Investigators in Pakistan are searching for evidence Wednesday in the luxury hotel bombing that killed 11 people.
That suicide attack leveled a huge part of a hotel in the northwest city of Peshawar.
The U.S. had been considering setting up a consulate at that site.
The attack comes as Pakistan's army launches an offensive against the Taliban and al Qaeda in the region.
Pakistan's military shelled a number of terrorist hideouts in the Bannu District.
The army is also deploying troops to Waziristan, a region controled by Taliban militants.
The military has failed to crush the Taliban, despite multiple operations against the group since 2004.
But now, under intense international pressure, Pakistan is moving hard against them.
And local residents are even forming citizen militia groups to fight the terrorists.
All of this is seen as a big test of Pakistan's resolve to take on terrorist groups on its soil.