(Ecofin Agency) - In Sudan, the Southern Sudanese Government has called on Khartoum to reduce the Sudanese oil transportation facilities agreement, due to the declining prices of crude oil in the global market.

Sudan’s Foreign Minister, Barnaba Marial Benjamin, disclosed that a request was submitted to its Government to this effect. “Oil prices have dropped. They are no longer like in the past. We have to see how we can share the oil revenue under these conditions. And if we suppose that the oil price can go down to 20 dollars, at that time there would be nothing to share,’’ Marial Benjamin said.

He added that both Khartoum and Juba’s oil ministers were in talks concerning the issue, but has so far not arrived at a decision.

In August 2013, South Sudan made an agreement to pay Khartoum $9.10 for the oil produced in Upper Nile state as well as $11 to Unity state which produces 20% of the state’s oil. South Sudan also decided to pay Transitional Financial Assistance (TFA) for the agreed oil transportation fees.

Meanwhile in January of 2015, South Sudan’s petroleum minister, Stephen Dhieu Dau announced that the payment of $25 a barrel of oil to Sudan or press for a decrease is being considered. According to Sudan Tribune, the $25 a barrel of oil was intended to fast-track the reimbursement of a $3 billion compensatory package to Sudan by Juba.

Anita Fatunji