S Korea Targets 2035 Oil Dependence Cut Amid Geopolitical Tensions

The South Korean government has unveiled its first resource security master plan, aiming to reduce dependence on Middle East oil below 50% by 2035 and expand strategic reserve facilities by 20 million barrels.

Minister Kim Jung-kwan emphasized the importance of building a resource security posture that holds firm even in times of crisis, citing the lessons learned from the Middle East war. The plan involves diversifying import routes, contract structures, and crude oil grades for oil and natural gas to establish a stable supply framework.

The government will also expand the list of critical minerals used in semiconductors, batteries, and other industries from 38 to 51 types, with newly designated minerals including germanium, phosphorus, fluorite, and 10 rare earth elements. The stockpiling target for minerals with vulnerable supply chains will be raised from 180 days to a maximum of 365 days.