Synopsis
In 2024, South Korea's gasoline and diesel exports reached unprecedented levels, with major refiners exporting over 50% of imported crude oil after refining. Despite a rise in volume, earnings fell due to declining global prices. The Korea Electric Power Corp. also projects an operating profit for the first time in four years.Key Takeaways
- Record high exports of gasoline and diesel from South Korea.
- Over 50% of crude oil processed was exported.
- Total petroleum exports increased by 4.8%.
- Despite volume increases, export earnings fell by 2.9%.
- KEPCO forecasts its first profit in four years.
Seoul, Feb 2 (NationPress) The exports of gasoline and diesel by prominent refiners in South Korea achieved an unprecedented peak in 2024, with more than 50 percent of all imported crude oil being dispatched overseas after processing, according to data released on Sunday.
The nation's four major refiners—SK Energy Co., GS Caltex Corp., S-Oil Corp., and Hyundai Oilbank Co.—exported 111.89 million barrels of gasoline and 211.66 million barrels of diesel in 2024, as reported by the Korea Petroleum Association.
This total represents the highest export volume since the association began tracking such figures in 1992.
Overall, exports of petroleum products rose by 4.8 percent compared to the previous year, reaching 490.45 million barrels in 2024, making it the second-highest total in history, following the record established in 2018.
Despite the surge in export volume, the companies experienced a 2.9 percent decline in export earnings, totaling US$45.17 billion, attributed to falling global prices.
The association indicated that the increased export volume is a result of domestic refiners' strategies to find a “breakthrough” amid declining refining margins by boosting exports of light oil products.
In terms of fuel type, diesel constituted 41.1 percent of total exports in 2024, followed by gasoline at 22.8 percent, aviation gasoline at 18 percent, and naphtha at 8.1 percent.
Simultaneously, the state-owned Korea Electric Power Corp. (KEPCO) is anticipated to report an operational profit for 2024, marking its first positive outcome in four years due to recent rate increases, as indicated by data released on Sunday.
KEPCO is projected to achieve an annual operating profit of 8.86 trillion won ($6.07 billion) for the past year, reversing a loss of 4.57 trillion won in 2023, based on data compiled by Yonhap Infomax, the financial data branch of Yonhap News Agency.
For the fourth quarter, the company is expected to report an operating profit of 2.9 trillion won.
KEPCO has experienced operating losses for three consecutive years since 2021, accumulating a total loss of 43 trillion won due to surging global energy prices triggered by the Russia-Ukraine war and other geopolitical issues.
