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Egypt’s hated President Hosni Mubarak has quit as head of the country’s ruling party.

Other leaders, including Mubarak’s son Gamal and secretary-general Safwat el-Sharif, have also resigned in a gesture to anti-government protesters occupying Tahrir Square in Cairo. Thousands of demonstrators have occupied the square for 12 days, vowing to stay until Mubarak steps down as president.

Earlier, the military surrounded the square, but soldiers continued to let people join the growing rally. This morning, a gas terminal was blown up in the country’s northern Sinai Peninsula, starting a massive fire that could be seen dozens of miles away.It is believed the attack was part of on-going protests against President Hosni Mubarak’s regime.

Meanwhile, US Secretary of State Hillary Clinton warned the Middle East faces a “perfect storm” of unrest, with the looming risk of even greater instability. In a speech to a Munich security conference, she said: “The region is being battered by a perfect storm of powerful trends. “This is what has driven demonstrators into the streets of Tunis, Cairo, and cities throughout the region. The status quo is simply not sustainable.”

No injuries were reported in the explosion, and the blaze was quickly brought under control after the gas flow was shut off.

The governor of the region, Abdel Wahab Mabrouk, said he suspected “sabotage”, but provided no details. Anti-government protesters have been demanding Mubarak’s removal from power for the past two weeks. The Sinai Peninsula, home to Bedouin tribesmen, has been the scene of clashes between residents and security forces.

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