East Timor president in critical condition

Residents in Dili reported the capital appeared calm and Gusmao said Ramos-Horta was in a stable condition after the attack in which a key rebel leader, Alfredo Reinado, was killed.

The president, who shared the 1996 Nobel Peace Prize with compatriot Bishop Carlos Belo for their non-violent struggle for East Timor’s independence from Indonesian occupation, was operated on by an Australian military medical team in Dili before being flown to Darwin in northern Australia for treatment.

"This is a serious attempt on a democratic state," Gusmao told a news conference. He later said that he had asked the acting president, deputy speaker of parliament Vicente Guterres, to impose a curfew in the capital until Wednesday.

An Australian medical official said Ramos-Horta, who was flown to Darwin on life support and in an induced coma, was stable but would undergo further surgery for two bullet wounds.

"He has wounds to the abdomen and lower chest. They are very serious wounds, particularly the chest injury is extremely serious," Dr Len Notaras, general manager of Royal Darwin Hospital, told Reuters.

"The next 24 to 48 hours will tell us about his progress. We are optimistic that the good surgical skills here...will mean he will have a good chance of recovery," Notaras said.

COORDINATED ATTACKS

The former Portuguese colony of almost 1 million people gained full independence in 2002 after a U.N. sponsored vote in 1999, which was marred by violence, ended more than two decades of brutal Indonesian occupation.

But East Timor has been unable to achieve stability.

Tensions rose this month after rebels loyal to rebel leader Reinado, who was blamed for Monday’s attacks, fired on Australian troops patrolling near Dili.

"Prime Minister Xanana is going to have to work very hard to ensure the government retains its cohesion. It’s a crisis now," said Damien Kingsbury, associate professor at Australia’s Deakin University.

Australian Prime Minister Kevin Rudd said he was "deeply shocked" by what appeared to be "coordinated attacks aimed at assassinating the democratically-elected leadership".

Rudd said he would visit East Timor later in the week to inspect security after a request from Gusmao.

Australia plans to send around 200 quick reaction troops immediately to the fledgling nation, along with 50 to 70 police.

New Zealand, which has more than 200 soldiers and police in East Timor, was putting additional troops on standby, New Zealand Foreign Minister Phil Goff said.

International security forces in East Timor, led by around 800 Australian soldiers, had secured key buildings in Dili and increased patrols in the capital and across the country.

East Timor has been struggling to get back on its feet after the army tore apart along regional lines in 2006. The factional bloodshed killed 37 people and drove 150,000 from their homes, with foreign troops needed to restore order between warring neighbourhoods.

MEETING WITH REBELS

The motives for Monday’s attacks was not immediately clear.

Rebel leader Reinado had led a revolt against the government and was charged with murder during the 2006 factional violence.

But Ramos-Horta had met Reinado for talks as recently as January in an attempt to reach a deal with rebel forces in which they would give up arms in return for talks on outstanding grievances and legal issues, according to the mediation group, the Centre for Humanitarian Dialogue.

The military said attackers in two cars were involved in the early morning raid on the president’s isolated home, while a motorcade with Gusmao’s car was targeted, officials said.

"No one was wounded but Gusmao’s car was damaged by bullets," said the official, adding that Gusmao’s family had been taken to a military compound for protection.

Security analyst Alan Dupont, from Sydney think-tank the Lowy Institute, said the shooting would "destabilise East Timor further at a time when they looked to be recovering from the problems of the last 12-18 months."

The predominantly Roman Catholic country, slightly smaller than Hawaii, is one of Asia’s poorest nations, although it is strategically important for neighbours Australia and Indonesia, and has potentially lucrative oil and gas reserves.

(Additional reporting by Adhityani Arga and Muklis Ali in Jakarta, Rob Taylor in Canberra and Michael Perry in Sydney; Writing by Ed Davies and Sara Webb; Editing by Sanjeev Miglani)