Khartoum/Juba, December 21, 2016 (SSNA) — Sudan and South Sudan have agreed to extend oil financial arrangements after days of tough negotiations, the South Sudan News Agency has learned.
The new agreement is extended for three years and could be renewed for another three years depending on the two nations interests.
“This agreement was set for three years. We have agreed to extend it for another three years,”, Sudanese Petroleum and Gas Minister Mohamed Zayed Awad said.
Awad said oil transit fees would remain same, $20 per barrel.
Khartoum rejected Juba’s proposal Monday over the language of the deal and demanded South Sudan’s delegation to work out some parts of the language.
South Sudan’s Minister of Petroleum Ezekiel Lol Gatkuoth told reporters that his country is pleased with the deal and vowed Juba is determined to fully implement the deal.
Sudan and South Sudan initially signed the oil pact in September 2012. The agreement stipulates that Juba pays $3 billion dollars to Khartoum for three years. In return, Sudan would keep the $20 oil transit fees per a barrel the same for three years.