Adnoc delivers crude to Korea storage unit
Seoul, September 28, 2013
Abu Dhabi National Oil Company (Adnoc) has delivered two million barrels of crude to South Korean storage facilities, the first such shipment by the UAE firm after it leased the space to store six million barrels, South Korea's energy ministry said.
Leasing benefits South Korea in terms of oil supply security as it has first rights to the stored crude in case of emergency, while the arrangement allows leaseholders to quickly move cargoes in the region to meet any change in demand.
Adnoc rented the space to store 6m barrels from South Korea late last year, becoming the 12th international company to hold storage facilities in the world's No 5 crude importer, joining other producers, oil majors and investment banks.
The remaining 4m barrels from the state-run energy giant are scheduled to be delivered within six months, the ministry said.-Reuters