South Sudan has rubbished reports that it has agreed to Egyptian request to build military base in Pagak, a town bordering Ethiopia.

Ethiopia and Egypt are close friends to South Sudan," read the statement.

James Morgan, South Sudan's Ambassador to Ethiopia, late on Thursday said that Juba would not allow any external force to use her territory to attack Ethiopia.

Egypt and Ethiopia have been cooperating with South Sudan in the implementation process of the Revitalized Agreement on the Resolution of the Conflict in the Republic of South Sudan mainly with regard to security arrangements.

The latest allegation against South Sudan comes as tensions between Ethiopia and Egypt escalate after Addis Ababa announced to start filling its controversial hydro-power dam next month.