You are here

Nigeria to drive global refinery CDU industry

29th August 2019

Nigeria is expected to drive new-build crude distillation unit (CDU) capacity growth in the global refinery industry from planned and announced (new-build) projects during the outlook period 2019 to 2023, contributing around 13 per cent of global CDU capacity growth by 2023, according to GlobalData.

Nigeria to drive global refinery CDU industry
Nigeria to drive global refinery CDU industry

The GlobalData report, ‘H2 2019 Global Capacity and Capital Expenditure Outlook for Refineries – Nigeria Leads Global Refinery CDU Capacity Additions’, reveals that Nigeria is expected to have a new-build refinery CDU capacity of 1,935 thousand barrels per day (mbd) by 2023. Planned projects with identifiable development plans account for 58% of the new-build capacity (1,118mbd), while the remaining 817mbd is expected to come from early-stage announced projects.

“Nigeria is expected to add 32 new-build refineries during 2019 to 2023,” Dipayan Chakraborty, oil and gas analyst at GlobalData, said. “Among these, Lagos I is the largest new-build refinery, which is expected to start operations in 2020 with a capacity of 650mbd.”

Following Nigeria, GlobalData identifies China as the second highest country in terms of global refinery CDU capacity growth, adding a new-build CDU capacity of 1,621mbd by 2023. The Jieyang refinery in Guangdong is the largest upcoming refinery in China with new-build CDU capacity of 400mbd by 2023.

“Iraq stands third with new-build CDU capacity growth of 1,200mbd by 2023.” Chakraborty concluded. “The Basra II refinery is the largest upcoming refinery in Iraq with new-build CDU capacity of 300mbd by 2023.”

Related topics: