Abdullah-al-Mehdaar was killed in a raid on a house in the remote province of shabwa. There are reports that the security forces arrested for other suspects in the raid. According to the security officers, Yemeni forces had surrounded the house, in a mountainous region, and exchanged fire with some 20 militants inside. The remaining militants escaped. According to a provincial governer, the dead militant had been one of the top al-Qaeda leaders in Yemen.
Yemen has stepped up its operations against al-Qaida with increased help from the US. Both the countries fear that al-Qaeda will capitalise on Yemen's instability to spread its operations around the surrounding area.
Earlier this week, President Barack Obama said he had "no intention" of sending US troops to Yemen or Somalia to combat militant groups in those countries.
Analysts say al-Qaeda militants have been moving to Yemen after coming under pressure in Afghanistan and Pakistan, and following a crackdown in Saudi Arabia.
Last week, Yemeni officials said another local al-Qaeda leader and two other militants had been arrested after being injured in a raid in the province.
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