Japan’s INPEX has signaled its readiness to redirect part of its oil production in Central Asia to the domestic market, according to Yomiuri Shimbun.
Focus on Kazakhstan and Azerbaijan assets
INPEX holds stakes in the Kashagan oil field and the Azeri-Chirag-Gunashli oil fields. Until now, oil from these projects has largely been sold on the spot market, primarily to Europe.
Particular attention is being paid to Kashagan, where production is about 430,000 barrels per day.
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Japan currently depends on the Middle East for more than 90% of its oil imports. Concerns about potential disruptions, including risks tied to the Strait of Hormuz, have made supply diversification a strategic priority for Tokyo.
Kazakhstan and Azerbaijan are viewed as viable alternatives, offering light and medium crude grades similar to those from the Persian Gulf.
Longer routes, higher costs
Shipping oil from Kazakhstan to Japan takes about 35 to 55 days, while deliveries from Azerbaijan take roughly 25 to 50 days. By comparison, shipments from the Persian Gulf typically take about 20 days.
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Although these routes are longer and more expensive, Japanese officials see them as a necessary trade-off to ensure more stable energy supplies.
