NHK has learned that the Japanese government is confident it can secure crude oil imports for the month of May that are equivalent to about 60 percent of the same period last year. It plans to use alternative routes that bypass the Strait of Hormuz and purchase from alternative sources.
By combining these shipments with the release of domestic stockpiles, the government projects it can secure enough crude oil to see the country through to early 2027.
The Strait of Hormuz effectively remains closed to shipping amid the ongoing tensions over Iran. The government is stepping up moves to procure crude oil using routes that bypass the strait and from sources outside the Middle East to secure a stable supply.
Sources say for the current month, officials expect these alternative supplies will account for about 20 percent of the amount purchased last April. In May, they foresee the government raising the level to around 60 percent.
The government believes it can obtain the equivalent of half of last year’s supplies from the United Arab Emirates by using the eastern port of Fujairah, and from Saudi Arabia by taking a Red Sea route from the western port of Yanbu.
It thinks it can secure roughly four times the volume sourced last year from the United States, including the state of Texas. It also expects to procure oil from Azerbaijan.
The remaining shortfall will be covered by releasing oil from stockpiles. Government officials are considering tapping into 20 days’ worth of oil from national reserves in May.
With the alternative sourcing and the release from stockpiles, the government expects to secure enough crude oil to cover the country’s needs through early next year.