BMI maintains a positive long term outlook for the oil and gas sector in Kazakhstan as production levels of both fossil resources is expected to almost double by 2023. The Eurasia Oil Project is expected to play a large part in this production increase as it will warrant US$ 500 million of investment and is attracting interest from the US’s Chevron as well as Russia’s Lukoil.
Looking at Kazakhstan’s refining sector, BMI has said that four new refineries with capacities ranging from 300 000 – 800 000 tpy are under construction. The refineries are expected to be coming on stream between now and the end of 2015.
To 2018, BMI believe that the Philippines will be a small producer of oil and gas, as it is now. The country will also experience an increase in consumption, which will outpace output and see the country remain a net importer of oil products and crude oil.
BMI anticipate refining capacity in the country remaining flat however, there are upgrades currently being carried out on the country’s refineries and this is expected to improve utilisation rates and the output of oil products is expected to increase slightly. Looking at LNG, the startup of the Pagbilo import terminal as well as a project at Batagas is expected to enable gas demand to increase beyond domestic output. However, BMI has said that there are infrastructure delays hindering the projects.
According to BMI, Thailand is going to continue to see demand for oil and gas outstrip supply. Due to this and the depleting domestic reserves, BMI has said that the country will need to develop the necessary gas import infrastructure to ensure there is not a deficit.
Refining capacity in Thailand is currently at 1.1 million bpd and the country is a minor net fuel exporter. Refining capacity in the country is expected to stagnate as there are limited downstream opportunities in the country, according to BMI.
BMI has said that to 2023, Uzbekistan is going to see continued expansion in its gas sector and production is going to increase also along with export levels. However, when it comes to the oil sector, BMI has said it is going to stay on a downward slope and Uzbekistan is going to become more reliant on imports of refined fuels.
In the final quarter of this year, BMI expects the country to target investors from Japan for the construction of a gas to liquids (GLT plant and for the production of synthetic fuels. Japan Oil Gas and Metals National Corporation is currently the favoured investor. The plant’s construction will be overseen by a joint venture between Izbekneftegaz, Sasol and Petronas.
Natural gas output is expected to increase to 66 billion m3 by 2020, an increase on 2013 levels which stood at 62.9 billion m3. The country is also going to increase its exports of natural gas by 20% and drop industrial gas consumption by 7% by 2020. These plans for the gas sector have been outlined by the Chairman of the Board of Uzbekneftegaz.
Edited from report briefings by Claira Lloyd
Read the article online at: https://www.hydrocarbonengineering.com/gas-processing/06102014/oil-gas-asia-bmi-pt-3/