New Somali President Abdulkassim Salat Hassan made peace with Somali warlord Hussein Mohamed Aidid here under the auspices of Libyan leader Muammar Gaddafi, the official Jana news agency said on Friday.

"After a series of meetings in Sirte, Aidid and the new Somali president made peace with each other and signed a national reconciliation agreement," Jana added.

The two men were then received by Gaddafi, who said Libya is ready to help rebuild Somalia. President Hassan was elected in Djibouti last month by members of a newly formed transitional assembly as Somalia's first head of state in nearly a decade. Somalia has lacked a central government since the 1991 overthrow of Moham

ed Siad Barre, and has been ruled by clan-based factions since then. Aidid had been among the majority of faction leaders who have vehemently rejected the entire Djibouti process.

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