Cape Town (Platts)--24Jul2012/633 am EDT/1033 GMT
Sudan dismissed South Sudan's proposed deal of a higher oil transit fee and an $8.2 billion financial support package, ruling out any settlement of a deadlock between the former enemies by the August 2 deadline, local media said Tuesday. Pagan Amum, South Sudan's chief negotiator told reporters Monday that Juba was ready to resume oil exports stalled in January through Sudan if "reasonable" transport fees are agreed on. He said Juba was prepared to pay up to $9.10/barrel to transit its oil through Sudan. Khartoum had earlier demanded as much as $36/barrel. Sudan, however, dismissed the offer and insisted that border security issues and the establishment of a demilitarized zone remain Khartoum's top priorities. Article continues below... Platts Africa Oil Forum 27th September 2012, Victoria Crown Plaza Hotel, Lagos, Nigeria Hear from our senior oil editors as they provide an analysis of the global oil markets, discussing in detail key issues facing the West African markets, including: The latest on core market trends in the global oil marketsThe challenges for West of Suez refinersWhat's new for the West African crude oil marketsThe Platts Market-on-Close (MOC) oil price discovery process
Sudan dismissed South Sudan's proposed deal of a higher oil transit fee and an $8.2 billion financial support package, ruling out any settlement of a deadlock between the former enemies by the August 2 deadline, local media said Tuesday. Pagan Amum, South Sudan's chief negotiator told reporters Monday that Juba was ready to resume oil exports stalled in January through Sudan if "reasonable" transport fees are agreed on. He said Juba was prepared to pay up to $9.10/barrel to transit its oil through Sudan. Khartoum had earlier demanded as much as $36/barrel. Sudan, however, dismissed the offer and insisted that border security issues and the establishment of a demilitarized zone remain Khartoum's top priorities.
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Hear from our senior oil editors as they provide an analysis of the global oil markets, discussing in detail key issues facing the West African markets, including:
"The end of the deadline does not mean that the two sides should stop negotiating but it means that they now have to show greater seriousness in negotiating a number of contentious issues including cessation of hostilities, withdrawal from occupied areas and ending of support to rebel groups," Sudan's lead negotiator Mutrif Sidiq said. The African Union and United Nations imposed an August 2 deadline calling on both sides to reach agreements on outstanding issues including a border dispute. The South has demanded the contested Abyei region must hold an AU-UN organized referendum before the year's end to decide if it belongs to the north or the south. Juba, which derives around 98% of its income from oil, shut oil production in January over a dispute with Khartoum about revenue-sharing and fees for a pipeline through Sudan. Khartoum accused the new nation, which seceded from Khartoum last July after decades of civil war, of failing to pay transit fees.--Jacinta Moran, jacinta_moran@platts.com--Edited by Elston Soares, elston_soares@platts.com
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