Second Usean Continental War
Prior to 1996, Ugellas had remained under threat from neighboring Erusea, whose military had been mobilized near the border shared with Ugellas and Amber. In response to Erusea's sabre-rattling, the Federation of Central Usea (FCU)—in conjunction with the Central Usea Treaty Organization (UTO)—stationed troops within Ugellas to prevent the spread of Erusian influence. However, following the announcement of the Ulysses asteroid's approach, the FCU withdrew its forces from Ugellas to protect the Federation's interests at home and promote cooperation between all nations, including Erusea, in dealing with the Ulysses threat.
As a member-state of the UTO, it is presumed that Ugellas joined the Independent State Allied Forces when the Second Usean Continental War broke out in August 2003. Due to its close proximity to Erusea, Ugellas was likely one of the first nations to fall to the Erusians during the ISAF's retreat to the east. Ugellas would remain under Erusian control until late 2005, when ISAF's counteroffensive forced the Erusian military to withdraw.