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Statement by South Sudan’s government over oil agreement

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The Republic of South Sudan

Press Statement

Juba, 4 August 2012: The Government of the Republic of South Sudan has protected the interest of its people. Throughout the negotiations South Sudan insisted that its oil would not flow through the Republic of Sudan unless and until it was subject to fair commercial pipeline tariffs, processing and transit fees.

Throughout the negotiations the Government of Sudan tried to extort South Sudan by attempting to charge exorbitant fees for the export of its oil. Sudan went as far as stealing South Sudan’s oil in December, January and February. Your government responded with strength and resolve, and those responses have now paid off.

At their most extreme, Sudan demanded South Sudan to pay $36 per barrel in combined fees. Your negotiation team, however, has secured a deal where South Sudan will pay on average $9.48 a barrel.

To arrive at this deal South Sudan only had to make minor concessions. The Government of Sudan was demanding pipeline tariffs and terminal fees of $25, but under the deal RSS will be paying $8.4 and $6.5 for GNPOC and Petrodar respectively. This is only $1 more per barrel, than RSS had previously offered. Sudan demanded $6 in transit fees, but under the agreed upon deal RSS will only pays $1 per barrel in transit fees for both pipelines. The positions of Sudan and South Sudan, and the agreed deal are summarized in the following tables:

For the full text please see the attached text hereunder:

PDF - 88.8 kb
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  • 7 August 2012 13:13, by Dinkawarrior

    $1 per a beral is a good deal but oil is not the only one we need. Border demarcation and Abyei protocols must be the first choices.
    2015 for Louis Labong* the raising Stars!
    The short list are Rizik Zechariah, Taban Deng Gai, and more.

    repondre message

  • 7 August 2012 13:20, by Dinkawarrior

    $1 per a beral is a good deal but oil is not the only one we need. Border demarcation and Abyei protocols must be the first choices.
    2015 for Louis Labong* the raising Stars!
    The short list are Rizik Zechariah, Taban Deng Gai, and more.

    repondre message

  • 8 August 2012 17:09, by Northern Sudanese

    yup and loosing $12 bln ?????
    the fee reaches now $40 p/b

    repondre message

    • 12 September 2012 11:56, by Madut Ngong Mozez

      The problem we have is not about pipeline tariffs or terminal fees but it’s rather about how we use the oil money in South Sudan,corruption goes with 60% of our oil money and perhaps the rest of the money goes to government servants as salaries,zero balance for development.It’s a challenge to all of us!!!!!

      repondre message

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