With the Strait of Hormuz remaining blocked following U.S. and Israeli airstrikes on Iran, the government and the refining industry are reviewing imports of Russian crude oil and naphtha.
On the 18th, the Ministry of Trade, Industry and Resources said it is exploring, together with corporations, the possibility of importing Russian crude oil and naphtha in connection with the U.S. easing of sanctions on Russia.
With domestic refiners' crude shortages becoming a reality, and the administration of Donald Trump in the United States temporarily lifting sanctions on Russian crude to prevent a surge in oil prices, the possibility is being reviewed.
Korea brings in about 70% of its imported crude through the Strait of Hormuz. But the strait was shut at the end of February due to the outbreak of war, which disrupted naphtha supplies. The oil crisis alert was also raised to the caution level.
For this reason, senior executives of the four refiners—SK Energy, GS Caltex, S-Oil, and HD Hyundai Oilbank—have been meeting with the Ministry of Trade and Industry (MOTI) since the 13th to discuss ways to bring in Russian crude.
If, following the discussions, Korea imports Russian crude, it would be the first time in about four years since April 2022 that Russian crude enters the country. Imports of Russian crude had been halted due to sanctions related to the war with Ukraine.
Alongside this, the government decided to bring in an additional 18 million barrels of crude from the United Arab Emirates (UAE). Including the 6 million barrels secured earlier, the total is 24 million barrels. In addition, it is pursuing a plan to purchase crude stored domestically by oil-producing countries and foreign companies.