South Korea's June Iran crude imports surge nearly 115%
(Reuters) South Korea's crude imports from Iran jumped nearly 115% in June from a year earlier as cheaper prices for Iranian condensate prompted Asia's major ultra-light oil buyer to boost purchases of the oil products last month.
Seoul brought in 1.04 M tons of Iranian crude oil last month, or 254 Mbpd, more than two times higher than 485,182 tons imported a year earlier when sanctions were imposed on Tehran, its customs office data showed on Friday.
The world's fifth-largest crude oil importer brought in 6.12 M tons, or 246 Mbpd, of crude from the Middle Eastern country in the first half of this year. That was almost 108% higher than 2.95M tons in the same period in 2015, according to the data.
June's volume was expected to soar as two South Korean buyers, refiners SK Energy and Hanwha TotalPetrochemical Co were set to lift at least 6 MMbbl of Iranian South Pars condensate (SPC) in June, up from about 3 MMbbl to 4 MMbbl in April and May, according to trade sources.
More Iranian condensate imports are expected in the fourth quarter if Iran signs a deal with Hyundai Chemical to supply the company's new 110 Mbpd splitter in Daesan, expected to be completed in the second half of the year.
Hyundai Chemical is a joint venture between Hyundai Oilbank Co. and Lotte Chemical.
Hyundai Oilbank declined to comment on a term supply deal with the National Iranian Oil Company (NIOC).
Overall, Asia's No.4 economy imported 11.26 M tons of crude last month, or 2.75 MMbpd. The total was 5.5% higher than the 10.67 M tons imported in June of 2015, the customs data showed.
In the first half of this year, South Korea imported 70.99 M tons of crude, or 2.86 MMbpd, compared with 67.46 M tons, or 2.73 MMbpd, in the same period in 2015.
Final data for last month's crude oil imports will be released by state-run Korea National Oil Corp. later this month.
Reporting by Jane Chung; Editing by Joseph Radford
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