S.Korea's Iran crude imports for April down 44.4 pct year on year
South Korea's imports of Iranian crude in April fell nearly 45
percent from a year ago to 4.18 million barrels, official data
showed on May 22, below expectations just ahead of talks with
Washington to extend a waiver for U.S. sanctions on Tehran, Reuters
reported.
The world's No.5 crude buyer and one of Iran's top four customers
bought 139,400 barrels per day (bpd) from Iran in April, up 7.5
percent from a month ago on a daily basis, according to Reuters
calculations based on the latest official data.
South Korea had been expected to import about 190,000 bpd - or 5.7
million barrels - of Iranian oil in April, according to preliminary
loading data obtained by Reuters.
U.S. and European Union sanctions aimed at choking the flow of oil
money into Iran and forcing Tehran to negotiate curbing its
controversial nuclear programme slashed its crude exports in half
in 2012, costing it as much as $5 billion a month.
South Korea's crude imports from Iran in the first four months of
the year decreased 28.4 percent from the same period a year ago to
18.07 million barrels, the data from the state-run Korea National
Oil Corp showed.
South Korea's total crude imports came in at 69.12 million barrels
in April, down 5.6 percent from a year earlier, the data said.
South Korea's Iranian oil imports from December through April have
declined 19.7 percent year on year as it seeks to extend a waiver
on U.S. sanctions for the next six months.
The United States is due in June to review the waiver that makes it
possible for South Korea to continue the shipments from Iran
without being cut off from the U.S. financial system.
Oil importers that make continuous reductions in their purchases
from Iran can be granted exemptions to the sanctions.
South Korea, which reduced crude imports from Iran by more than a
third to 153,400 barrels per day last year, is aiming for a 20
percent cut in the six months to May 31 from a year ago to secure
its third 180-day extension.
During the upcoming talks, Seoul officials will discuss making
additional cuts in Iranian crude imports over the next six
months.
The lower Iranian crude imports in the first fourth months of this
year can also be attributed to heavy maintenance shutdowns.
The two South Korean buyers of Iranian crude - refiners SK Energy
and Hyundai Oilbank - are shutting a combined 560,000 bpd of
refinery capacity for planned maintenance between March and
June.
Korea imported 157,596 bpd of Iranian oil from December through
April, according to Reuters calculations based on the latest KNOC
data, versus 184,727 bpd from December 2011 through May 2012.
To meet the target of reducing Iranian imports, South Korea will
have to cut an additional 9,815 bpd or 6.2 percent from the
December-April rate.
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