Seoul sends envoy to secure energy supplies

Presidential Chief of Staff Kang Hoon-sik will visit Kazakhstan, Oman and Saudi Arabia starting Monday to secure additional crude oil and naphtha supplies, the presidential office said.

The trip follows his visit last month to the United Arab Emirates, where he secured 24 million barrels of crude, about eight times South Korea’s daily consumption of 2.8 million barrels. With the Strait of Hormuz effectively blocked and countries racing to diversify supply chains, Kang is once again taking on a dealmaking role.

“If we can secure even one barrel of crude or one ton of naphtha, the trip is worth it,” Kang said. At a briefing Monday, Kang said South Korea remains heavily dependent on imports through the Strait of Hormuz, which accounted for 61 percent of crude oil and 54 percent of naphtha last year. “Until the situation in the Middle East is fully resolved, securing alternative supply sources is essential,” he said.

He added that energy market instability appears to be entering a prolonged phase. The supplies secured from the UAE were aimed at easing short-term concerns, while the latest trip is focused on longer-term stability.

The delegation includes Industry Minister Kim Jeong-kwan, government officials and representatives from domestic energy companies. Kang said the government will work closely with importers to ensure agreements lead to actual shipments, providing support through to the arrival of tankers at South Korean ports.

Kang said procurement remains on track, with 59 percent of April’s crude demand secured and about 69 percent for May. “We are in a better position than neighboring countries and are managing the situation closely,” he said. Japan’s NHK reported that Japan expects to secure about 60 percent of its May crude needs compared with a year earlier.

This marks Kang’s seventh overseas trip as a special envoy. He previously visited Saudi Arabia in November with a letter from President Lee Jae-myung and has traveled twice to the UAE, where he built close ties with President Mohammed bin Zayed Al Nahyan.

Kang is also in regular contact via WhatsApp with Khaldoon Khalifa Al Mubarak, head of Abu Dhabi’s executive affairs authority. Even after the outbreak of conflict in the Middle East, he maintained communication and later visited the UAE, helping secure additional oil supplies, officials said.

The presidential office has introduced a real-time monitoring system to track supply and price trends for about 80 energy-related items, including paint, garbage bags, urea solution and concrete. The system uses color-coded indicators to flag potential risks.

“If warning signs appear, we review alternative supply sources and possible regulatory measures from all angles,” Kang said. Regarding 26 South Korean vessels in or near the Strait of Hormuz, Kang said the government is prioritizing crew safety while working with shipping companies and international partners to ensure safe passage. “We check on the safety of crew members every day,” he said. “There have been no issues so far.” He added that the vessels have about two weeks of food and four weeks of medical supplies.


Hoon-Sang Park tigermask@donga.com