US will help S. Korea find alternatives to Iran oil

The United States will continue to help South Korea find alternatives to imports of Iranian oil, Yonhap quoted a senior US official as having said.

US Assistant Secretary of State for Energy Resources Francis Fannon made the remark in an interview with Yonhap News Agency and Yonhap News TV, shortly after Washington announced an end to waivers for purchases of Iranian crude.

That means South Korea, along with seven other economies that were granted temporary waivers in November, will face potential US sanctions if they continue to buy Iranian oil after May 1.

Fannon said the decision was made after a year of consultations with South Korea and other importing nations. He also said all importers were treated equally.

“I think the alliance between the United States and South Korea is certainly an enduring one. That continues,” Fannon said.

South Korea relies heavily on Iranian condensate to produce petrochemical products, which are a leading export item, along with semiconductors.

Fannon stressed that there are increasing volumes of oil and condensates on the market to satisfy global demands. As for the specific alternative sources, that would be up to South Korean companies to decide, he said.

The import ban is among the sanctions Washington imposed on Tehran last year after President Donald Trump withdrew the US from the 2015 nuclear deal with Iran.