Canada, South Korea deepen energy and mineral ties

Canada and the Republic of Korea have significantly expanded their strategic partnership in energy and critical minerals, a move driven by shared goals of supply chain diversification and long-term economic cooperation. The agreement, announced following a high-level meeting in Ottawa on June 2, centers on a major increase in Korean imports of Canadian crude oil and liquefied natural gas, alongside plans for joint stockpiling of critical minerals.

The meeting involved Canada’s Minister of Energy and Natural Resources, Tim Hodgson, and Kang Hoon-sik, the Republic of Korea’s Chief of Staff to the President and Special Envoy for Strategic Economic Cooperation. It built upon discussions at the Korea-Canada Energy and Resource Supply Chain Forum held concurrently in Ottawa.

A central outcome is South Korea’s plan to more than triple its imports of Canadian crude oil, from 4.88 million barrels in 2025 to as much as 16 million barrels in 2026. Officials stated they will explore ways to further increase annual imports to 20 million barrels. At that level, South Korea would become Canada’s third-largest destination for crude oil exports, after the United States and China. This shift...