Nigeria is set to drive refinery Crude Distillation Unit capacity growth in Africa with its planned (new-build)refineries, which are expected to contribute about 50 percent of the continent’s total growth between 2019 and 2023, says GlobalData.
Recent report of the leading data and analytics company entitled ‘Refining Industry Outlook in Africa to 2023 – Capacity and Capital Expenditure Outlook with Details of All Operating and Planned Refineries’ reveals that Nigeria is expected to have new-build CDU capacity of 1.9 million barrels per day by 2023.
Oil and gas analyst at GlobalData, Varun Ette, said, “In Nigeria, 32 planned and announced CDU refineries are expected to start operations from 2019 to 2023. Of these, Lagos I has the highest CDU capacity of 650mbd. The Lagos I refinery is expected to start operations in 2021.”
GlobalData identified Angola as the second highest contributor to the CDU capacity growth with a new-build capacity of 598mbd by 2023. Of the total capacity, 198mbd is likely to come from planned CDUs and 400mbd from early-stage announced CDUs.
The Tabi refinery has the highest capacity among all the CDUs in Angola, which is expected to start operations by 2023, accounting for 67 per cent of capacity additions in the country.
Ette added, “South Africa is the third highest contributor to the CDU capacity growth in Africa. The country is expected to witness entire CDU capacity addition from one refinery, Mthombo, which is expected to start operations in 2022 with a CDU capacity of 400mbd.”