Taiwan's CPC ready to diversify crude imports if Hormuz reopens
By Ben Blanchard
TAIPEI, June 17 (Reuters) - Taiwan's state energy firm CPC said on Wednesday it is monitoring developments in the Middle East and will be ready to import a wider variety of crude oil and liquefied natural gas in the coming months if the Strait of Hormuz reopens.
The United States and Iran signed a memorandum of understanding this week to end the Middle East conflict, though details are yet to be made public. The interim agreement extends a tenuous ceasefire announced in April by another 60 days to allow the warring countries to negotiate a permanent truce.
CPC said it has consulted with companies with cargoes stranded in the Gulf, which said they continue to monitor developments as the situation remains uncertain.
"Currently, national petroleum inventories are at high levels," CPC said in a statement released to media.
If the Strait of Hormuz reopens, CPC said it would designate loading ports within the Gulf during July and August to secure a more diverse range of crude, such as heavier grades with more sulphur content, to produce more bitumen and sulphur to meet domestic demand.
CPC will also consider importing LNG from Qatar, which would arrive in Taiwan from early September if the strait reopens.
"CPC continues to closely monitor developments in the Middle East and will promptly and flexibly adjust its oil and gas procurement plans as needed," the company added.
Separately, when asked if Taiwan would resume Iranian oil imports when the U.S. waives sanctions, Taiwan's Economy Ministry Energy Administration told Reuters: "Going forward, depending on the situation in the Strait of Hormuz, Taiwanese businesses will assess energy imports from the Middle East region, without being limited to any specific country."
Taiwan last imported Iranian crude in 2018.
