Kuala lumpur: Malaysia consumes approximately 700,000 barrels of oil daily, which is double its domestic production of 350,000 barrels per day. This discrepancy necessitates the import of crude oil to meet national demand, as reported by the Finance Ministry (MoF).

According to BERNAMA News Agency, the MoF highlighted that the ongoing conflict in West Asia has disrupted the global oil supply chain, impacting transportation and delivery routes, particularly through the Strait of Hormuz, a critical passage for oil shipments. The disruptions have caused crude oil prices to surge by nearly 40 percent, along with increased logistics and insurance costs.

The MoF stated that 48 percent of Malaysia's petroleum product supply is refined by Petroliam Nasional Bhd (Petronas), while the remaining 52 percent is handled by other oil companies within the country. Domestically, 48 percent of crude oil is produced, while 38 percent is imported through the Strait of Hormuz. The rest is sourced from the Southeast Asian region, West Africa, and other areas, including West Asia.

The ministry further elaborated that the domestic production does not suffice for the national demand, necessitating the import of crude oil for refinery use. It pointed out that nearly 40 percent of these imports pass through the Strait of Hormuz, emphasizing the importance of this route for Malaysia's oil supply.

In a related development, Petronas confirmed the arrival of the vessel Ocean Thunder in Malaysia, carrying one million barrels of crude oil from Basrah, Iraq. This delivery is part of Petronas's efforts to stabilize the nation's fuel supply amidst the ongoing global disruptions.