On Monday, March 23, US Secretary of the Interior Doug Burgum stated that Asian countries are seeking to purchase more US oil and natural gas in order to reduce their reliance on the Middle East.
Japan, South Korea, and Taiwan heavily rely on Middle Eastern oil exports that pass through the Strait of Hormuz. The volume of oil tankers transit through this strait has significantly decreased due to Iran’s attacks on commercial ships in the Persian Gulf.
Burgum, in an interview with CNBC on Monday, mentioned that Asian countries or regions are looking to buy more energy from the US. Similarly, President Trump’s energy dominance strategy aims to provide stable and alternative energy supply for US allies.
Earlier this month, Burgum just concluded his trip to Japan. He told CNBC, “Our allies and friends can buy energy from us instead of being forced to purchase from countries that wage wars or sponsor terrorism.”
The US and Israel’s attacks on Iran have caused the largest oil supply disruption in history. Meanwhile, the US is the world’s largest producer of oil and natural gas.
At the S&P Global Energy Week conference held in Texas, Japan’s Ministry of Economy, Trade and Industry (METI) official Masahiko Matsuo stated that because Japan’s 90% of oil imports rely on the Strait of Hormuz, a war would have a “significant impact” on Japan’s energy imports.
He emphasized that Japan has prioritized finding alternative energy supply sources.
“It’s not an easy task,” he added. “The US is one of the most anticipated alternative energy sources for Asian countries.”
Asian countries and regions also heavily rely on liquefied natural gas (LNG) exports passing through the Strait of Hormuz. Iran’s attack on Qatar’s energy infrastructure has led to about 20% of global LNG supply disruptions.
Burgum stated that Alaska in the US will play a crucial role in ensuring energy security in Asia.
The US Department of the Interior recently held an oil and gas lease auction in the National Petroleum Reserve in Alaska. The Trump administration has also prioritized a major liquefied natural gas project in Alaska.
Burgum highlighted that energy exports from Alaska can reach Asian allies in just eight days, with a five-day journey through US territorial waters off the coast of the Aleutian Islands.
“This is a secure energy supply,” emphasized the Secretary of the Interior.