South Korean Refineries Test New Crudes After 60% Import Base Hit by Hormuz Blockage
Updated
Updated · The New York Times · Jun 26
South Korean Refineries Test New Crudes After 60% Import Base Hit by Hormuz Blockage
3 articles · Updated · The New York Times · Jun 26
Summary
South Korean refinery labs are working overtime to qualify unfamiliar crude grades after the U.S.-Israeli war on Iran cut Persian Gulf supplies through the blocked Strait of Hormuz.
About 60% of South Korea’s crude imports normally come from the Middle East, leaving refiners in Ulsan facing what officials called the worst supply shock in their history.
To replace lost barrels, South Korea has increased imports from the United States, Canada, Venezuela and Brazil, but those grades must be tested for refinery safety and profitability before wider use.
The disruption is forcing a broader rethink in a country that has long been a major jet-fuel exporter and built its refining system around steady Persian Gulf crude flows.