The latest edition of Islamic State's English-language magazine Dabiq has seen the return of the byline of British journalist John Cantlie, taken hostage by the militant group in Syria three years ago this month.

In an edition devoted to the attack on Paris last week, Cantlie's name and image are attached to an article entitled "Paradigm Shift II", which warns that IS may attempt a terrorist attack on the scale of the September 11, 2001 attacks on the United States.

Some observers had feared that Cantlie's "absence" from the magazine since its March edition was a sign that he had been executed. The article claims that media outlets, security services and experts are acknowledging IS "is a genuine state", before saying that since IS had "established their country and set a new order in place within the Middle East, what happens over the next few years is more up to [IS] than any exterior force".

Setting out the options for the militant terror group from this point, it states: "The first . . . is that they continue to expand the borders of the Caliphate throughout the region until economic or military limitations stop them and they afterwards consolidate their positions. Too bad for the West, it doesn't look like such limitations exist for the Caliphate.

"The second option is that they goad the West into launching an all-out ground attack, thereby setting the scene for the final battle between Muslims and the crusaders prophesized [sic] to be held at Dabiq in Syria, by conducting an operation overseas that is so destructive that America and its allies will have no alternative but to send in an army. This would have to be something on the same scale, if not bigger, than 9/11.

"Then again, I'm just guessing. American 'hawks' may very well come to Dabiq on their own without the Islamic State needing to blow up any dirty bombs in Manhattan," it concludes.

In the magazine IS also announced it had killed two hostages, Ole Johan Grimsgaard-Ofstad from Norway and Fan Jinghui from China, showing what appeared to be pictures of the dead men under a banner reading "executed".

Chinese President Xi Jinping, speaking from the APEC summit in Manila on Thursday, said China "strongly condemned" the executions and expressed "deep condolences" to the family of the Chinese victim.

"Terrorism is the common enemy of humanity and China is firmly against all forms of terrorism," Mr Xi said.

China's foreign ministry had earlier confirmed the man's identity for the first time, and said it had made "all-out efforts" to rescue him.

"However, with no regard for human conscience and moral baseline, the terrorist organisation still carried out this cold-blooded and violent action," ministry spokesman Hong Lei said.

Mr Xi last week joined other world leaders in condemning the "barbarous" Paris attacks "in the strongest possible terms" in a message to French President Francois Hollande.

Chinese officials have also urged the increase of global cooperation against terrorism, including against separatist groups Beijing says are active in its far-western Xinjiang region.

Chinese authorities reportedly killed 17 people, including several women and children, in a raid last week in Xinjiang, said Radio Free Asia, a news service financed by the US government.

The people were said to have been involved in a knife attack that left 50 people dead in September at a coal mine near the border with Kyrgyzstan.

Fairfax Media, New York Times