Russia is set to funnel nearly $10m in 2026 into joint oil and gas exploration off the coast of North Korea.
The focus of the investment is placed on the deepwater basin in the Sea of Japan. The move was confirmed by Russia’s first deputy finance minister Irina Okladnikova during a recent budget committee session in the State Duma.
According to NK News, she revealed that 890m rubles (around $9.7m) have been earmarked for offshore resource assessment in the area, following a direct request from Russia’s president, Vladimir Putin.
The funding will evaluate the oil and gas potential of the North Korean continental shelf in the Sea of Japan, and in the long term, help with Pyongyang’s energy shortages.
North Korea has already submitted some of the required documentation to kick off joint offshore research. The two countries inked a hydrocarbon exploration deal in November 2023.
Russia’s Ministry of Natural Resources will commence geological planning once all necessary geophysical maps are in hand.
Interestingly, the USSR previously attempted oil exploration in North Korea’s part of the Yellow Sea but didn’t uncover significant finds.
Despite strict UN sanctions on North Korea, including a cap of 500,000 barrels annually on petroleum imports, Russia has been delivering refined petroleum products to the Asian country by reportedly skirting international restrictions.