Abu Dhabi to almost double Japan oil stockpile
Abu Dhabi has agreed to nearly double a strategic crude stockpile in Japan to 1 million kilolitres as the nation’s demand for oil grows in the wake of the Fukushima disaster, Wam reported.
The expansion would increase the oil stockpile at Kagoshima to 6.28 million barrels of oil. The current stockpile of 3.77 million barrels of crude was agreed in 2009, when that amount was equivalent to one day of Japanese demand.
Since the 2011 Fukushima Dai-ichi triple meltdown, the shutdown of most of Japan’s nuclear reactors has fuelled a rise in hydrocarbon imports that the government says is costing an extra US$36 billion a year.
The stockpile increase came at the end of a visit to Japan by Sheikh Mohammed bin Zayed, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the Armed Forces, that was accompanied by a raft of agreements in fields from medicine to aviation.
Masdar, the government-owned clean energy company, signed a memorandum of understanding with the Japan Bank for International Cooperation, the state export agency, to finance and work on wind, solar and other renewables projects. These could be outside Japan and the UAE and could also include carbon capture, the experimental practice of injecting greenhouse gases underground, and the development of sustainable cities, according to the release on Wam.
“Japan and the UAE continue to strengthen a multilateral relationship that has been built on a foundation of common values and a shared vision in areas of energy, economics and politics,” said Sultan Al Jaber, the chief executive of Masdar. “We expect, through this MoU, to capitalise on the opportunities for economic growth and energy security through the deployment of renewable energy.”
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Updated: February 26, 2014 04:00 AM