Saudi security forces today ambushed a residential area in the capital Riyadh, suspected of being a hideout for one or more wanted militants.

Islamic militants threw explosives at the gate of the heavily-guarded US consulate in Jeddah in a bold assault, then forced their way into the building, prompting a gun battle that left seven people dead and several injured before the three-hour long crisis was brought under control.

The head of American hostage Paul Johnson, who was kidnapped and beheaded in Saudi Arabia last month, was found today by security forces during a raid on a hideout that left two militants dead.

Tens of European, US and other hostages were released today and a gunmen believed to be the lead Islamic militant holding them was arrested, a Saudi security official said, adding that two other gunmen were “in the process of being arrested”.