Sudan rejects deal proposed by South Sudan Agence France Press (AFP) Addis Ababa, 23/7/2012 – Sudan on Monday turned down South Sudan's proposal of a higher oil transit fee and an $8.2 billion financial deal, ruling out any comprehensive settlement of outstanding issues by the August 2 deadline. The offer and its refusal come just days ahead of an African Union- and United Nations-imposed deadline calling on both sides to reach agreements on issues including oil transit fees, border demarcation and security by August 2. Sudan however, dismissed the offer, saying that security remained their top priority and that issues such as South Sudan's alleged backing of rebels should therefore be settled before other issues are tackled. "We think security is a prerequisite," Mutrif Siddiq, a member of Khartoum's delegation to talks in the Ethiopian capital, told reporters. He ruled out any comprehensive deal by the August 2 deadline but said he remained hopeful in the longer term. "It is impossible to be done within... nine or 90 days, some issues need more time to be discussed and be resolved," Siddiq said. On Saturday South Sudan said it was cancelling planned face-to-face peace talks with Sudan after accusing Khartoum of launching a new air raid on its territory. But Sudan on Monday said the raid was in response to the crossing of the rebel Sudanese Justice and Equality Movement -- fighters Khartoum says are backed by Juba -- into its territory. "We couldn't stay idle, the moment they crossed the border we engaged with them by air force, and now we are engaging with them on the ground," Siddiq said, calling the incident a "stab in the back" by Juba.
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