Myanmar Military Regime to Import Russian Crude Oil Starting September

Min Aung Hlaing Myanmar Military Commander-in-Chief [Photo by AP Yonhap News]

[Asia Economy Reporter Park Byung-hee] Bloomberg reported on the 17th (local time) that the Myanmar military regime plans to import Russian crude oil starting in September.

At a press conference on the same day, Myanmar military regime spokesperson Zaw Min Tun stated that the military chief, Senior General Min Aung Hlaing, successfully concluded crude oil import negotiations during his visit to Russia in July, and that Russian crude oil will be gradually introduced from September. He explained that Min Aung Hlaing had been negotiating crude oil purchases with Russia for several months prior to his visit, with the goal of quickly acquiring high-quality fuel oil at a low price.

Myanmar has also formed a separate 10-member committee for the purchase, storage, and distribution of Russian crude oil.

Myanmar experienced a military coup in April last year, and Russia's relations with the West have soured since its invasion of Ukraine in February. Concerns have arisen that Myanmar may face energy shortages as Western oil companies such as Chevron and Total have withdrawn from Myanmar's natural gas projects.

In this situation of shared hardship, solidarity between Myanmar and Russia is strengthening. Russia has supported the Myanmar military by supplying weapons and ammunition and assisting with military training. Myanmar's purchase of crude oil can be seen as a form of support for Russia.

The International Energy Agency (IEA) analyzed in a report released on the 11th that countries such as China, India, and T?rkiye (Turkey) have increased their imports of Russian crude oil since the outbreak of the Ukraine war, and that Western sanctions against Russia have had little effect on Russian crude oil exports.