US approval needed to purchase more Russian oil


Manila said it was seeking US permission to buy more Russian crude, as the import-dependent Philippines scrambles to shore up scant fuel supplies amid a blockade of the Strait of Hormuz.

The Philippines’ sole oil refinery secured nearly 2.5 million barrels last month after seeing at least four million barrels in shipments cancelled since the start of the US-Israeli attacks on Iran.

Washington last month eased some sanctions tied to Russia’s war on Ukraine to allow countries to purchase Russian oil that was already at sea until April 11 to stabilise energy markets, following the effective closure of the Strait of Hormuz.

“We have communicated with the Department of Foreign Affairs for another window or extension of the lifting of the embargo,” Philippine Energy Secretary Sharon Garin told reporters.

While there has been no US response, “we’re very positive in getting this other window. If it doesn’t come through, we have other options also”, she added.

“The Department of Energy sees this current problem as not only a problem for today or next week or next month. It will be a prolonged problem,” Garin said.

About 30% of the Philippines’ crude imports depend on supplies that have to pass through the strait.

The rest of Manila’s fuel needs are sourced from Asian refiners that are also dependent on Middle East crude.

The supply crunch has caused local pri­ces for products like diesel to double.

The Philippines has about 50 days’ worth of petroleum supply, Garin said. — AFP

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