Japan's oil reserve release plan unchanged by price drop -industry minister
TOKYO : Japan's plan to release oil from strategic reserves
in coordination with the United States and other consuming countries remains
unchanged despite the recent drop in oil prices, industry minister Koichi
Hagiuda said on Friday.
Global oil prices have lost more than US$10 a barrel since
last Thursday when news of the Omicron coronavirus variant first shook
investors.
Japan's government said last week that it will release
"a few hundred thousand kilolitres" in response to a U.S. request,
though the details were still being worked out as it would entail some switch
in the composition of the types of oil held in the national reserve.
"There is no change in our plan of releasing oil from
reserves, as the sale will be done as a change in the type of oil, which we had
planned to do," Hagiuda said on Friday.
"As for the timing of the release, we will continue to
make preparations while keeping a close eye on developments in the
international energy market," he said.
Oil prices climbed on Friday after OPEC+ surprised markets
by sticking to its plans to boost output slowly but also said it would review
supply additions ahead of its next scheduled meeting if the Omicron variant hits
demand.
"We believe that the OPEC+ decision was made with a
certain degree of consideration for the position of consuming countries, but...
we will continue to urge oil-producing countries to increase production,"
he said.
Japan, along with the United States, has asked oil producers
to boost crude output to help lower prices.
The White House also said on Thursday it welcomed a decision
by OPEC+ to incrementally increase oil output, but added that the United States
has no plans to reconsider its decision to release crude reserves.
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