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South Korea Raises Energy Alert and Activates Oil Swap as 50 Million Barrels Secured

The push aims to keep refineries running to protect fuel at home.

Overview

  • Officials said Thursday that roughly 50 million barrels are lined up for April, compared with about 80 million barrels in a normal month, with more alternative cargoes expected in May.
  • The government raised its resource‑security alert to Level 3 on Wednesday, the second‑highest tier, to tighten demand controls and speed supply diversification.
  • Emergency deliveries from the UAE under a 24 million‑barrel priority deal are moving, including 2 million barrels that arrived Monday and more due in early to mid‑April.
  • A first‑ever crude swap launched Tuesday lets refiners borrow government‑held Middle Eastern oil now and return equivalent volumes later, with four firms applying for about 20 million barrels and an initial 2 million‑barrel swap planned.
  • Seoul is shifting purchases toward the United States and other suppliers and is curbing use at home, with an odd‑even driving rule for public‑sector cars from April 8 and an export ban on naphtha to shield petrochemical feedstock.