SEOSAN, South Korea — A massive oil tanker flying under Malta’s flag docked off South Korea’s western coastline Friday, delivering one million barrels of crude oil after successfully navigating the contested Strait of Hormuz last month, officials from a major South Korean refinery announced.
South Korea, similar to numerous other Asian countries, relies heavily on Middle Eastern crude oil imports. This recent delivery of one million barrels represents between 35 and 50 percent of the nation’s daily oil requirements.
Iran’s control over the Strait of Hormuz has sent shockwaves through global markets and triggered rising fuel costs, while the ongoing Iranian conflict has sparked fears of an impending energy shortage in South Korea’s export-reliant economy. The nation has implemented gasoline and petroleum product price controls for the first time in decades to prevent dramatic cost increases, while directing refineries to redirect naphtha exports for local consumption as officials work urgently to establish backup oil sources and alternative shipping lanes.
The vessel, named Odessa, arrived in waters near Seosan, a western port city, on Friday morning, several weeks after transiting the Strait of Hormuz while Iran and the United States were engaged in ceasefire negotiations, HD Hyundai Oilbank reported.
The tanker is expected to dock at the company’s offshore terminal facility later Friday to begin offloading its cargo. HD Hyundai Oilbank announced plans to process the crude oil into various petroleum products including gasoline, diesel fuel, and naphtha. The company operates refining capabilities that can handle up to 690,000 barrels of crude oil daily.
Last year, South Korea received over 60 percent of its crude oil and 50 percent of its naphtha—an essential petrochemical ingredient for plastic production—via the Strait of Hormuz shipping corridor.
