10 Okt Tank Storage Agreement
Under the terms of the agreement, the CCP will be able to store 5 million L (3.14 million bbl) of crude oil in tanks in Japan, with the support of the Japanese government. The CCP will be able to use the tanks as a refueling base for East Asia, although in the event of an emergency such as a crude oil shortage, it supplies Japan preferably over other countries. 5 million L corresponds to 1.5 days of oil consumption in Japan. According to Argus Media, the tanks to be used by the CCP are at the Kiire oil terminal in kagoshima prefecture in southern Japan, which is owned by Japan`s Eneos refinery. The Kiire oil terminal is also used by ADNOC Abu Dhabi under a similar storage contract signed with Japan in January 2020. Japan has also a storage agreement with Saudi Aramco, which can store up to 6.3 million bbl of crude oil on the island of Okinawa. METI says the deal is important given a destabilizing global situation, as it will strengthen relations with Kuwait, which is a major supplier of crude oil to Japan and supplies about 8.5 percent of its oil in 2019, and improve Japan`s ability to respond to a crisis. . . .