Mexico to Export 1 M. Barrels of Crude Oil to Japan

Sao Paulo, April 23 (Jiji Press)–Mexican President Claudia Sheinbaum said Thursday that she has agreed with Japanese Prime Minister Sanae Takaichi to export 1 million barrels of Mexican crude oil to Japan. The move is expected to help Japan, which relies on the Middle East for more than 90 pct of its crude oil imports, diversify its procurement sources amid concerns over supply disruptions following the de facto blockade of the Strait of Hormuz, a critical waterway for oil from the region. In a regular press conference, Sheinbaum said that Japan had asked Mexico’s national oil company for crude oil supply and that she agreed during telephone talks with Takaichi on Tuesday to export 1 million barrels to the Asian nation. The Mexican president did not specify the timing of the planned export. During the phone talks, the two leaders also agreed to enhance cooperation, including in energy supply, in light of the crisis over Iran. Mexico produces approximately 1.8 million barrels of crude oil per day, with 400,000 to 500,000 barrels of them, excluding domestic consumption, allocated for exports. The country has exported oil to Japan in the past. Last year, Japan imported about 2.36 million barrels of crude oil per day. The amount agreed with Mexico is less than one day’s supply, highlighting the need for Japan to further develop its procurement sources to ensure stable imports. END [Copyright The Jiji Press, Ltd.]