South Sudan can extract crude from its robust reserves, but since the country is landlocked it must rely entirely on Sudan for transporting what it produces. The two countries have been at odds over oil transit fees since January 2012, when South Sudan shut down oil production. The shutdown hurt both countries economically, but Juba depends heavily on revenue from oil exports. After the shutdown, the government was forced to enact austerity measures and survive off dwindling foreign exchange reserves. In September 2012, the two countries reached an agreement on transit fees that allocated approximately one-third of Juba's oil revenue to Khartoum through transit fees and financial transfers. However, the governments failed to reach an agreement over border security, which Khartoum demanded be addressed before allowing South Sudanese crude through its pipelines. After several negotiations, Juba and Khartoum finally reached an agreement on outstanding security issues March 8.