Japan to replace US crude oil with Iran’s supplies

According to Mikrofonnews Agency (MHA),  Japanese oil refineries are reviewing the idea of replacing America’s crude oil to Iran’s supplies, after September this year, Reuters quotes a “reliable source”.

“Due to sanctions we are thinking of buying America’s crude oil in particular grades such as Southern Green Canyon and Mars, which are similar to crude from Iran”, the source said to Reuters.

Increasing purchases by refiners such as JXTG, Japan’s biggest, are likely to please U.S. President Donald Trump, who is pushing Japan to reduce its trade surplus with the United States, which topped $63 billion in 2017.

Nearly 4 million barrels of U.S. crude is due to arrive in Japan, the world’s fourth-biggest oil importer, between June and September, according to the source.

They will add to about 2.4 million barrels worth 16.81 billion yen ($153 million) imported in the year through May, according to the latest statistics from the country’s Ministry of Finance.