Seoul: South Korea will begin importing Argentine crude oil in 2027

A senior official of the South Korean government said that South Korea will begin to import crude oil from Argentina in 2019. This is part of Seoul's efforts to diversify its energy supply beyond the Middle East.

Wi Sung-lac, South Korean National Security Adviser, said that the initial purchases will total approximately 880,000 barrels. This follows a South Korean firm's trial import of Argentine oil this year.

Wi told reporters that the volume was not large yet, but that it was a good start. He spoke during the visit of President Lee Jae Myung to Buenos Aires. He said that imports may increase as Argentina develops its export capability and increases oil and gas production.

Wi reported that Lee met with Argentine President Javier Milei Friday and the two governments agreed to help stabilize the launch of crude oil trade.

Seoul is pursuing a larger effort to reduce the geopolitical risks associated with its dependence on Middle Eastern crude oil. South Korea and Argentina have also agreed to explore a wider range of cooperation, such as in the areas of natural gas, nuclear energy, and critical minerals like lithium and copper.

Argentina is increasing its hydrocarbon production, notably?from the Vaca Muerta shale. Wi said Milei’s government anticipated Argentina's energy imports would rise substantially. This would allow for an expanded cooperation with South Korean buyers.

Both countries have also concluded negotiations on a treaty to reduce double taxation in order to improve the conditions for South Korean investments in Argentina.

(source: Reuters)