U.S. Interior Secretary Doug Burgum stated that disruptions to oil and gas transportation caused by conflict in the Middle East have sparked renewed interest among Asian nations in importing more energy from the United States.
"They are seeking to diversify their energy supplies," Burgum said following a two-day meeting with Asia-Pacific countries in Tokyo.
The near-closure of the Strait of Hormuz, a passage for approximately one-fifth of global oil and gas supplies, along with the shutdown of Qatar's largest liquefied natural gas export facilities, provided significant context for discussions at the first Indo-Pacific Energy Security Ministerial Meeting and Business Forum. Although the summit had been planned months in advance to deepen cooperation between the U.S. and its Asia-Pacific allies on energy and critical mineral supply chains, the Middle East conflict added a new sense of urgency.
Burgum noted, "The urgency for reaching agreements has increased because many of the countries present rely on supplies transported through that strait."
During the talks, Japan's Minister of Economy, Trade and Industry, Yasutoshi Nishimura, repeatedly emphasized that around 90% of Japan's oil supply depends on crude oil shipped via the Strait of Hormuz. The discussions were held privately, and sources familiar with the matter requested anonymity.
When asked on Sunday about Japan's plans to secure oil from alternative sources, Nishimura declined to comment but added that the private sector is pursuing various initiatives, which the government aims to support.
Asian economies such as Japan and South Korea had already been considering importing natural gas from the long-stalled Alaska LNG project. Burgum indicated that these economies are now showing interest in oil as well. Former President Donald Trump has sought to revive the Alaska LNG project.
Burgum said, "The Alaska LNG project has long attracted attention due to its short shipping route to Asia, with much of the journey within U.S. territorial waters. However, one notable change this week has been the interest shown by South Korea and Japan in sourcing more oil from Alaska."
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