— Pakistan: Going after al Qaida runs against the sovereignty of the nation, a nation with nuclear capability.

— Israelis and Palestinians: Negotiations are coming to a conclusion for the Bush administration. Secretary of State Condoleeza Rice says a peace agreement is necessary but won’t happen before Jan. 20.

— Iran: Can we use vigorous diplomacy to turn the Iranian situation around? What if Israeli bombers go after Iran?

— North Korea: The situation is ongoing.

How do we handle the evolving nations in Africa and South America? Lugar asked.

“South America is changing rapidly,” he said.

Lugar said he expected to meet with Bolivian President Evo Morales ("a populist, leftist”) next week.

“I see lots of unusual people and try to retain a relationship with other countries,” Lugar said.

The senator pointed out that the U.S. imports 70 percent of the oil it uses, “and we use a lot of oil. We use more every year.”

He said 90 percent of oil was controlled by governments.

“People with the oil are not very friendly. Dealing with (Venezuelan President Hugo) Chavez and (Russian Prime Minister Vladimir) Putin is not a pleasant experience.”

Reporters picked up on Obama’s call to Lugar, which set off speculation about his relationship to the incoming administration. For now, however, Lugar will help Obama in “my mentoring role,” as he said Obama characterizes him.