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Hyundai Oilbank Seeks to Diversify Oil Import Lines
Hyundai Oilbank Corp., South Korea’s fourth-largest oil refiner, is seeking to diversify its oil import lines as the U.S-led sanctions on Iran may disrupt oil shipments, company officials said Monday.
Iranian oils account for 20 percent of Hyundai Oilbank’s total imports.
The country’s bigger rivals such as S-Oil Co. (KSE:010950) and GS Caltex
Corp. do not buy crude oils from Iran. SK Energy Co. (KSE:096770), the
country’s No.1 refiner, buys crude oils from Iran equivalent to 10
percent of its total oil import.
“As for now, there are no problems in buying oils and paying on them,” said a company official.
“But we are studying the way of diversifying our oil import lines.”
The state-run Korea National Oil Corp. imported just 4 million tons of crude oils from Iran last year.
Iran is the fourth-largest source of crude for South Korea, and
disruption of shipments could have a big impact on the South Korean
economy that relies on imports for all its energy resources.
The South Korean government is also weighing the fallout of a move
against Iran as part of U.S.-led pressure to force Tehran to drop its
nuclear ambitions, as billions of dollars are also at stake in Iranian
contracts for South Korea’s construction firms and shipbuilders.
Source: Asia Pulse Pte Ltd
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