MOSCOW (Reuters) - Georgia’s defense minister said on Tuesday a coup plot had been uncovered within the military and a rebellion was under way at the Mukhrovani military base, 19 km (12 miles) from the capital.

The following is a snap analysis of the issues involved:

* Georgian Defense Minister David Sikharulidze said the coup plot was aimed at disrupting month-long NATO military exercises that begin in Georgia tomorrow. The Defense ministry spokesman said plotters were receiving money from Russia.

It was unclear what exactly those who are rebelling want. Police kept reporters several kilometers away so it was impossible for Reuters reporters to verify exactly what was going on at the base.

* There has been no immediate official reaction from Russia to the Georgian accusations, but Moscow is sure to reject them.

Moscow has repeatedly said Georgian President Mikheil Saakashvili might try to find ways to distract attention from opposition protests calling for his resignation and the coup plot comes at a very difficult time for Saakashvili.

Georgia’s opposition said Monday it was preparing to block main roads leading to the capital Tbilisi, escalating a month-long campaign of street protests to oust Saakashvili.

Russia’s Interfax news agency quoted the commander of the rebellious Mukhrovani tank battalion as saying that his soldiers would not intervene in politics and backed political dialogue between the authorities and opposition.

The opposition said three main highways would be blocked on Tuesday from 4-5 p.m. (1200-1300 GMT) as a warning to the president. They said they would block them indefinitely if Saakashvili did not resign by May 11.

* Several former allies have turned against Saakashvili since his disastrous attempt last year to retake the Moscow-backed region of South Ossetia.

Former U.N. ambassador Irakly Alasania has accused him of intolerance and authoritarianism. Alasania has been tipped by Georgian businessmen and former officials as a possible future Georgian leader.

Opposition leaders say Saakashvili has trampled on democratic freedoms and betrayed the principles of the 2003 “Rose Revolution” protests which brought him to power.

Saakashvili has refused to resign and the authorities, wary of repeating a controversial 2007 police crackdown against mass rallies, have promised to be patient over the street protests.

* The NATO exercises due to start Wednesday have been a target of strong criticism from Russia. President Dmitry Medvedev said Friday they could destabilize the situation in Georgia and lead to unspecified negative consequences.

* Investors are closely watching tensions in Georgia, which hosts a key pipeline delivering oil from the Caspian Sea to the Black Sea.

Russian stocks tumbled on last year’s war and the cost of insuring Russian debt soared. Russian stocks rose Tuesday, the cost of insuring Russian debt declined and the Russian rouble was little changed.

* Disagreements over Georgia are likely to become a sticking point in efforts by Russian President Dmitry Medvedev and U.S. President Barack Obama to improve ties.

Obama said after his first meeting with Medvedev on April 1 that Washington’s critical attitude to the August war and its consequences remained unchanged.

KEY STORIES > INVESTOR RADAR-Russia-Georgia relations [ID:nL1160099] > NATO games draw fire from Russia [ID:nL3220035] > NATO raps Russia over Georgian rebel regions [ID:nLU617899] > Russia takes control of rebel borders [ID:nLU944695] > Georgia opposition tries to revive campaign [ID:nANT258393]