China to dominate Asia and Oceania’s refinery capacity growth by 2024

China is expected to lead the Asia and Oceania’s refinery capacity growth, contributing around 71% of the region’s total capacity growth by 2024. China is likely to add 2.6 million barrels per day (mmbd) of refinery capacity by 2024, says GlobalData, a leading data and analytics company. 

The company’s report, ‘Refining Industry Outlook in Asia and Oceania to 2024 – Capacity and Capital Expenditure Outlook with Details of All Operating and Planned Refineries’, reveals that refining capacity in Asia and Oceania is expected to increase by 3.6 mmbd from 37.0 mmbd in 2019 to 40.6 mmbd in 2024 at an average annual growth rate (AAGR) of 1.9 percent. Out of Asia and Oceania’s total capacity additions, 2.0 mmbd is expected to come from new-build planned projects, while the remaining 1.6 mmbd is likely to come from the expansions of active/operational projects.

Adithya Rekha, Oil and Gas Analyst at GlobalData, comments: “Out of China’s total refinery capacity additions of 2.6 mmbd by 2024, 1.2 mmbd is likely to come from expansion of active projects and the rest 1.4 mmbd is expected to be contributed by new-build projects by 2024. Among the refineries in China, Dayushan Island, Yulong, and Jieyang are the major refineries, accounting for most of the capacity additions in the country with a combined total of 1.2 mmbd by 2024.”

GlobalData expects India to occupy the second place in terms of refinery capacity additions in Asia and Oceania by 2024. India is expected to contribute about 21% of Asia and Oceania’s refinery capacity growth, adding about 748 mmbd by 2024. Among the refineries in India, Barmer and Nagapattinam II refineries account for most of the capacity additions with 180 mmbd each by 2024.

Rekha concludes: “Thailand will be the third-highest country in Asia and Oceania to add about 125 thousand barrels per day (mbd) by 2024 from the expansion of Sriracha I refinery.”