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LV Israeli flag ZOOM BACK TO SHOW people walking around settlement with troops looking on (2 shots)
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SVs Crowd, including some in Arab dress, and army officers seated during inauguration ceremony (2 shots)
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CU Girls in audience applauding (2 shots)
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SV Settlement leader speaking to crowd (2 shots)
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LV Soldiers standing beneath Israeli flag ZOOM BACK TO SHOW Arabs seated in crowd during ceremony
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GV Audience listening to another speaker (3 shots)
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SV Group of musicians and dancers perform as crowd watches
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Script is copyright Reuters Limited. All rights reserved

Background: Israel formally opened its 27th settlement on the North Golan Heights on Monday (4 September) and promised to continue to populate the territory captured from Syria in the 1967 war.

SYNOPSIS: This newest kibbutz -- called Ortez -- was begun about six months ago. As with most of these so-called "front line" settlements, the day-to-day activities are carried out under the protection of troops.

The kibbutz was dedicated at a small ceremony attended by local people as well as the new settlers who are mostly army veterans with their families, and former city dwellers. They gave an enthusiastic reception to government officials who promised to maintain the present pace of Israeli development in the occupied lands.

Israeli plans for settlement on the Golan Heights have been pushed into the background during the past year as Prime Minister Menachem Begin's government concentrated on the Jewish settlement of the West Bank of the Jordan which was also taken in 1967.

Jewish settlements have been one of the stumbling blocks for the Israeli-Egyptian peace negotiations, and one of the key issues to be discussed at the talks between Mr. Begin, Egypt's President Sadat and President Carter which are taking place at the moment at Camp David in Maryland.