China to lead Asia’s refinery CDU capacity additions through 2026, says GlobalData

China is expected to lead Asia’s refinery crude distillation unit (CDU) capacity additions, contributing about 48% of the regions’ total CDU capacity additions between 2022 and 2026, says GlobalData, a leading data and analytics company.

GlobalData’s report, ‘Refining Industry Market Installed Capacity and Capital Expenditure (CapEx) Forecast by Region and Countries including details of All Active Plants, Planned and Announced Projects, 2022-2026’, reveals that China is expected to develop new-build refineries with a total CDU capacity of 3,060 thousand barrels per day (mbd) by 2026, while expansion projects account for the rest with 382 mbd.

Teja Pappoppula, Oil and Gas Analyst at GlobalData, comments: “In China, eight new-build CDU refineries are likely to start operations by 2026, of which six are planned with identified development plans and the remaining two early-stage announced refineries. Yulong and Jieyang are the largest new build refineries each with a CDU capacity of 400 mbd. Among the expansion projects, the CDU project at the Zhenhai refinery is the largest with a capacity of 221 mbd.”

GlobalData expects India to be the second-highest contributor to the Asia’s refinery CDU capacity additions by 2026 with a total refining capacity of 1,607 mbd by 2026. The Barmer and Nagapattinam II refineries account for the entire new build capacity additions in India, each with a capacity of 180 mbd. Among the expansion projects, CDU project at Vadinar refinery is the largest with a capacity of 515 mbd.

Indonesia is expected to add third largest refinery CDU capacity additions in Asia with 526 mbd by 2026. The announced Java Island refinery is the only new-build refinery in India expected to start operations in 2026 with a capacity of 100 mbd. Among the expansion projects, CDU project at Dumai  refinery is the largest with a capacity of 130 mbd.”

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