Michael Jackson to record new album in Bahrain

Michael Jackson is getting back into the recording studio and plans to release a new album next year, according to a record label in Bahrain.

2 Seas Records announced Tuesday that it had signed an exclusive recording deal with the internationally known pop star, with an album tentatively scheduled for release in late 2007. The record label is owned by Sheik Abdulla bin Hamad Al Khalifa, the son of Bahrain's king, Sheikh Hamad bin Isa Al Khalifa.

"I am incredibly excited about my new venture and I am enjoying being back in the studio making music," Jackson said in a statement.

The label is also purportedly set to release Jackson's Hurricane Katrina benefit single I Have This Dream.

Jackson's last album of new material, Invincible, was released in 2001.

Problems followed Jackson to Bahrain

Shortly after being acquitted of child molestation charges in California last June, the 47-year-old singer moved to Bahrain with his three children.

However, he has been plagued by financial problems and lawsuits.

Last week, a statement from Jackson's representatives in the Persian Gulf state said he has restructured his finances with help from Sony Corp., with whom the singer shares ownership of the famed and lucrative ATV/Sony song catalogue, which includes more than 200 Beatles titles.

Details of the new financing from New York's Fortress Investment Group were not disclosed. However, during his trial last year, it was revealed that Jackson had accumulated a massive debt from years of extravagant living.

Last month, Jackson was forced to lay off most of his staff and shutter his California estate known as Neverland Ranch, after state officials found he owed employees back wages and had let his insurance lapse.

Prescient Capital, a company that said it helped Jackson secure the Fortress financing, has sued the singer for breach of contract, accusing him of failing to pay millions in financial consulting fees.

Last year, the estate of late Beatle George Harrison sued ATV/Sony for allegedly withholding millions of dollars in unpaid royalties from songs that Harrison wrote.