25/09/2018 – News / Oil & Gas / Petroleum / Pipelines / India / Asia / Globaldata

Asia to contribute 49% of global petroleum products pipeline additions to 2022, says GlobalData

Asia to contribute 49% of global petrole

Asia is forecast to add the highest trunk pipeline length to the global petroleum products pipelines industry between 2018 and 2022, contributing a total length of 15,355km by 2022. Such developments will account for around 49 per cent of the global planned petroleum products pipeline length additions, according to leading data and analytics company GlobalData.


The company’s new report forecasts that around 30,840km of planned petroleum products pipeline length will be added globally by 2022, taking the total length worldwide to around 272,690km by 2022. 


India leads with longest planned pipeline additions


Asia also has the highest newbuild capital expenditure (capex) spending globally, with around US$5.8bn during the 2018–2022 period. Among the countries in the region, India will have the longest planned pipeline additions of 9,828km by 2022. 


“India is increasing its petroleum products pipeline length mainly for domestic consumption as well as for exports to neighbouring countries,” observed Soorya Tejomoortula, Oil & Gas Analyst at GlobalData. “The planned pipelines will ensure environmentally friendly and cost-effective transportation of petroleum products, replacing trucks.” 


African build-out


GlobalData identifies Africa as the second highest in terms of pipeline length additions as well as the second highest for spending on planned pipelines in the global petroleum products pipelines industry. The region has planned investment of around US$5.6bn by 2022 and plans to add a total length of 6,283km of petroleum products pipelines by 2022. Congo Republic will be the top country in the region with a planned petroleum products pipeline addition of 1,200km during the outlook period 2018–2022.


“Africa is expanding its petroleum products pipeline mainly for domestic consumption,” added Tejomoortula. “The planned pipelines will help economical transport of petroleum products to several remote parts of the region for the first time.”


Iran leads Middle East’s linepipe additions


The Middle East is the third highest among the global regions, in terms of petroleum products pipeline length additions. The region is expected to add around 3,950 km of planned petroleum products pipelines between 2018 and 2022. Among the countries in the Middle East, Iran will lead with planned length additions of 3,898 km by 2022.


The report also states that the three longest planned global petroleum products pipelines in the forecast period are Kandla–Gorakhpur pipeline in India, Kermanshah–Tabriz pipeline in Iran, and Fushun–Jinzhou–Zhengzhou pipeline in China with lengths of 1,987km, 1,766km and 1,636km respectively.


Information based on GlobalData’s report ‘Global Petroleum Products Pipelines Industry Outlook to 2022 – Capacity and Capital Expenditure Forecasts with Details of All Operating and Planned Petroleum Products Pipelines’.  For more details, go to:  www.globaldata.com/store/report/gdge1222icr--global-petroleum-products-pipelines-industry-outlook-to-2022-capacity-and-capital-expenditure-forecasts-with-details-of-all-operating-and-planned-petroleum-products-pipelines/

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