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Iraq to lead Middle East crude distillation capacity growth.

Published by , Editorial Assistant
Hydrocarbon Engineering,

Iraq is set to drive crude distillation units (CDUs) capacity growth in the Middle East from planned and announced (new-build) projects between 2019 and 2023, contributing around 38% of the total growth, according to GlobalData.

The company’s report, ‘Refining Industry Outlook in Middle East to 2023 – Capacity and Capital Expenditure Outlook with Details of All Operating and Planned Refineries’, reveals that Iraq is expected to have new-build CDU capacity of 1.2 million bpd by 2023.

Varun Ette, Oil & Gas Analyst at GlobalData, comments: “In Iraq, ten planned and announced refineries are expected to start operations during 2019 to 2023. Of these, Basra II has the highest CDU capacity of 300 000 bpd. The Basra II refinery is expected to start operations in 2023.”

Following Iraq, Kuwait is another key country in terms of CDU capacity growth in the Middle East with 615 000 bpd. The Al-Zour refinery, which is expected to start operations in 2020, accounts for the entire capacity additions in the country.

Saudi Arabia is also expected to witness complete CDU capacity additions from one refinery – Jizan. The refinery is expected to start operations in 2019 with a capacity of 400 000 bpd.

In Oman, two refineries – Duqm I and Sohar Bitumen – account for the entire capacity additions. Of these, Duqm I accounts for most of the capacity additions with 230 000 bpd.

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