Israel's Airstrike on Iran Sends Global Oil Prices Up 10.7% in a Day... Government Says "All Oil Tankers Operating Normally"

As Israel launched a preemptive strike against Iran on the 12th (local time), rapidly altering the situation in the Middle East, the government conducted an emergency review of the oil and gas supply situation. The government confirmed that all oil tankers and liquefied natural gas (LNG) carriers currently sailing or loading near the Middle East are operating normally, but decided to strengthen monitoring as future developments could have an impact.

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The Ministry of Trade, Industry and Energy announced on the 13th that Yoon Changhyun, Director General for Resource Industry Policy, held an emergency situation review meeting at the Korea Gas Corporation conference room in Seoul with related agencies, industry representatives, and experts to assess the Middle East oil and gas supply situation, the impact on oil prices, and emergency response readiness.

According to the Ministry, as of noon on the 13th, following the airstrike, Brent crude oil was trading at $76.8 per barrel, up approximately 10.7% from the previous trading day.

The government stated that, so far, there have been no disruptions in the import of crude oil or LNG into the country, and confirmed that all oil tankers and LNG carriers sailing or loading near the Middle East are operating normally. However, depending on how the situation unfolds, there could be significant impacts on domestic crude oil and LNG imports. In response, the Ministry, together with Korea National Oil Corporation and Korea Gas Corporation, reviewed the domestic oil and gas stockpile status and checked the industry's emergency response plans. The Ministry, related agencies, and the industry will continue to closely monitor the situation in the Middle East and respond swiftly if necessary.

Yoon stated, "As our country's dependence on Middle Eastern oil and gas imports is high, developments in the region are closely linked to our energy security. The government, industry, and agencies will closely monitor the impact of this airstrike on domestic oil and gas supply and prices, and will respond quickly as one team to minimize any burden on the national economy if necessary."