REUTERS -- South Korea's SK Energy , the country's largest oil refiner, will not import any crude from Iran after a European Union ban on insuring Iranian tankers comes into effect on July 1, two sources with direct knowledge of the matter said on Monday.
SK Energy's import suspension would effectively mean the end of South Korea Iranian oil purchases. The only other refiner that buys Iranian oil, Hyundai Oil Bank, will halt imports from June, industry sources said last month.
"SK Energy won't lift Iranian crude oil after lifting a 2 million barrel cargo in early June," one of the two sources told Reuters by phone.
"SK Energy will not import Iranian oil for July arrival."
A second source confirmed that imports would cease in July.
SK Energy had contracts to import 130,000 barrels per day (bpd) from Iran under term deals for this year. Refiner Hyundai Oilbank, which imports 70,000 bpd from Iran, will stop purchases from June, industry sources said.
Both sources declined to be identified because they were not authorised to speak to the media on a topic the Korean government considers politically sensitive.
SK Energy, which is wholly owned by parent SK Innovations , declined to comment.
