brotherhood's political party was also torched.

The January 25 anniversary laid bare the divide between the Islamists and their secular rivals. This schism is hindering Mursi's efforts to revive an economy in crisis and reverse a plunge in Egypt's currency by enticing back investors and tourists.

Inspired by the popular uprising in Tunisia, Egypt's revolution spurred further revolts across the Arab world. But the sense of common purpose that united Egyptians two years ago has given way to internal strife that last month triggered bloody street battles.

"Our revolution is continuing. We reject the domination of any party over this state. We say no to the Brotherhood state," Hamdeen Sabahy, a popular leftist leader, told Reuters.

The Brotherhood decided against mobilizing for the anniversary, wary of the scope for more conflict after December's violence that was stoked by Mursi's decision to fast-track an Islamist-tinged constitution rejected by his opponents.

The Brotherhood denies accusations that it is seeking to dominate Egypt, labeling them a smear campaign by its rivals.

STONE-THROWING YOUTHS

Before dawn, police battled protesters who threw petrol bombs and firecrackers as they tried to approach a wall blocking access to government buildings near Tahrir Square.

Clouds of tear gas filled the air. At one point, riot police used one of the incendiaries thrown at them to set ablaze at least two tents erected by youths, a Reuters witness said.

Skirmishes between stone-throwing youths and the police continued in streets around the square into the day. Ambulances ferried away a steady stream of casualties.

Protesters echoed the chants of 2011's historic 18-day uprising. "The people want to bring down the regime," they chanted. "Leave! Leave! Leave!" chanted others as they marched towards the square.

"We are not here to celebrate but to force those in power to submit to the will of the people. Egypt now must never be like Egypt during Mubarak's rule," said Mohamed Fahmy, an activist.

There were similar scenes in Suez and Alexandria, where protesters and riot police clashed near local government offices. Black smoke billowed from tires set ablaze by youths.

In Cairo, police fired tear gas to disperse a few dozen protesters trying to remove barbed-wire barriers protecting the presidential palace, witnesses said. A few masked men got as far as the gates before they were beaten back.

Tear gas was also fired at protesters who tried to remove metal barriers outside the state television building.

Outside Cairo, protesters broke into the offices of provincial governors in Ismailia and Kafr el-Sheikh in the Nile Delta. A local government building was torched in the Nile Delta city of al-Mahalla al-Kubra.

BADIE CALLS FOR "PRACTICAL, SERIOUS COMPETITION"

With an eye on parliamentary elections likely to begin in April, the Brotherhood marked the anniversary with a charity drive across the nation. It plans to deliver medical aid to one million people and distribute affordable basic foodstuffs.

Writing in Al-Ahram, Egypt's flagship state-run daily, Brotherhood leader Mohamed Badie said the country was in need of "practical, serious competition" to reform the corrupt state left by the Mubarak era.

"The differences of opinion and vision that Egypt is passing through is a characteristic at the core of transitions from dictatorship to democracy, and clearly expresses the variety of Egyptian culture," he wrote.

Mursi's opponents say he and his group are seeking to dominate the post-Mubarak order. They accuse him of showing some of the autocratic impulses of the deposed leader by, for example, driving through the new constitution last month.

"I am taking part in today's marches to reject the warped constitution, the 'Brotherhoodisation' of the state, the attack on the rule of law, and the disregard of the president and his government for the demands for social justice," Amr Hamzawy, a prominent liberal politician, wrote on his Twitter feed.

The Brotherhood says its rivals are failing to respect the rules of the new democracy that put the Islamists in the driving seat via free elections.

Six months into office, Mursi is also being held responsible for an economic crisis caused by two years of turmoil. The Egyptian pound has sunk to record lows against the dollar.

The parties that called for Friday's protests list demands including a complete overhaul of the constitution.

Critics say the constitution, which was approved in a referendum, offers inadequate protection for human rights, grants the president too many privileges and fails to curb the power of a military establishment supreme in the Mubarak era.

Mursi's supporters say enacting the constitution quickly was crucial to restoring stability needed for economic recovery.

(Additional reporting by Ahmed el-Shemi, Ashraf Fahim, Marwa Awad and Shaimaa Fayed in Cairo and Yousri Mohamed in Ismailia; Writing by Tom Perry; Editing by Robert Woodward)

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Libya PM says 'exaggeration' over Benghazi threat alert

DAVOS: Libyan Prime Minister Ali Zeidan said Friday that Western nations had exaggerated by urging their citizens to leave the city of Benghazi due to a specific and imminent threat to Westerners.

Britain, France, Germany, The Netherlands and Australia have all urged their citizens to leave the city due to the threat, linked to France's military intervention against Islamist rebels in neighbouring Mali.

"I think that there was exaggeration on behalf of some countries, who took some preventive measures and we can understand that," Zeidan told a panel at the World Economic Forum in the Swiss ski resort of Davos.

"But the reality is that these people of foreign nationality live very peacefully in Libya and there are security measures to protect them," he said.

Earlier, officials in Tripoli said the country had not been informed of the evacuation order or given information about the threat.

"There has been no formal notice to us from any other country of its intention to evacuate its citizens from the city of Benghazi," an interior ministry source was quoted as saying by Lana news agency.

"The Libyan deputy interior minister for security, Omar al-Khadrawi, contacted the British embassy in Tripoli to seek clarification on the statement released by the British Foreign Office but no response has been received," ministry spokesman Mejdi al-Arfi said, also quoted by Lana.

Deputy Interior Minister Abdullah Massud expressed "astonishment" at the warnings on Thursday, and said his government would demand an explanation.

"If Britain was afraid of threats to its citizens, it could have pulled them out quietly without causing all the commotion and excitement," Massud was reported to have said on Friday.

"The British Foreign Office statement sparked growing concerns by various diplomatic missions and foreign companies in Benghazi and led them to seriously consider leaving the city," Lana quoted him as saying.

Benghazi was the cradle of the uprising that ousted Moamer Kadhafi in 2011 and also the city where a US ambassador was killed in an attack last September.

The initial alert from London came after British Prime Minister David Cameron warned that last week's deadly attack on a gas complex in Algeria was only one part of what would be a "long struggle against murderous terrorists" around the world.

- AFP/jc

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Helpless India says will keep seeking David Headley's extradition

NEW DELHI: India seethed with impotent rage on Friday after Pakistani-American Dawood Gilani or David Coleman Headley was sentenced to 35 years of jail term for his role in planning of the 26/11 Mumbai attacks.

Foreign minister Salman Khurshid gave voice to the feeling that the punishment for the Pakistan-born American jehadi was not proportional to the enormity of his crime in mapping the target for 26/11 killers, saying that Headley would have got a tougher sentence if the trial had taken place in India. Reacting to Headley's sentencing by a US court, Khurshid said that India will continue to press for his extradition. "We would have wanted him to be produced in court here and face trial because we suffered the maximum damage from him. We will continue to strive to ensure that people like him are brought here and made to face trial because I believe that if the trial took place here, the punishment would have been even more serious," he said.

"We are a bit disappointed with the verdict. But we know that the judge also said that the punishment was limited because under their criminal justice system he (Headley) was entitled to enter into a plea bargain and evade death penalty and extradition," he added. "But we will continue to try and ensure that what we want and what we hope for finally happens," he said.

Union home secretary R K Singh was far more forthright in echoing the popular sentiment that Headley — as part of Lashkar's 26/11 plot — did a reconnaissance of potential targets for the jehadi gang who attacked Mumbai on 26/11, and, hence, deserves nothing short of a "death sentence". "Our view is that all those involved in 26/11 case should receive death penalty. That has been our consistent stand... We want death sentence for Headley and those who were involved in killing of 166 people in Mumbai. We will keep asking for his death sentence," Singh said.

Singh, however, did explain how that would be possible now when the US court had already given Headley a 35-year jail term, which was what the US prosecutors had demanded. Despite being aware of the impossibility of Headley's extradition to a foreign country in light of the conditions of conditions of Headley's plea bargain, Singh maintained that the terrorist should be tried in India. "We will continue to press for extradition of Headley. The agreement (not to extradite him to India) is between the US and Headley, not with India....Headley was involved not only in Mumbai conspiracy, but he also carried out reconnaissance in other places. Our request for his extradition stands," he said.

Asked about the involvement of operatives of Pakistan's ISI in the 26/11 case, the home secretary said India had given enough evidence to Pakistan on the perpetrators and it was the responsibility of the neighbouring country to bring all the conspirators to justice.

The BJP, too, demanded his immediate extradition. "We want him to be tried like Ajmal Kasab. No Indian can settle for less than death sentence for Headley...We demand from the government of India to bring Headley to India without delay as the crime was committed on Indian soil," party spokesperson Rajiv Pratap Rudy said here.

"The sentence handed down to Headley is perhaps for the death of six Americans killed on Indian soil. What about the other people killed across Mumbai in the ghastly act? BJP demands justice for them which is only possible when Headley is brought to India to be tried by our courts," he said.

A section within the government, however, believed that the cries for death penalty and extradition appeared to be quite unrealistic as these options are not there for India under the existing US legal procedure. Officials said that Headley's extradition was impossible under his plea bargain clauses.

"The American terrorist can be extradited only if he violates the provisions of the plea bargain, which he certainly won't. He will continue to cooperate with the US agency to avoid his extradition to either India or any other country", said an official. Sources also point out that Headley will be a ripe 87-year-old man by the time his sentence runs out, doubting whether India will gain substantially by seeking his extradition at that time.

Headley had pleaded guilty on all 12 counts, including his role in Mumbai terror attack only after getting such an assurance from the US agency. He, in lieu of this concession, had promised cooperation with US agency in all possible manners — whether it is providing information, being available for questioning or deposing through video-conferencing for any future case in India, Pakistan or any other country.

Since Headley won't be tried in India in the 26/11 case as an accused cannot be put in double jeopardy by trying him again for an offence for which he has already been convicted, India can at the most request the US to let him depose in some different case — like the NIA case — during trial via video-conferencing.

The NIA had in December, 2009, registered a case against both Headley and his accomplice Tahawwur Hussain Rana for their alleged involvement in a conspiracy to carry out terror attacks in other parts of the country, including the national Capital and Pune.

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Penalty could keep smokers out of health overhaul

WASHINGTON (AP) — Millions of smokers could be priced out of health insurance because of tobacco penalties in President Barack Obama's health care law, according to experts who are just now teasing out the potential impact of a little-noted provision in the massive legislation.

The Affordable Care Act — "Obamacare" to its detractors — allows health insurers to charge smokers buying individual policies up to 50 percent higher premiums starting next Jan. 1.

For a 55-year-old smoker, the penalty could reach nearly $4,250 a year. A 60-year-old could wind up paying nearly $5,100 on top of premiums.

Younger smokers could be charged lower penalties under rules proposed last fall by the Obama administration. But older smokers could face a heavy hit on their household budgets at a time in life when smoking-related illnesses tend to emerge.

Workers covered on the job would be able to avoid tobacco penalties by joining smoking cessation programs, because employer plans operate under different rules. But experts say that option is not guaranteed to smokers trying to purchase coverage individually.

Nearly one of every five U.S. adults smokes. That share is higher among lower-income people, who also are more likely to work in jobs that don't come with health insurance and would therefore depend on the new federal health care law. Smoking increases the risk of developing heart disease, lung problems and cancer, contributing to nearly 450,000 deaths a year.

Insurers won't be allowed to charge more under the overhaul for people who are overweight, or have a health condition like a bad back or a heart that skips beats — but they can charge more if a person smokes.

Starting next Jan. 1, the federal health care law will make it possible for people who can't get coverage now to buy private policies, providing tax credits to keep the premiums affordable. Although the law prohibits insurance companies from turning away the sick, the penalties for smokers could have the same effect in many cases, keeping out potentially costly patients.

"We don't want to create barriers for people to get health care coverage," said California state Assemblyman Richard Pan, who is working on a law in his state that would limit insurers' ability to charge smokers more. The federal law allows states to limit or change the smoking penalty.

"We want people who are smoking to get smoking cessation treatment," added Pan, a pediatrician who represents the Sacramento area.

Obama administration officials declined to be interviewed for this article, but a former consumer protection regulator for the government is raising questions.

"If you are an insurer and there is a group of smokers you don't want in your pool, the ones you really don't want are the ones who have been smoking for 20 or 30 years," said Karen Pollitz, an expert on individual health insurance markets with the nonpartisan Kaiser Family Foundation. "You would have the flexibility to discourage them."

Several provisions in the federal health care law work together to leave older smokers with a bleak set of financial options, said Pollitz, formerly deputy director of the Office of Consumer Support in the federal Health and Human Services Department.

First, the law allows insurers to charge older adults up to three times as much as their youngest customers.

Second, the law allows insurers to levy the full 50 percent penalty on older smokers while charging less to younger ones.

And finally, government tax credits that will be available to help pay premiums cannot be used to offset the cost of penalties for smokers.

Here's how the math would work:

Take a hypothetical 60-year-old smoker making $35,000 a year. Estimated premiums for coverage in the new private health insurance markets under Obama's law would total $10,172. That person would be eligible for a tax credit that brings the cost down to $3,325.

But the smoking penalty could add $5,086 to the cost. And since federal tax credits can't be used to offset the penalty, the smoker's total cost for health insurance would be $8,411, or 24 percent of income. That's considered unaffordable under the federal law. The numbers were estimated using the online Kaiser Health Reform Subsidy Calculator.

"The effect of the smoking (penalty) allowed under the law would be that lower-income smokers could not afford health insurance," said Richard Curtis, president of the Institute for Health Policy Solutions, a nonpartisan research group that called attention to the issue with a study about the potential impact in California.

In today's world, insurers can simply turn down a smoker. Under Obama's overhaul, would they actually charge the full 50 percent? After all, workplace anti-smoking programs that use penalties usually charge far less, maybe $75 or $100 a month.

Robert Laszewski, a consultant who previously worked in the insurance industry, says there's a good reason to charge the maximum.

"If you don't charge the 50 percent, your competitor is going to do it, and you are going to get a disproportionate share of the less-healthy older smokers," said Laszewski. "They are going to have to play defense."

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Online:

Kaiser Health Reform Subsidy Calculator — http://healthreform.kff.org/subsidycalculator.aspx

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Mars Rover Celebrates Milestone on Red Planet

It was never supposed to last this long. When the Mars rover Opportunity settled on the Martian surface nine years ago today, mission managers at NASA said they would be pleased if it lasted for 90 days.

Instead, it's been 3,201 days, and still counting. The rover has driven 22.03 miles, mostly at a snail's pace, from one crater to another, stopping for months at a time in the frigid Martian winters. The six motorized wheels, rated to turn 2.5 million times, have lasted 70 million, and are all still working.

"Opportunity is still in very good health, especially considering what it's gone through," said John Callas, manager of NASA's Mars Exploration Rover project. The surface of Mars is a pretty tough place; there can be temperature fluctuations of a hundred degrees each day. That's pretty hard on the hardware."

Video: '7 Minutes of Terror: A Landing on Mars

When Opportunity and its twin rover, Spirit, reached Mars in January 2004, there was a fair bit of sniping that NASA, with all that 90-day talk, was playing down expectations. It escalated when Steve Squyres of Cornell University, the principal investigator for the missions, said things like, "We're on Sol 300 of a 90-Sol mission." (A Sol is a day on Mars, and lasts 24 hours, 39 minutes.) Callas and others have insisted that the prediction was based on engineering, not a nod to public relations.

"There was an expectation that airfall dust would accumulate on the rover, so that its solar panels would be able to gather less electricity," said Callas. "We saw that on Pathfinder," a small rover that landed on Mars in 1997." The cold climate was also expected to be hard on the rovers' batteries, and changes in temperature from night to day would probably pop a circuit or two.

Instead, the temperatures weren't quite as tough as engineers had expected, and the rovers proved tougher. They did become filthy as the red Martian dust settled on them, reducing the sunlight on the solar panels -- but every now and then a healthy gust came along, surprising everyone on Earth by cleaning the ships off.

Click Here for Pictures: Postcards From Mars

Spirit, in hilly territory on the other side of the planet, finally got stuck in crusty soil in 2009, and its radio went silent the next year. But Opportunity, though it's had some close calls, is -- well, you remember those commercials about the Energizer bunny.

So what do you do with an aging rover on a faraway planet? You keep using it. In its first weeks, NASA said Opportunity found chemical proof that there had once been standing water on the surface of Mars -- good news if you're looking for signs that the planet could once have been friendly to life. Since then, it's been sent to other places, with rocks and soil that are probably older, and with clay that may have been left by ancient rivers.

About 20 NASA staff members still work full-time on Opportunity at the Jet Propulsion Laboratory in Pasadena, Calif. Another 60 split their time between Opportunity and other projects, such as the Curiosity rover that landed last August. About 100 scientists, doing research on Mars, pop in and out.

In a few months, Callas said, Opportunity will head to an area nicknamed Cape Tribulation. The clay there could be rich in the minerals suggestive of past life.

They haven't done much to mark the ninth anniversary or the 3,200th Martian day, just a get-together earlier this week during a previously scheduled science conference. After that, Callas said, it was back to work.

"It's like keeping your car going," he said, "without ever having a chance to change the oil."

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North Korea to target U.S. with nuclear, rocket tests

SEOUL (Reuters) - North Korea said on Thursday it would carry out further rocket launches and a nuclear test that would target the United States, dramatically stepping up its threats against a country it called its "sworn enemy".

The announcement by the country's top military body came a day after the U.N. Security Council agreed to a U.S.-backed resolution to censure and sanction North Korea for a rocket launch in December that breached U.N. rules.

North Korea is not believed to have the technology to deliver a nuclear warhead capable of hitting the continental United States, although its December launch showed it had the capacity to deliver a rocket that could travel 10,000 km (6,200 miles), potentially putting San Francisco in range, according to an intelligence assessment by South Korea.

"We are not disguising the fact that the various satellites and long-range rockets that we will fire and the high-level nuclear test we will carry out are targeted at the United States," North Korea's National Defence Commission said, according to state news agency KCNA.

North Korea is believed by South Korea and other observers to be "technically ready" for a third nuclear test, and the decision to go ahead rests with leader Kim Jong-un, who pressed ahead with the December rocket launch in defiance of the U.N. sanctions.

China, the one major diplomatic ally of the isolated and impoverished North, agreed to the U.S.-backed resolution and it also supported resolutions in 2006 and 2009 after Pyongyang's two earlier nuclear tests.

Thursday's statement by North Korea represents a huge challenge to Beijing as it undergoes a leadership transition, with Xi Jinping due to take office in March.

China's Foreign Ministry called for calm and restraint and a return to six-party talks, but effectively singled out North Korea, urging the "relevant party" not to take any steps that would raise tensions.

"We hope the relevant party can remain calm and act and speak in a cautious and prudent way and not take any steps which may further worsen the situation," ministry spokesman Hong Lei told reporters at a regular press briefing.

North Korea has rejected proposals to restart the talks aimed at reining in its nuclear capacity. The United States, China, Russia, Japan and the two Koreas are the six parties involved.

"After all these years and numerous rounds of six-party talks we can see that China's influence over North Korea is actually very limited. All China can do is try to persuade them not to carry out their threats," said Cai Jian, an expert on Korea at Fudan University in Shanghai.

Analysts said the North could test as early as February as South Korea prepares to install a new, untested president or that it could choose to stage a nuclear explosion to coincide with former ruler Kim Jong-il's Feb 16 birthday.

"North Korea will have felt betrayed by China for agreeing to the latest U.N. resolution and they might be targeting (China) as well (with this statement)," said Lee Seung-yeol, senior research fellow at Ewha Institute of Unification Studies in Seoul.

U.S. URGES NO TEST

Washington urged North Korea not to proceed with a third test just as the North's statement was published on Thursday.

"Whether North Korea tests or not is up to North Korea," Glyn Davies, the top U.S. envoy for North Korean diplomacy, said in the South Korean capital of Seoul.

"We hope they don't do it. We call on them not to do it," Davies said after a meeting with South Korean officials. "This is not a moment to increase tensions on the Korean peninsula."

The North was banned from developing missile and nuclear technology under sanctions dating from its 2006 and 2009 nuclear tests.

A South Korean military official said the concern now is that Pyongyang could undertake a third nuclear test using highly enriched uranium for the first time, opening a second path to a bomb.

North Korea's 2006 nuclear test using plutonium produced a puny yield equivalent to one kiloton of TNT - compared with 13-18 kilotons for the Hiroshima bomb - and U.S. intelligence estimates put the 2009 test's yield at roughly two kilotons

North Korea is estimated to have enough fissile material for about a dozen plutonium warheads, although estimates vary, and intelligence reports suggest that it has been enriching uranium to supplement that stock and give it a second path to the bomb.

According to estimates from the Institute for Science and International Security from late 2012, North Korea could have enough weapons grade uranium for 21-32 nuclear weapons by 2016 if it used one centrifuge at its Yongbyon nuclear plant to enrich uranium to weapons grade.

North Korea has not yet mastered the technology needed to make a nuclear warhead small enough for an intercontinental missile, most observers say, and needs to develop the capacity to shield any warhead from re-entry into the earth's atmosphere.

North Korea gave no time-frame for the coming test and often employs harsh rhetoric in response to U.N. and U.S. actions that it sees as hostile.

The bellicose statement on Thursday appeared to dent any remaining hopes that Kim Jong-un, believed to be 30 years old, would pursue a different path from his father, Kim Jong-il, who oversaw the country's military and nuclear programs.

The older Kim died in December 2011.

"The UNSC (Security Council) resolution masterminded by the U.S. has brought its hostile policy towards the Democratic Peoples Republic of Korea (North Korea) to its most dangerous stage," the commission was quoted as saying.

(Additional reporting by Christine Kim in SEOUL, Ben Blanchard and Sui-Lee Wee in Beijing; Writing by David Chance; Editing by Raju Gopalakrishnan and Ron Popeski)

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