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US set to ease sanctions to allow oil and cash to flow for Sudan

The US wants China and Arab states to help foot the $3bn bill for a deal designed to unlock oil production and set Sudan and South Sudan back on the path to peace.

The warring neighbours reached agreement on Saturday on how much South Sudan should pay to export its oil via pipelines in Sudan, resolving a crucial part of a dispute that led the south to shut down crude production in January.

South Sudan will pay fees equivalent to $9.48 per barrel of oil for the use of export infrastructure in Sudan. It has also agreed to transfer $3.028bn to Khartoum to plug part of the financing gap resulting from its secession from the north last year after decades of civil war.

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