South Sudan offers $3.2 billion to neighbour

South Sudan has offered to resume oil production and increase transit fees to Sudan in an attempt to further talks between the two nations.

The deal, proposed at talks being held in Ethiopia, would see South Sudan provide Khartoum $3.245 billion, as well as raising transit fees to $9.10 a barrel for use of a pipeline that crosses through Sudan and $7.26 a barrel for another.

South Sudan's chief negotiator, Pagan Amum, said,
"if accepted by the Republic of Sudan, would not only rejuvenate Sudan's economy, but also end hostilities, resume bilateral trade, and ensure a permanent peace between South Sudan and Sudan."
The reaction from Sudan was muted however, with a spokesman for Sudan commenting,
"The distance is still far away,"
"But South Sudan has gone from less than $1 barrel a day to $9, so they are going toward the logic. This is an improvement."
The two nations have until August the 2nd, when an UN Security Council backed African Union deadline expires, to resolve their disputes, or else face potential sanctions.

The latest offer comes as Darfur rebels clashed with Sudanese troops in South Kordofan, where they claimed to have seized a military compound.

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