TOKYO, Feb 18 (Reuters) - Japanese oil refiner Showa Shell
Sekiyu is waiting for guidance from the government on
crude imports from Iran before deciding on contractual volumes
for the year starting April, its president said on Monday.
Tough U.S. and European sanctions aimed at forcing Iran to
halt its nuclear programme has made shipping and paying for
Iranian oil difficult, cutting the Middle Eastern country's
overall oil exports by more than half in 2012.
"If Japan and the United States agree for a need to
strengthen sanctions, we expect a decrease in volumes," Jun Arai
told reporters on the sidelines of a press conference, when
asked about Showa Shell's plans for Iran purchases.
Whether the company will further curb Iranian oil imports or
keep volumes steady at current levels depends on talks between
the United States and Japan, Arai added.
Showa Shell, which counts Royal Dutch Shell and
Saudi Aramco as its main shareholders, is estimated to have cut
its contracted Iranian crude volumes to around 60,000 to 70,000
barrels per day (bpd) for the year ending March 31 from 100,000
bpd a year earlier.
"Even if the volumes were to be cut drastically, that would
have no impact on us at all," Arai said.
He added that the company stood ready to respond no matter
what the governments decide without giving any more details.
Japan's crude imports from Iran fell 39.5 percent in 2012 to
189,076 bpd, trade ministry data showed, in line with falls
among other Asian buyers as the sanctions bite.
The United States has been granting waivers from financial
sanctions to countries that have taken significant steps to cut
purchases of Iranian crude. Japan's waiver is up for renewal
next month.
Showa Shell is 35 percent owned by Royal Dutch Shell and
about 15 percent owned by Saudi Aramco.