China to witness significant midstream project starts in Asia by 2025, says GlobalData
China is expected to commence the operations of 70 midstream oil and gas projects from 2021 to 2025, accounting for about 21% of the total upcoming midstream project starts in Asia by 2025, according to GlobalData, a leading data and analytics company.
GlobalData’s latest report, ‘Global Midstream New Build and Expansion Projects Outlook, 2021-2025 – Transmission Pipelines Dominate Global Midstream Project Starts’ reveals that out of 70 projects expected to commence operations in China, LNG regasification projects would be at 28, liquids storage would be at 20, transmission pipelines at 15, UGS at six and one would be a gas processing project.
Bhargavi Gandham, Oil & Gas Analyst at GlobalData, comments: “China is one of the largest oil and gas consuming nations, and a leading importer of LNG globally. As a result, the country continues to witness strong growth in the midstream sector, especially in the LNG regasification and storage segments.”
GlobalData notes that liquids storage projects would constitute around 29% of all midstream projects’ starts in China during the period 2021 to 2025. Among the upcoming liquids storage projects, the Zhoushan V Expansion project leads with a storage capacity of 131.94 million barrels and costing US$5,145.7m. The project is presently in the feasibility stage and is expected to start operations in 2025.
Among the transmission pipelines, Power Of Siberia 1 (China Section-II) gas pipeline project leads with a length of 1,509 km and costing US$4,268mn. The project is presently in the construction stage and is expected to start operations in 2025.
In the gas storage segment, the Liaohelei 61 project dominates with a gas processing capacity of 406.1 billion cubic feet (bcf). China National Petroleum Corp is the operator and 50% equity holder of the project, which is expected to start operations by 2022. Jidong II and Jidong I are the other major projects that collectively account for 146 bcf of gas processing capacity expected to become operational during 2021 to 2025.