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Asia to lead global new-build crude distillation unit capacity growth

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Hydrocarbon Engineering,

Asia is expected to drive new-build crude distillation unit (CDU) capacity growth in the global refinery industry from planned and announced (new-build) projects between 2019 and 2023, contributing around 36% of global CDU capacity growth by 2023, according to GlobalData.

The company’s report, ‘H2 2019 Global Capacity and Capital Expenditure Outlook for Refineries – Nigeria Leads Global Refinery CDU Capacity Additions’, reveals that Asia is expected to have a new-build refinery CDU capacity of 5.571 million bpd by 2023. The approved planned projects account for 62% of the new-build capacity or 3.431 million bpd while the remaining 2.14 million bpd is expected to come from early-stage announced projects.

Dipayan Chakraborty, Oil and Gas Analyst at GlobalData, says: “Asia is expected to add 43 new-build refineries during the outlook period 2019 to 2023. Among these, Pulau Muara Besar in Brunei is the largest new-build refinery, which is expected to start operations in 2019 with a CDU capacity of 175 000 bpd. The CDU capacity of the coking-type refinery is expected to reach 500 000 bpd by 2023.”

Following Asia, GlobalData identifies Africa as the second highest country in terms of global refinery CDU capacity growth adding a new-build CDU capacity of 3.857 million bpd by 2023. The Lagos I refinery in Nigeria is the largest upcoming refinery in Africa with new-build CDU capacity of 650 000 bpd by 2023.

The Middle East stands third with new-build CDU capacity growth of 3.188 million bpd by 2023. The Al-Zour refinery is the largest upcoming refinery in Kuwait with new-build CDU capacity of 615 000 bpd by 2023.

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Downstream news Oil refinery news Asia Pacific downstream news