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Countries in places like East Asia are trying to keep supplies of oil and gas stable as the war in the Middle East chokes off access to key sources of both.
Transcript
00:03Drivers at this Manila gas station fill up, at a premium price. Prices around the world have jumped,
00:09with the critical Strait of Hormuz blocked off amid the U.S.-Israeli war with Iran.
00:13The Philippines' official government news agency predicted Monday that gas prices could
00:17break US$1.50 per liter this week. And so the Philippines is looking elsewhere for fuel. It's
00:24working on agreements with countries like Indonesia and China, and it might even start
00:28importing Russian oil too, as the U.S. eases sanctions on it. The details aren't in yet,
00:35but this and a possible temporary lifting of gas taxes may help Filipinos weather a time of
00:40instability. And the government says it's working to keep supplies stable. The most important for
00:46today is we have supply. We have supply, so there is no need to cause panic among our people.
00:55Japan is moving to keep the oil flowing too, from storage tanks like these ones in the southern
01:00city of Kagoshima. Japan's been preparing for a moment like this since the oil shocks of the 1970s,
01:06when it started a national reserve. Tokyo says it's releasing 80 million barrels, a record amount,
01:12and enough to keep the country running for around 45 days. That's on top of a release of 15 days'
01:19worth
01:19of private sector oil on Monday. And more will be on the way, with the government expected to release
01:24an additional month's supply at the end of March. It's not just oil supplies the Middle East War has
01:30choked off. In Taiwan, natural gas has been a particular concern. This footage, released by state
01:37refiner CPC, is meant to calm nerves. It shows an LNG ship able to carry up to 83,000 metric
01:44tons,
01:45docking in Kaohsiung last Friday. The gas onboard should keep natural gas plants running at full
01:50capacity for a week to 10 days. Reuters also reports that CPC has bought jet fuel for April,
01:57in the low US$30 per barrel, a premium price. The Economy Ministry says all natural gas shipments
02:04for March and April are secure. And the fact that only a third of Taiwan's natural gas comes from
02:09Qatar, cut off inside the Hormuz Strait, means there are alternatives should the crisis in the Middle
02:14East continue. Still, some analysts say that March and April are one thing, but meeting peak demand in the
02:21summertime is the thing to watch out for. With no signs of the war in the Middle East winding down,
02:35the International Energy Agency, or IEA, plans to dig further into its emergency supplies.
02:41Even if the war ended today, the agency says, getting the global energy trade back to normal
02:47would take time. And so, after a historic recommendation to release 400 million barrels
02:53of oil last week, the agency is saying further releases are still feasible.
02:57Despite this huge release, we still have a lot of stocks left. This current stock release,
03:05once it is completed, will reduce the emergency stocks in IEA countries only by around 20%.
03:15For now at least, stockpiles saved up for a crisis just like this are holding. But until the war in
03:21the Middle East ends, or Iran changes its strategy, key sources of oil and gas are cut off for the
03:27foreseeable future. Joseph Wu and John Van Trieste for Taiwan Plus.
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