Asia is forecast to be the major contributor to the growth of the global liquids storage industry by 2023, accounting for around 33% of the global liquids storage terminals’ capacity from new-build and expansion projects in 2023, according to GlobalData, a leading data and analytics company.
The company’s report, ‘H1 2019 Global Capacity and Capital Expenditure Outlook for Liquids Storage – Asia Leads both Global Capacity and Capital Expenditure Outlook’, reveals that global liquids storage capacity is expected to grow 5.7% during 2019-2023, from 7,705 mmbbl (million barrels) in 2019 to 8,145 mmbbl by 2023.
Asia, North America and the Middle East lead globally in terms of liquids storage capacity growth from planned and announced projects, with capacities of 272 mmbbl, 112 mmbbl, and 106 mmbbl, respectively, in 2023.
Among the countries in Asia, China, Indonesia and India have the highest new-build capex spending during the outlook period.
Arpan Roychowdhury, Oil & Gas Analyst at GlobalData, says: “Asia is witnessing the highest liquids storage capacity growth due to increasing demand for crude oil and petroleum products in the fastest growing economies such as China and India. Among the five leading countries in liquids storage capacity growth globally, three – China, Indonesia and India – are from Asia.”
GlobalData identifies North America as the second highest in terms of liquids storage capacity growth. It accounts for 31% of global liquids storage capacity in 2023. Among the countries in this region, the US will have the highest capex spending in planned and announced liquids storage projects during 2019-2023.
In terms of capacity, Zhanjiang IV in China, Fujairah XVIII in the UAE and Lawe-Lawe CCT in Indonesia will be the top three new-build liquids storage terminals with capacities of 44 mmbbl, 42 mmbbl and 25 mmbbl in 2023, respectively.