Iraq boosted Middle East crude distillation unit capacity by 38%

- Sep 21, 2019-

London (Sept. 18) -- Iraq will drive Middle East crude distillation unit (CDUs) capacity growth over the 2019-2023 period, starting with planned and announced projects, accounting for about 38% of the total growth, according to GlobalData, a leading data and analytics firm.

New CDUs production capacity in Iraq is expected to reach 1.2 million barrels of oil/d by 2023, according to GlobalData's Middle East refining outlook -- outlook for capacity and capital expenditure and details of all operating and planned refineries.

Oil and gas analysts say the 10 refineries Iraq plans to announce are expected to start operating in 2019-2023.Basra II has the highest CDUs capacity of 300,000 b/d.The Basra II refinery is expected to begin operations in 2023.After Iraq, Kuwait is another key country in the Middle East where CDUs production capacity is growing, with 615,000 b/d.The arzor refinery, expected to open in 2020, accounts for all of the country's new capacity.

Saudi Arabia is also expected to see one refinery, Jizan, complete an increase in CDUs capacity.The refinery is expected to start production in 2019 with a capacity of 400,000 barrels per day.

In Oman, two refineries, Duqm I and Sohar Bitumen, account for all new capacity.Duqm I accounted for most of the new production capacity with 230,000 b/d.