In an exclusive interview held inside one of several tents at the compound bombed by the U.S. military in 1986, Libyan leader Moammar Gaddafi revealed last week that Libyan intelligence has provided information to the United States about al-Qaida.

The 60-year-old strongman made it clear that he would like an end to U.N. sanctions against his country, which the State Department continues to list as one of seven nations that sponsor terrorism.

During the 90-minute talk with Newsweek-Washington Post’s Lally Weymouth, Gaddafi denounced the proposed U.S.-led overthrow of Saddam Hussein, while making clear that he did not care for Saddam.

Excepts:

In the 1980s, you heavily backed terrorist groups. Since then, you expelled Abu Nidal and reportedly have backed off terrorism. Is this so?

I supported liberation, not terrorist movements: I supported (Nelson) Mandela and Sam Nujomo, who became president of Namibia. I also supported the liberation movements of Palestine.

Now they go to the White House and are given the red-carpet treatment. But I am still considered a terrorist. I wasn’t wrong when I supported Mandela and the liberation movements. If colonialism came back to these countries, I would back liberation movements again.

Q: One U.S. concern is that Libya is stockpiling chemical weapons and manufacturing other weapons of mass destruction. Are you?

A: Libya has signed all conventions that prohibit the manufacture of such weapons. The International Atomic Energy Agency has routine inspections in Libya.

Q: Would you like to have nuclear weapons?

A: They are of no use to us, and we don’t have enough money to manufacture weapons of mass destruction.

Q: What do you think of the U.S. approach to Iraq?

A: The issue of Iraq is a strange story. It takes us to the boundary of irresponsibility. What is the danger Saddam poses?

Q:Is he rational?

A: I don’t think so. But even if he is not rational or wise, he does not constitute a threat.

Q: But President Bush thinks he does.

A: We don’t know who poses a greater threat — the American president or Saddam Hussein.

Q: On what do you disagree with Saddam?

A: Over the war he waged against Iran, over his invasion of Kuwait and on the Kurdish issue. I have supported the Kurds.

Q: There have been reports that you will grant Saddam’s family shelter.

A: Neither he nor his family will leave Iraq. He will stay if anyone comes to attack his country. America has the military capability, so there is no safe haven anywhere.

Q: What’s your opinion of (Osama) bin Laden?

A: I don’t agree with him, but in the Islamic world today, bin Laden has become a prophet, and all the young people like him.

Q: Are you providing U.S. and other intelligence agencies with information on al-Qaida?

A: Intelligence agencies in Libya and in the U.S. are exchanging information. There are Libyan terrorists in America and in Britain. Before September 11, the American intelligence service did not realize that they were terrorists. They projected themselves as just opponents of Gaddafi, but they are members of the Muslim Brotherhood and other Islamic extremist groups. Now through cooperation between the respective agencies, both the U.S. and Britain have discovered the truth.

Q: Your son said recently that Libya should reconsider its cooperation with the West on al-Qaida. Do you agree?

A: No, our cooperation in fighting terrorism is irrevocable. It’s a must.

Q: What is your hope for future Libyan-U.S. relations?

A: I am optimistic. There are so many American companies eager to come here — whether in oil or other sectors. During the time of wars of liberation, we waged war. Now it is time for peace, and I want to be part of world peace.