Report: Global crude distillation unit capacity to reach 113 million barrels a day by 2021


The global crude distillation unit (CDU) capacity is set to witness a compound annual growth rate (CAGR) of 14.2% by 2021, according to a report by GlobalData.

Titled ‘H2 2017 Global Capacity and Capital Expenditure Outlook for Refineries – China Propels Global Capacity Additions and Capex Spending on New Build Refineries’, the report projects the CDU capacity to increase from 99 million metric barrels a day (mmbd) in 2017 to 113mmbd by 2021.

In terms of regions, Asia is projected to have the highest planned and announced CDU capacity of 5.7mmbd by 2021, followed by North America with 2.4mmbd. Asia also leads in terms of capital expenditure (capex) at $210bn, followed by Africa with a capex of $91.5bn and the Middle East with $81.5bn.

In terms of countries, China, Nigeria and Malaysia lead with the highest planned and announced CDU capacity additions, as well as capital spending. China is expected to add 3,360 barrels a day of CDU capacity through 11 refineries at a capex of $68.3bn.

"Compared to the previous report published in February, 13 new build refineries have been stalled, 30 were announced, and one was cancelled."

Nigeria is expected to add 1,178mmbd of CDU capacity through 12 refineries at a capex of $39.4bn, while Malaysia will add 700mmbd of CDU capacity through two refineries at a capex of $39.1bn.

The top planned refineries in terms of capex include Nakhodka in Russia, and Pengerang and Yan in Malaysia with a capex of $21.6bn, $20.2bn and $18bn, respectively.

Dayushan Island refinery in China, Lagos I refinery in Nigeria, and Al-Zour refinery in Kuwait will be the top refineries in terms of CDU capacity with capacities of 800mmbd, 650mmbd and 615mmbd respectively.

Compared to the previous report published in February, 13 new build refineries have been stalled, 30 were announced, and one was cancelled.