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* Islamic State battles official forces and rival Islamists (Adds clashes in two cities, air strikes, background)

JOHANNESBURG, Aug 12 (Reuters) - Wage negotiations between workers in South Africa's coal sector and the employers' body, the Chamber of Mines, reached deadlock on Wednesday and will now go to mediation.

GENEVA, Aug 12 (Reuters) - Warring factions in Libya ended two days of U.N.-sponsored talks in Geneva on Wednesday with a pledge to end the political crisis and military conflict in the country within weeks, a United Nations statement said.

BAGHDAD, Aug 12 (Reuters) - Iraq's prime minister accused corrupt politicians on Wednesday of plotting to sabotage his plan for sweeping reforms of the governing system, and warned leaders of powerful Shi'ite militias not to use their armed followers for political ends.

LONDON, Aug 12 (Reuters) - Britain's top share index was dragged lower on Wednesday by Unilever and mining companies after the fall in the value of China's currency pulled down metals prices.

LONDON, Aug 12 (Reuters) - Britain's top share index was dragged lower on Wednesday by Unilever and by mining companies after China's devaluation of the yuan pulled down metals prices.

Historically, utility networks and communications networks have had little in common.

* Croatian PM to give news conference at 1500 GMT (Adds comment from French firm)

ISLAMABAD, Aug 12 (Reuters) - Turkmenistan's national gas company has agreed to take a 51 percent stake in a consortium seeking to build a long-planned gas pipeline from Turkmenistan to Afghanistan, Pakistan and India, an official involved in the project said on Wednesday.

BEIJING, Aug 12 (Reuters) - Britain's top diplomat called for freedom of navigation and overflights in the disputed South China Sea on Wednesday but stopped short of criticising China, whose assertive territorial claims have unnerved some of its neighbours and the United States.

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