A man waves South Sudan's national flag
A man waves South Sudan's national flag as he attends the Independence Day celebrations in the capital Juba, July 9, 2011. Tens of thousands of South Sudanese danced and cheered as their new country formally declared its independence on Saturday, a hard-won separation from the north that also plunged the fractured region into a new period of uncertainty. REUTERS

Colonel Gatluak Gai, a prominent rebel chief from South Sudan who just recently signed a peace agreement with the government of the brand new country has been killed, according to reports.

Gai was shot to death early Saturday morning at or near the district of Pakur in Unity State, despite having agreed to a rapprochement with the South Sudanese army.

According to BBC, Gai was lured into a trap by army officers who murdered him.

However, army officials denied this story.

An army spokesman claimed Gai was killed in a fight with one of his deputies.

It is believed that the infant nation is facing at least six armed rebel groups.

Gai commenced his rebel movement last year after a candidate he endorsed for state governor was declared to have lost the election.

A strongly-built man in his 50s, Gai was a member of the Nuer ethnic group, which has historically in conflict with South Sudan's largest group, the Dinka.

Meanwhile, fears are growing that other rebel leaders will not accept the rule of President Salva Kiir and reject any offers of amnesty, thus potentially endangering South Sudan’s stability.