Seoul, Sep 14 (IANS) The recent shutdown of a major oil pipeline in Saudi Arabia is expected to have only a limited impact on supply in the short term, the South Korean industry ministry said on Monday, pledging to closely monitor the situation in cooperation with relevant businesses.

The Ministry of Trade, Industry and Resources hosted a meeting with businesses to discuss ways to address escalating tensions in the Middle East, including an attack on Saudi Arabia’s crucial East-West pipeline, reports Yonhap news agency.

According to the ministry, local oil refiners have secured more than 90 percent of the crude needed for September and October based on the previous year’s levels, noting that the latest developments are expected to cause very little shortfalls in regard to supply.

The government said it will continue to monitor developments in the Middle East while supporting shippers seeking to use alternative routes.

“The government will communicate closely with oil refiners and maritime shippers while closely monitoring supply conditions to prevent any inconvenience to the public,” Vice Industry Minister Moon Shin-hak said.

South Korea will also utilise all available policy measures, including a crude oil swap system with private companies, he added.

Meanwhile, South Korea and the United States plan to hold their senior-level regular defence talks this week, the defence ministry said on Monday, amid Seoul weighing military deployment to the Strait of Hormuz.

The biannual Korea-U.S. Integrated Defense Dialogue (KIDD) will be held in the southeastern port city of Busan from Wednesday through Friday, according to the ministry.

Kim Hong-cheol, deputy defence minister for policy, and George Lemeur, U.S. deputy assistant secretary of war for East Asia, will lead the talks, along with other key defence and foreign affairs officials.

“The meeting is expected to discuss a wide range of pending security issues, including (Seoul’s) retaking of wartime operational control (OPCON), joint defence posture and cooperation in shipbuilding,” the ministry said.

–IANS

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