GARABAGH MEDIATORS FOLLOW UP ON CONTROVERSIAL STATEMENT

Assa-Irada, Azerbaijan
July 4 2006

Baku, July 3, AssA-Irada
The OSCE Minsk Group co-chairmen mediating settlement to the
Armenia-Azerbaijan Upper (Nagorno) Garabagh conflict on Monday issued
a statement to follow up on their latest remarks that caused a great
deal of debate.

"Taking into account recent speculation about the basic principles
for a peaceful settlement of the Garabagh conflict proposed to both
parties by the Minsk Group co-chairs, it is necessary to make the
following clarification," said the document released by the French
embassy in Baku.

"On June 22 the co-chairs reported to the OSCE Permanent Council on
the results of the past months of negotiations between the sides
on the Upper Garabagh conflict. They reported on their intensive
mediation activities over the past seven months aimed at achieving
agreement on the basic principles for a settlement.

"Throughout their mediation efforts, the co-chairs stressed the
confidence of their nations and of the international community that
the dispute can be resolved in no other way than a peaceful one".

The mediation efforts of the intermediaries resulted in the proposal
to Presidents Aliyev and Kocharian of a "set of fair, balanced, and
workable core principles that could pave the way for the two sides
to draft a far-reaching settlement agreement".

"The principles are based on the redeployment of Armenian troops from
Azerbaijani territories around Upper Garabagh, with special modalities
for Kalbajar and Lachin districts (including a corridor between
Armenia and Upper Garabagh), demilitarization of those territories
and a referendum or population vote — at a date and in a manner to be
decided through further talks — to determine the final legal status
of the region," the Minsk Group said.

"Suitable pre-conditions would have to be achieved for the vote
to take place in a non-coercive environment in which well-informed
citizens have had ample opportunity to consider their positions after
a vigorous debate in the public arena."

The mediators indicated that deployment of an international
peacekeeping force and a joint commission for implementation of the
agreement would be established, and international assistance would
be made available for demining, reconstruction, and resettlement of
IDPs in the occupied territories and the war-affected regions. The
MG said the sides would renounce the use or threat of use of force,
and international and bilateral security guarantees and assurances
would be put in place.

Touching on the most recent meeting between the two leaders in
Bucharest, the intermediaries said that unfortunately, the two did
not reach agreement on these principles. The co-chairs, however,
continue to believe that the proposals developed through the past
two years of negotiations "hold the best potential for achieving a
just and lasting settlement of the conflict".

"We strongly believe that it is now time for the two Presidents to
take the initiative for achieving a breakthrough in the settlement
process based on these principles, and stand ready to assist the
parties to conclude an agreement if the Presidents indicate they are
prepared to do so," the statement said.

"Although no additional meetings between the sides under the auspices
of the Co-Chairs are planned for the immediate future, they will be
ready to reengage if the parties decide to pursue the talks with the
political will that has thus far been lacking."