South Korea Imports First-Ever Ultralight Crude from Australia

SK Innovation E&S has announced plans to bring Australian ultralight crude oil into South Korea for the first time. The company secured 1.1 million barrels of this light liquid form of crude oil from the Barossa gas field in northwestern Australia, with 300,000 barrels set to enter the country through Incheon Port in early August.

The ultralight crude, also known as condensate, is a byproduct of natural gas production and contains a high proportion of naphtha, a basic material used to make plastics and synthetic fibers. SK Innovation E&S will feed this volume into its dedicated facilities at SK Incheon Petrochem, where the naphtha extracted through the process will be made into high-value chemical products.

The Barossa gas field is a large offshore project in which SK Innovation E&S has participated since 2012, taking part in every stage of development from reserves assessment to construction. The company holds an equity share of 37.5% in the project, with Santos and JERA holding 50% and 12.5%, respectively.