Home | News    Sunday 31 July 2011

S. Sudan says North drops demand for $22.8 per barrel in transit fees

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July 30, 2011 (KHARTOUM) – The Sudanese government has dropped its initial demand for a charge of $22.8 per barrel to transport oil from landlocked South Sudan through the pipelines leading to Port Sudan, an official in Juba said today.

Pagan Amum, South Sudan’s Peace minister and chief negotiator, briefs journalists in the capital Juba on July 30, 2011, shortly after returning from Addis Ababa (AFP)

Pagan Amum, South Sudan’s Peace minister and chief negotiator made the revelation upon his return from the Ethiopian capital where the African Union (AU) is hosting talks between Khartoum and Juba on post-secession arrangements particularly economic issues.

"This discussion brought to an end the attempt to impose discriminatory surcharges by the government in Khartoum, who announced they would impose $22.8 per barrel ... They have withdrawn officially this position," Amum said.

"We will be paying pipeline fees ... and also we will be paying transit fees that are within the international practices and standards," Amum added, without saying how much the South was willing to pay.

The Republic of South Sudan (RSS) became an independent state earlier this month following its citizens’ overwhelming vote in favor of secession from the North last January. Both sides however, have failed to resolve a wide array of issues that could prove toxic in their future relationship.

In particular the oil-rich nation could not agree with Sudan on how much fees should be assessed for exporting crude through its pipelines.

Sudan announced last week that it expects $2.6 billion per year from oil transit and usage fees paid by RSS. This was estimated by officials in Khartoum to be equal to the amount Sudan would lose in oil revenue after the South’s split.

Previously the ex-foes shared oil revenue equally in accordance with the 2005 Comprehensive Peace Agreement (CPA).

RSS described the proposed transit fees of $22.8 as "daylight robbery" and threatened to seek other venues for exporting its oil.

In a related issue, Amum said that the two countries agreed to form a joint committee to address the issue of old Sudanese currency circulating in RSS.

The two sides have launched new currencies this month which heightened tensions and infuriated officials in Khartoum who said RSS reneged on a prior agreement for monetary unity to continue six months after independence.

Sudan said it is prepared to engage in currency war with the South should both countries not reach an agreement on issues related to circulation of the retired Sudanese pound. It claimed that RSS wants to replace the old Sudanese pound only through exchanging it with foreign currency or commercial trade between the two countries.

In response, the Sudanese finance and national economy minister Ali Mahmood Hassanein said the South can keep the old currency "in the museums".

According to Amum, Sudan is now softening its position on the currency issue too.

"We have agreed to form a joint committee from the two central banks so that the replacement and exchange of the [old] Sudanese pounds with the [new] South Sudan pound, as well as the change of Sudanese pounds in Khartoum, will be done in a transparent manner," Amum said.

"The old pound will be kept within a very clear framework of management so that there will be no dumping of the Sudanese pound," he said.

(ST)

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  • 31 July 2011 10:11, by Bush

    We knew that NCP was just trying to win some concessions from the South, but hardliners like Hon.Pagan Amum will not give in to the threats of shutting down the oil pipelines.

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    • 31 July 2011 11:54, by Sam.Eto

      Pagan again such lies. I dont how up people stand this man. The Sudanese government officially stated pagan is lier and there is no truth to his statements.

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      • 31 July 2011 22:37, by belle loboi

        Pagan,
        you need to bring back $3 millions you have stolen before we agreed with your leadership. you show that you are most corrupted figure in SPLA but because stupid Kiir think that you are only educated thief in Southern Sudan then he let you went with money. Pagan is now pretending when he know that he stole money for all Junubi. Remember pagan was very silence during referendum because he thought that South Sudan would not get independence and after we got our independence and after he had stolen the money, he wanted to show that he care more about JUNUBI. Pagan business is Pagan business

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    • 31 July 2011 13:53, by SSLA supporter

      Northern Sudan shouldn’t stupid to allow SPLM to strengthen itself with that oil, this is the right for the government in Khartoum to maximize the economic sanctions against that ruthless SPLM regime that is going to be used by the enemies of Sudan such as Israeli and Americans, to dismantle and turn it into many weak and tiny states, using SPLM northern section!! Let the target be the departure of SPLA/M corrupt and hostile and aggressive regime, before it acquires Israeli and American weaponry and expertise, don’t let that terrorist party called SPLA/M to breed and thrive comfortably in southern Sudan as it will too tough to deal it later on! Now or never!!

      There is no need for north sudan to feel sorry for those SPLM thugs, because those thieves in that SPLM criminal network are not going to use this money for betterment of our poor southern Sudanese lives but to embezzle it as usual, no compromise please!!

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      • 31 July 2011 14:39, by Marco A. Wek

        Well than brother from Nasir Mr. SSLA, you and your Northern Sudan Jehadists and terrorists genocidals could not help or provent the enitable good relations between the USA which was started by the hero and friend of South Sudanese people, the man who told Bashir either you are with us or against us during 9/11/2001 Mr. George W. BUSH and our Israelis friends that gave us arms early 1970s.

        There is likelihood of making deal with our friends Israelis to take over the oil business in South Sudan and after all we will have a lot to gain from them in terms of military expertise that we need to look squarely in the eyes of our internal and external enemies of our people.

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        • 31 July 2011 17:30, by SSLA supporter

          Marco A Weck!!

          Northern Sudanese are much more genetically related to you than those bloody Israeli and Americans who are regarding us nothing than slaves and subhumans!!
          We share common Sudanese culture and traditions!! you can’t realize that when you are inside Sudan where poverty and ignorance turned people against each other, due to rivalry over inadequate resources!! but outside Sudan be it in Europe or Arab world, Sudanese are well known for their love for one another, respect toward others,tolerance and courage and pride, the great prove is the peaceful way with which we run the referendum and the smooth and peaceful separation of southern Sudan from north with millions of southern Sudanese are still living and working in north Sudan without any intimidation or threat, now how nanny of us live and work in Israel and USA combined??

          I know the war has changed the people’s attitudes and behavior towards one another, but if we decide to get over it, we can, just black like black Americans or African Americans that forgive Whitmen for the enslavement of their ancestors, who were stolen from and sold to American!!
          the slavery that lasted for ages and worse than so-called Jewish slaughtered by the Hitler of Nazi Germany!! in which white people apologized to Jewish for that genocide but not to our black brothers who were used to work in industry, agriculture and housees of white men for free of charge!! how can you those beasts and evils as your brothers!!

          Majority of our Noth Sudanese brothers are Arab in origin, but have the blood of our black race in them more than Israeli that are cousins to the pure Arab of Mideast!!
          They don’t like black people too and if I tell you why they supplied some primitive weapons to Anya nya one of Joseph Lagu and likes was to use them against Sudan when Israel was at all out war with the Arab world,and as soon as the war between them and Arab was over, Israeli and international council of churchs forced Joseph Lagu to sign the peace agreement , famously known as Addis Ababa agreement,
          that granteed an automatic rule to southern Sudan to end the 17 year old war ( from 1955 to 1972) with government of Jaffer Numeri in 1972.

          So, Israeli was not helping Joseph Lagu’s movement for the sake of their being Christians as we are mistakenly assuming in southern Sudan, given that Israel is not a Christian state but a Jewish one, they helped us simply because they were at war with the Arab world in1967 or so, now the Israeli are rushing to make diplomatic ties with southern hopping to control the Nile water, control arms supply from anywhere in the region and then their smuggling to Palestinian resistant via Sudan, plus other hidden agenda!!

          Recently, the Israeli relocated hundreds of southern Sudanese migrants who entered Israel through Egyptian desert thinking that Israeli will receive them with open arms as their Christian brothers as majority of our people. who are not exposed to outside world, those who are not informed whatsoever about how the world is run, I was one of those blindfolded southern Sudanese citizens who were wrongly and misleadingly informed by our ignorants and self-centered amateur politician like those of Lagu, imagine Joseph Lagu in1550’s how well do you think he knew by then about how the world operates, the interest of Israeli in helping southerners????
          before I left Sudan and traveled to study,live and work in not less than 9 foreign countries including three Arab states and one African county,three Asian countries, six European countries and. two north American countries, namwly; USA and Canada, from there I begin to learn who decided what and why and how it is decided,

          Brother Maeco A Weck, up to now, you guys don’t know the magnitude of damage our so-called politician are causing to our newly separated. country by associating it Israel which is the enemy of Islamic and Arab worlds!! will you afford to lose Arab and Muslim world for the sake of having pathetic diplomatic ties with Israeli, Both Israeli and Americans have only short term interest in you, to use you against your North Sudanese brothers!!

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      • 31 July 2011 16:43, by AUGUSTINO DENG

        Dear Mr SSLA Supporter,

        Don’t you know that the leader of SSLA Mr Gatluak Gai was killed? My advise to you is that, keep supporting SSLA, but your chance is underway. What Pagan Amum had said is relevant and I do supported it myself.

        By Augustino Deng. Jech la mer from Tharpam.

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        • 31 July 2011 19:44, by SSLA supporter

          Dear Agustinu Deng!!

          I am really for survival, I was. emotional thinking about the inhumane those SPLA war criminal deprived and robbed your childhood by recruiting. you to fight for their pathetic and meaningless war!! Emmanuel Jal had said it all, anyway, don’t you think what and his stupid and criminals of SPLA criminal network, I can sense how bad you are traumatized by that war and I really. really feel sorry for you, SPLA and the Pagan Amum you are praising here have committed crime against your human right by recruiting in their the army when you was underage, a child solider is illegal my brother and if not because you are ignorant about your own right, you should be the one that sue them for compensation in international court of
          law,for their abuses of your human right!! and what you still doing in that criminal militia called SPLA after surviving their war that was fought with chil
          children of poor people and farmers, while the kid of generals and
          commanders are sent to western world ro luxuriously study and live there!!

          You seem to be misinformed about SSLA my friend,General Gatluak Gai was assassinated by SPLA/M criminals, yes, he was one of the various armed movements in southern Sudan, however, General Gatluak was not a commander of South Sudan Liberation Army (SSLA) which is supported by the majority of free and liberal southern Sudanese except only some blindfolded individuals who are direct beneficiary of SPLA/M corruption and nepotism. Also for your information, SSLA is lead by General Peter Yaka and not by the General Gatluak Gai who was assassinated in coldblooded manner by SPLA/M killing machinery,

          Man, who is that alcoholic Pagan Mum whose days are numbered!! who is him compared to me, an insect maybe!! First, Know that I am from eastern
          Jikeny Nuer, precisely from Nasir region, so, do you really believe that Pagan Amum of shuluk tribe can really harm me and continue to live on this planet earth, well I can’t blame you brother, but I hope you learnt something about Nuer Nasir who taught SPLA unforgettable lessons during the civil war since you was a red army minor or shech Al Amer but maybe you forgot who knows! Let Pagan dream but I hope he will cease very soon,and God knows that!!

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        • 31 July 2011 22:53, by belle loboi

          Deng,
          i know that you are very happy when ever a Nuer man died. Gatluak Gai is warrior then all you uncle in SPLA. LT Gai died for the freedom of Unity State from Kiir and Taban who used our 2% of oil to kill the people of great Unity State. but we will prevail despite them. Now we need to change SPLA to SSLA because it make sense that it stand for South Sudan liberation Arm while SPLA stand for Sudan people liberation army. we are not Sudanese but South Sudanese people. Those who are not educated will disagree with and those who are educated will agreed with in this matter. It is not who inform SSLA but it is about a reality about it symbolization.

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          • 1 August 2011 02:44, by Cuei Rooi

            Belle loboi.

            you most be from those equatorians who changed their identities to be ugandan during war time.you seem to be floating in the vacuum here between your personal contradictions and the the death of Gatluak Gai which has no connection with what Pagan did in Ethiopia.would it not be good if you can appreciate the hard work of these national figures.

            You also have talked somewhere in one of your statment about SPLA recruiting minors to fight the sudan government during the war.yes I myself fought in a very young age and so do others of my age did same.SPLA officers did these in desperation because you and your father who were old enough to fight have ran to uganda claiming being not from sudan.Any child that fought for the freedom of south sudan should be awarded with a gold metal of honor because they deserved it.
            Amum and south sudanese delegations to Addis abba are doing great job.

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  • 31 July 2011 10:25, by Naath

    You mean it mr. AMum, but be carefull dont drage in to dirty water by who are fishing in dirty water.

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  • 31 July 2011 10:37, by Ayuen deng

    Thanks to Pagan Amum for the nogiciation. we are always proud of you.Khartoum should now demand something of the world standard.

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  • 31 July 2011 10:53, by Adam

    Yes! Negotiation, discussions, reasoning, cooperation and good-will are the best and peaceful way to resolve issues between nations. All must remember that we’re destined to be together and cooperate for mutual benefits. Negotiations must lead to win-win status, which is desirable and expected by both countries.

    To facilitate good atmosphere, negative media and public relations campaigns should stop and replaced by positive statements and encouraging spirit from both sides.

    We want the people of both Sudans win - always win.

    I hope the GoS report on the issues discussed in this article are identical with Mr. Amum’s statement of facts.

    Adam Milawaki, Kwajok

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  • 31 July 2011 11:05, by Rising of the Sun

    Trust the NCP at your own risk.

    I will not believe anything the North says until it actually happens.
    When they talk peace and calm it is just intended to send those who are unwise into slumber while they work out their usual evil plans.

    South Sudan just needs to device alternative means of exporting its oil (even if this deal comes out positive) and avoid being cornered before we look for solutions in the future.

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  • 31 July 2011 11:13, by sebit

    North sudan ya better take it is better than nothing or before we change our mind to turn it other way through ethiopia or kenya or uganda!!!!

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    • 31 July 2011 14:44, by Chier Akueny

      Dear Southerners, What I have seen is that Northerners have really given up and all the talks and writings you just read on webs are out of confused minds, however it would not need you to response to them in revengeful want but to just tell them to cool down since we have oil, fertile lands, and other resources. North will not see us lacking routes of transporting them.

      It would be also useless to discuss unnecessary things when we have already separated and every country knows how she can manage her own affairs. My saying remains to reiterate that ’’BYE BYE North’’ Our nation is going to progress well. It doesn’t mean oil is only transported through ships but also rail, road,air and even a cup as you said, but we shall not use those meagre vessels but through vast pipelines.

      Please Northerners, don’t colapse time is still to come and you will regret your makings.

      Chier Akueny

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      • 31 July 2011 15:49, by mohammed ali

        Chier,

        We will be more than happy for you to achieve the best economic status in the world. That does not bother us! However your aim should be to satisfy your people and make them happy; and not out of hatred and enemosity to us. God has no created the world only for the competition with us.Hatred will lead you to nowhere, it will simply destroy you!

        Pagan Amum was lying to you! What he said happened was simply not true.He just want to make himself a hereo and that he had achieved something against the Jalabba!

        The mediator came with some proposals which were accepted by the Government of Sudan.Pagan rejected the proposals and went to Juba for further consultations.Meanwhile the Nivashs division of the oil will continue.

        Why is he adressing the currency issue now? Why is he adressing it again after he violated the agreement he signed? He launched his currency expecting that Sudanese people are sleeping and waiting for his tricks. Now he found that we sleep with open eyes and he is going to be the looser , he wants rvive the agreement.Yes, for the sake of the poor and marginalized southerners , we will rvive the agreement. Because they will suffer, but you and your family will not! The damage to the new currency will not reach Australia!

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  • 31 July 2011 17:42, by Malual Dungdit

    President Kiir should remove this greedy Shiluk man called Pagan Amum who is semi literate and messed up the SPLM
    This man will be killed any time.Pagan is the most corrupt in the South sudan

    Fuck him idiot.

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  • 31 July 2011 21:00, by JAMES KUOI STEPHEN

    Objection on price per barrel that will make you again to submissive.People should tried proposal of price deduction. New pipeline construction anywhere then in Northern Sudan, at potsudan.
    However,people tried to oppose this amount of $22:80 per barrel. We have own our independent, if they oppressed due to war, Country reponse in the future will be in position, if they don’t respect . Our own is ours.
    Amum!,correct the mount for this one barrel.We want to build the new pipeline to any African country.

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  • 31 July 2011 21:12, by Sam.Eto

    Economic talks between the Sudanese government and newly independent South Sudan collapsed on Sunday after the Sudan Peoples’ Liberation Movement slammed compromises suggested by Thabo Mbeki, the former president of South Africa and moderator of the discussions.

    This came after agreeing on Saturday to finalise economy-related talks on sensitive issues of oil and currency by the end of this September.

    The talks on post-secession arrangements between Khartoum and Juba were suspended prior to Southern Sudan’s independence on 9 July.

    The Sudanese government’s delegation, led by minister of finance Al-Fatih Ali, returned to Khartoum after visiting Ethiopia’s capital, Addis Ababa where he had resumed the round of African Union-mediated talks.

    Mbeki’s suggestions were associated with oil transit and Northern oil infrastructure usage fees.

    Several sources claimed that Mbeki’s suggestions would not retain the North’s share as determined by the former agreement, but would provide a superior position for the North than the public movement put forward.

    YOU SEE PAGAN LIES - HE ALWAYS LIES - ALL HE DOES IS STATE WHAT HE WANTS - HOPING PEOPLE WILL LISTEN.

    PAGAN DID RESIGN - BUT SUSAN RICE - PUSHED HIM TO COME BACK AND THREATENED KIIR TO TAKE HIM BACK. I TOLD YOU ZIONIST

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  • 1 August 2011 07:31, by Mi diit

    pagan amum should not let himself be fooled by khartoum’s negotiation team and believe in any thing said by one of them because omer bashir is there to dishonor it like the south kordufan agreement.

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