HD Hyundai Oilbank to supply ultra-low sulfur diesel to Guam

HD Hyundai Oilbank Co., South Korea’s refiner backed by Saudi Aramco, announced on Wednesday that it secured a contract to supply 7.2 million barrels of ultra-low sulfur diesel to the Guam Power Authority (GPA) over the next three years.

The deal aligns with GPA's shift from bunker C oil to cleaner-burning ultra-low sulfur diesel for power generation, ensuring a stable power supply.

The ultra-low sulfur diesel, which has fewer harmful components than bunker C oil, meets stringent standards that only a few refineries can consistently satisfy.

HD Hyundai Oilbank secured this supply contract based on its refining capabilities to meet these special standards and its experience in exporting products to the US territories, including Hawaii.

Since 2021, HD Hyundai Oilbank has been exporting finished petroleum products to Hawaii, and from 2022, it has directly exported gasoline and diesel through long-term contracts.

Last year, the company expanded its export regions to include the Western US, further broadening its market reach.

Write to Hyung-Kyu Kim at khk@hankyung.com