Japan To Start Releasing Extra 20 Days' Worth Of Oil Reserves From May 1

TOKYO, April 24 (Bernama-Kyodo) -- The Japanese government said Friday it will additionally start releasing around 20 days' worth of oil reserves from May 1, amid uncertainty over the reopening of the Strait of Hormuz despite the U.S.-Iran ceasefire deal, Kyodo News reported.

The move follows the initial release of some 50 days' worth of oil to the market that began in mid-March, from reserves held by the state and others to stabilise the resource-scarce nation's energy supply in the wake of U.S.-Israeli strikes on Iran.

The second release will free up 5.8 million kiloliters, worth 540 billion yen ($3.4 billion), the Ministry of Economy, Trade and Industry said.

The national reserves will be supplied from 10 storage bases across the country to four major oil wholesalers -- Eneos Corp., Idemitsu Kosan Co., Cosmo Energy Holdings Co. and Taiyo Oil Co.

Japan depends on West Asia  for more than 90 per cent of its crude oil imports, most of which passes through the Strait of Hormuz, a vital artery for global energy shipments.

-- BERNAMA-KYODO