BMI View: Even as we expect the current lower oil price environment to continue to support refining margins and lower crude feedstock costs, the slowdown in demand in South Korea's major refined fuels exports markets, notably China, will keep a lid on exports growth over the next decade. We also note that while South Korea will remain a sizable net importer of LNG through to 2024, muted economic growth and energy diversification in the power sector will see the country's import requirements gradually trend downwards over the long-term.
|e/f = BMI estimate/forecast. Source: KNOC, EIA, BMI|
|Crude, NGPL & other liquids prod, 000b/d||20.0||20.0||19.6||19.2||18.8||18.4||18.4|
|Dry natural gas production, bcm||0.5||0.4||0.2||0.1||0.1||0.0||0.0|
|Dry natural gas consumption, bcm||52.6||47.8||47.0||46.3||45.1||44.2||43.3|
|Refined products production, 000b/d||2,590.8||2,821.1||2,849.3||2,877.8||2,906.6||2,921.1||2,950.3|
|Refined products consumption & ethanol, 000b/d||2,331.5||2,259.9||2,267.6||2,275.5||2,283.4||2,291.3||2,299.0|
Latest Updates And Key Forecasts
South Korea's large refining sector will keep its crude oil imports elevated over the next decade, helping it to maintain its position as the world's fifth largest crude oil importer.
The Middle East will remain the country's largest supplier of crude oil, though the government is actively trying to diversify its crude sources. In fact, the country plans to provide freight incentives to non-Middle Eastern crude shipments from 2016. This will provide greater opportunities for suppliers in Europe, Africa and the Americas.
Asia will remain South Korea's largest refined fuels export market, accounting for about 87% of the country's total fuels exports in 2014.
The country will continue to import large amounts of LNG through to 2024, though we anticipate a gradual decline in its gas import requirements as subdued economic growth and energy diversification, especially in the power sector, keep a lid on domestic gas consumption growth.
The South Korea Oil & Gas Report has been researched at source and features BMI Research's independent forecasts for South Korea including major indicators for oil, gas and LNG, covering all major indicators including reserves, production, consumption, refining capacity, prices, export volumes and values. The report includes full analysis of industry trends and prospects, national and multinational companies and changes in the regulatory environment.
BMI's South Korea Oil & Gas Report provides professionals, consultancies, government departments, regulatory bodies and researchers with independent forecasts and competitive intelligence on the Korean oil and gas industry.
- Benchmark BMI's independent oil and gas industry forecasts for South Korea to test consensus views - a key input for successful budgeting and strategic business planning in the Korean oil and gas market.
- Target business opportunities and risks in the Korean oil and gas sector through reviews of latest industry trends, regulatory changes and major deals, projects and investments in South Korea.
- Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. SWOTs, KPIs and latest activity) and Competitive Landscape Tables.
BMI Industry View
Summary of BMI’s key forecasts and industry analysis, covering oil and gas reserves, supply, demand and refining, plus analysis of landmark company developments and key changes in the regulatory environment.
Industry SWOT Analysis
Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the upstream and downstream sectors and within the broader political, economic and business environment.
BMI Industry Forecasts
Historic data series and forecasts to end-2024 for all key industry indicators, supported by explicit assumptions, plus analysis of key downside risks to the main forecast:
- Pricing: Oil price (USD/bbl, WTI, Brent, OPEC basket, Urals); oil products prices (unleaded gasoline, gasoil/diesel, jet/kerosene – USD/bbl) at global hubs.
- Production, Consumption, Capacity & Reserves: Proven oil reserves (bn barrels), production, consumption, refinery capacity and throughputs (‘000b/d); proven gas reserves (tcm), production and consumption (bcm) and fuels trade.
- Imports & Exports: Crude oil exports/imports (‘000s b/d) and value of crude oil trade in USD. Fuels exports/imports (‘000s b/d) and value of fuels trade in USD. Natural gas imports/exports (bcm), by pipeline and/or LNG, and value of natural gas trade.
BMI’s Oil & Gas Risk Reward Index
BMI’s Risk Reward Indices provide investors (independents, NOCs, IOCs, oil services companies) looking for opportunities in the region with a clear country-comparative assessment of the upstream and downstream market’s risks and potential rewards. Each of the country markets are scored using a sophisticated model that includes more than 40 industry, economic and demographic data points to provide indices of highest to lowest appeal to investors, with each position explained.
A profile of the upstream and downstream sectors, including analysis of reserves, output, consumption and trade of energy products; overview of the industry landscape and key players; assessment of the business operating environment and the latest regulatory developments.
Comparative company analyses by USD sales, % share of total sales, number of employees, year established, ownership structure, oil production (‘000b/d), gas production (bcm), downstream capacity (‘000b/d) and % market share.
Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI’s industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape to generate Company SWOT analyses. The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.
Regional perspective on size and value of the industry. Plus comparative rankings by production, refining, imports and exports of oil, gas and LNG.
Global Oil Market & Oil Products Outlook
Based on our country coverage of over 99% of global oil and gas production and consumption, BMI provides demand, supply and price forecasts to end-2024 for oil, gas and oil products.
The Oil & gas Reports draw on an extensive network of primary sources, such as multilateral organisations, government departments, industry associations, chambers and company reports.
*Company profiles are not available for every country. Those reports instead contain information on the current activities of prominent companies operating in the market.