Seoul: The United Arab Emirates has pledged to prioritize South Korea in its crude oil supply commitments, securing a significant 24 million barrels of oil for the nation amidst escalating tensions in the Middle East. This announcement was made by Kang Hoon-sik, the presidential chief of staff, following his return from the UAE.
According to Yonhap News Agency, Kang highlighted the assurance given by the UAE that South Korea would take precedence over other countries in receiving crude oil supplies. This assurance comes at a time when the global energy market faces uncertainties due to the ongoing U.S.-Israeli attack on Iran and subsequent retaliatory actions by Tehran, which have now stretched into their third week.
Kang detailed that an emergency agreement allows South Korea to make immediate purchases of crude oil from the UAE, securing an additional 18 million barrels beyond prior commitments. This includes 6 million barrels transported via three UAE-flagged vessels and 12 million barrels via six Korean-flagged vessels. An impending memorandum of understanding between the two countries will further solidify cooperation in the crude oil supply chain, including exploring alternative supply routes.
The arrangement ensures that South Korea avoids potential crude oil supply challenges, with Kang emphasizing that the country now has a buffer against the worst-case scenario in oil supply disruptions.
While Kang refrained from discussing potential arms exports linked to the oil supply issue, he confirmed that no official request had been made by the United States for South Korea to deploy warships to the Middle East, stating that it was not the appropriate time for such discussions.
In addition, Kang noted that about 3,000 of the 3,500 South Korean nationals who were temporarily in the UAE have safely returned home. During his visit, he also conveyed a letter of gratitude from President Lee Jae Myung to UAE President Mohamed bin Zayed Al Nahyan for his support.
Kang's visit follows a previous trip to the UAE three weeks earlier, where both nations agreed to pursue cooperation projects amounting to over US$65 billion, including substantial investments in the defense industry.