Geographic Feature: South Korea

Thursday, June 5, 2026. SOUTH KOREA. One of world's most import-dependent energy economies. Relies on foreign sources 90-95% of energy needs. Primarily crude oil and LNG. Negligible domestic fossil fuel production. No international oil/gas pipelines. Depends entirely on maritime tanker shipments. Creates structural vulnerabilities to geopolitical disruptions, chokepoints, supply shocks. CRUDE OIL IMPORTS: Just under 2.6 million barrels/day. Ranks among top global importers. Roughly 60%+ from Middle East. Highly exposed to Strait of Hormuz. Refineries 70-80% optimized for Middle Eastern heavy crude. Key ports: Busan, Gwangyang, Yeosu, Daesan. NATURAL GAS IMPORTS: South Korea among world's top LNG buyers. Key sources: United States (starting 2017 via KOGAS-Cheniere Sabine Pass deal 3.5 MTPA), Qatar/Middle East (21%+ of LNG), Australia, Russia Yamal LNG. Total LNG imports 46.3 Mt in 2024, only ~5.6 Mt from US. GEOPOLITICAL RISKS: Maritime chokepoints: Strait of Hormuz (critical 95%+ crude), Taiwan Strait, South China Sea, Suez/Persian Gulf routes. Tensions (Taiwan blockades, Houthi-style threats) could coincide with cyberattacks on LNG terminals, refineries, networks. Russia-Ukraine war disrupted flows, highlighted diversification needs. US LNG DIVERSIFICATION: Serves as diversification tool for energy security, reduce Middle East dependence. Shipping from US Gulf/future West Coast/Alaska projects avoid some Asian chokepoints. Faces economic hurdles amid declining domestic LNG demand during energy transition, occasional US export facility outages (Freeport). RUSSIAN LNG: Russian LNG exports Asia/South Korea via Yamal leverage shorter Arctic/Northern Sea Route distances. Persist despite sanctions. Illustrate shifting supply dynamics amid geopolitical realignments. INFRASTRUCTURE VULNERABILITIES: Climate risks (typhoons, sea-level rise) threaten ports handling 70%+ crude imports, 100% refining capacity. Major LNG terminals/refining hubs (Yeosu, Daesan) coastal/exposed. ENERGY SECURITY STRATEGY: Balance LNG's role in transition with diversification away from volatile regions. Structural dependence on seaborne imports from Middle East/elsewhere persists. Historical pipeline proposals (Russia via China/Sakhalin) not materialized at scale. BOTTOM LINE: South Korea barometer for Asian energy security. Chokepoint closures ripple through global economy. Watch Strait. Watch Taiwan. Watch ports.