The recent US‑Israeli war with Iran has badly disrupted oil shipments through the Strait of Hormuz, causing worldwide worries about oil stockpiles. Asian countries, which import most of their oil from the Middle East, are now looking for safer ways to keep supplies.

At Singapore International Energy Week, Tan See Leng, Singapore’s minister for Energy, Trade and Industry, said Saudi Arabia and Singapore are jointly planning to store Saudi crude at the Jurong Rock Caverns from the second half of 2027. The two governments will sign a memorandum of understanding to make the plan work.

The Jurong Rock Caverns are located 150 metres underground on Jurong Island and can hold up to 1.47 million cubic metres – roughly 9 million barrels – of crude oil or condensate. This underground facility offers a secure, weather‑proof storage option.

Saudi Aramco already stores 8.2 million barrels in Okinawa, Japan, and 5.3 million barrels in Ulsan, South Korea. These locations give Saudi Aramco a regional foothold but give host governments priority access during shortages.

Both countries say the new arrangement will improve the resilience of Saudi crude supply in Southeast Asia and strengthen Singapore’s energy security. By keeping more oil closer to key Asian markets, the partnership aims to reduce the impact of future supply disruptions.