Suicide bombers in Saudi Arabia, spray painting their car to look like a police vehicle…

And driving to blow up a housing compound. This is al-Qaeda’s own video, shot to glorify their cause. They want to destroy Western power in the world – and any Muslim governments that support the West like Saudi Arabia’s.

Oil markets are scared. But the fact is that the militants have not yet come remotely close to disrupting oil production. This the Saudi Aramco camp, a fortress community of 10,000 oil company workers in the desert. There’s no danger of a damaging mass exodus of Westerners from the high-paying jobs and suburban comforts here. It's far more tightly guarded than the compounds 15 minutes away in al-Khobar which the militants managed to attack last weekend.

Security on actual oil facilities is even more robust. The security men won't let me show you, but the plant is surrounded by a double chain link fence. The death strip down the middle is patrolled night and day.

The militant attacks haven't even had much effect on the rest of the country, at least not yet. The economy is booming because of high oil prices and the six million foreigners who live and work here are showing no sign of rushing for the airport.

Fred Van Der Vyver moved his family here from South Africa just three months ago and is determined to stay.

FRED VAN DER VYVER, Computer Security Advisor:"I think we are safer here than we were in our home country. We don't have to worry about hijackings, muggings, rape, theft. Those things don't exist here. The biggest thing you've got to worry about here is being in a car crash, not a car bomb."

Although filmed just before the Khobar attack, Fred says he feels exactly the same today.

Mohsen Awajy is one of a group of Islamists who have been mediating between the government and the militants, contacting them through their families and trying to persuade them to stop fighting. Awajy talks up the success of the mediation, which the government denies is even happening.

MOHSEN AWAJY, Islamist lawyer:“I am quite optimistic that this violence will end in a matter of months. “We have succeeded in convincing tens of youngsters to be aware and to run away from the leadership of this gang and be positive members of their own society. But it doesn’t mean we are in full control of the arena. There are some of those leaders still resisting and objecting to our initiative.”

But even if the militants are being controlled, Saudi Arabia faces huge challenges. There's an underside to society here. Bag ladies in Jeddah's old market. Newspaper snippets about muggers on quad bikes and power cuts in Mecca. The population is growing at breakneck speed and even with the oil wealth, the government can't create enough jobs and services to keep up. Al-Qaeda feeds off the alienation.

Reformers like architect Sami Angawi say the lack of democracy and the dominance of the puritan, Wahhabi school of Muslim thought prevent Saudi Arabia dealing with its problems. Angawi's particular passion is the historical heritage of the holy cities of Mecca and Medina.

SAMI ANGAWI, Architect"There were 300 sites in Mecca and Medina related to the Prophet - between them are mountains, and houses, and mosques and places where the Prophet went and been with his Companions, and some related to the Companions, are totally gone. Only what is left is 5 and 10 per cent. The bulldozer became the main tool to plan.""This is one of them... Suddenly, over 48 hours, because the extremists, or the extreme way of thinking who do not accept anybody else except themselves, moved in and with bulldozers just eradicated the place totally."

Angawi pleads for the government to allow free debate and end the monopoly of the Wahhabi school of thought - not just to save the heritage of Mecca and Medina, but to cut the ground from under the violent militants.

In the women's section of a Jeddah newspaper, the features editor, Abeer Mishkhas, says some change is happening.

ABEER MISHKHAS, Arab News “I would say now that they are dealing with women's issues much more openly now. You read about how women's situation in life is not very good, what sort of obstacles are in front of them. You get to read that, you get to see it on TV, you read it in the papers. You hear about new laws coming in concerning women, how to make their work better, how to give them new chances and new jobs, new laws in their favour.

The official line is that the Royal Family does believe in reform, but at the right pace. Hashem Abdu Hashem edits the big Jeddah daily Okaz.

HASHEM ABDU HASHEM, Editor in Chief, Okaz "We must accept that there is a universal desire for reform, from the government, the leadership and the mass of people. But we detect the smell of other motives behind some of the demands, motives which do not serve the national interest."
People like Dr Hashem in the establishment say that with militants threatening Saudi Arabia's security, now is not the time to push for absolute monarchy to be replaced by elected government.

But reformers insist change is needed now. Bassim Alim is a lawyer who has helped to defend some of the dozen liberals jailed this year for speaking out. Three are still in prison and the rest had to agree not to talk to the media.

BASSIM ALIM, Lawyer “Only Allah knows where Saudi Arabia is going. I hope to God that our government will quickly see the light and go ahead with speedy reforms. The so called step by step reforms are not going to cut it in this day and age.”
So far, the Saudi Royal Family is more than surviving the threat from al-Qaeda. The oil is flowing, business is thriving and foreign workers are staying put. A much bigger shock to the monarchy was the sudden cooling of American friendship two years ago after it was shown that most of the 9/11 hijackers were Saudis. In the long run, though, stability in Saudi Arabia requires much more than dealing with al-Qaeda's violence. This is a society in fundamental change, and the House of Saud has not yet decided how to respond.
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