Sudan, South Sudan ink pact over Oil Payments
Sudan signed a deal with South Sudan over oil payments. South Sudan agreed to pay Sudan just over $ 9 per barrel to transport oil to its ports.
What is the dispute?
After the separation of South Sudan from Sudan in 2011, nearly 75% of the oil rich region went to South Sudan. The dispute was over how much South Sudan should pay North Sudan to transport oil. The dispute resulted into suspension of all oil production of South Sudan and badly affected the economies of both countries.
Sudan is expected to receive 3bn dollars as compensation for revenue lost in that period.
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Month: Current Affairs - August, 2012