08 May 2020
Posted in Oil & Gas
China to spearhead Asian refinery hydrocracking units’ capacity growth by 2024, says GlobalData
China is expected to lead the Asia’s refinery hydrocracking units’ capacity growth, contributing around 57% of the region’s total capacity growth by 2024. China is likely to add 688 thousand barrels per day (mbd) of hydrocracking units’ capacity by 2024, says GlobalData, a leading data and analytics company.
The company’s report, ‘Global Refinery Hydrocracking Units Outlook to 2024 – Capacity and Capital Expenditure Outlook with Details of All Operating and Planned Hydrocracking Units’, reveals that Asia’s hydrocracking units’ capacity is expected to increase by 1,197 mbd, from 3,817 mbd in 2019 to about 5,014 mbd by 2024. Out of Asia’s total capacity additions, 793 mbd is expected to come from new-build planned projects while the remaining 404 mbd is likely to come from the expansion of active projects.
Adithya Rekha, Oil and Gas Analyst at GlobalData, comments: “Out of China’s total hydrocracking units’ capacity additions of 688 mbd by 2024, 202 mbd is likely to come from active expansion projects and the rest 485 mbd is expected to be contributed by new-build projects by 2024. Among the refineries in China, Lianyungang II, Jieyang and Zhenhai are the major refineries with hydrocracking units, accounting for most of the capacity additions in the country with a combined total of 453 mbd by 2024.”
GlobalData expects Thailand to occupy the second place in terms of hydrocracking units’ capacity additions by 2024. The country is expected to contribute about 16% of Asia’s hydrocracking units’ capacity growth, with hydrocracking units of the Sriracha I refinery accounting for most of the capacity additions with 194 mbd.
Rekha concludes: “India will be the third-highest country in Asia with 169 mbd capacity addition by 2024. The hydrocracking unit capacity additions are from Visakhapatnam and Mumbai refineries.”