South Sudan agreed to pay between 9.10 and 11 US dollars for every barrel of crude exported through Sudan’s pipeline and port and the price includes tariffs, transit and processing fees.
South Sudan’s chief negotiator Pagan Amum issued a press statement on Saturday saying his team agreed to pay 9.10 dollars per barrel exported through the Petrodar pipeline from Upper Nile and 11 through the CNPOC from Unity State.
He said the agreement was a good deal for South Sudan.
Mr Amum wrote that Sudan was demanding a fee of 36 US dollars per barrel but lowered the price to 25 dollars.
He said the agreement lasts three and half years.
By then South Sudan should have its own pipeline in place to put the crude in the international market.
Mr Amum added that in the interest of peace, South Sudan offered more than three billion US Dollars in direct financial assistance to Sudan.
The money will be paid over a three and half-year period.
Mr Amum added that the talks with Sudan will resume later to conclude the oil deal and address security, borders, final status of Abyei, and issues related to nationality.