President Lee Jae Myung, center left, visits Korea National Oil Corp.'s strategic oil reserve complex in Seosan, South Chungcheong Province, March 26. Korea Times photo by Wang Tae-suk
Korea is taking a cautious approach with the timing of its oil stockpile release under the agreement among International Energy Agency (IEA) members amid concerns there could be a global oil crisis in August, an industry ministry official said Tuesday.
Earlier this year, Seoul pledged to release 22.46 million barrels of oil from its strategic reserves by June 9 under a joint plan adopted by 32 member nations of the IEA as part of efforts to help address disruptions in oil markets sparked by the U.S.-Israeli war against Iran in late February.
But Yang Ghi-wuk, deputy minister for trade, industry and resources security, told reporters in a regular press briefing that the Seoul government is trying to cautiously determine the timing of the release as the option should be used as a "final" card for the worst situation.
"Concerns over (a possible oil crisis) have somewhat eased recently with news that the situation in the Middle East may get better, but until just a few days ago, there have been projections that oil supplies may suffer disruptions if the effective closure of the Strait of Hormuz continues for longer," he said.
