Crude oil supply from UAE en route to Korea as agreed: ministry

The Korea National Oil reserve in Seosan, South Chungcheong Province / Courtesy of Korea National Oil

Emergency shipments of crude oil from the United Arab Emirates (UAE) are on their way to Korea in line with the countries' recent agreement, the industry ministry said Wednesday, noting Seoul has already received the first batch from the Gulf nation.

Last month, the UAE agreed to supply 24 million barrels of crude oil to Korea with top priority amid the effective closure of the Strait of Hormuz due to the U.S.-Iran war.

The UAE promised to first supply 6 million barrels and later deliver the remaining 18 million barrels, according to the Ministry of Trade, Industry and Resources.

Of the 6 million barrels, 2 million arrived in Korea on Monday, with another 2 million scheduled to be delivered in early to mid-April. The UAE has also delivered 2 million barrels from its international joint reserves stockpiled in Korea to a local oil refinery.

The remaining 18 million barrels are also on their way, with 2 million barrels purchased by a Korean company scheduled to arrive here in mid-April.

"We have preemptively secured a total of 24 million barrels of oil (from the UAE), providing much-needed relief for the stabilization of the crude oil supply," Industry Minister Kim Jung-kwan said in a press release, noting the energy cooperation framework established between the countries will help them address future energy security challenges.