Japan to release extra 20 days’ worth of oil reserve from May
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The move comes amid uncertainty over the reopening of the Strait of Hormuz despite the US-Iran ceasefire deal.
PHOTO: AFP
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TOKYO – Japan plans to release an additional 20 days’ worth of oil reserves starting in early May at the earliest, Prime Minister Sanae Takaichi said on April 9, amid uncertainty over the reopening of the Strait of Hormuz despite the US-Iran ceasefire deal.
She confirmed the plan on April 10.
“To ensure the stable supply of crude oil, we will release starting in early May the equivalent of roughly 20 days’ worth (of oil) from the national reserves,” she said at a meeting held in response to the conflict in the Middle East.
The plan was revealed at a ministerial meeting to address the Middle East situation and will follow the nation’s ongoing release of some 50 days’ worth of oil to the market, which began in mid-March, from reserves held by the state, the private sector and oil-producing Gulf countries.
As Japan prepares for a potential prolonged disruption in crude oil supplies, Ms Takaichi stated at a partially open meeting to media, “We will take every possible measure to ensure a stable supply of crude oil.”
Japan relies on the Middle East for more than 90 per cent of its crude oil imports, most of which pass through the Strait of Hormuz, a key artery for global energy shipments which Iran effectively blocked after the launch of US-Israeli strikes on Iran in late February.
Washington and Tehran agreed to a conditional two-week ceasefire on April 7, just before a deadline unilaterally set by US President Donald Trump expired for Tehran to reopen the strait or face the destruction of its critical infrastructure. KYODO NEWS, AFP
