India plans to raise refining capacity by 77% by 2030

India’s economic expansion is driving up fuel consumption, with increased energy access for commercial and retail consumers. (Reuters)
Updated 08 February 2018
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India plans to raise refining capacity by 77% by 2030

NEW DELHI: Refiners in India, the world’s third-biggest oil consumer and importer, have drawn up plans to raise their capacity by 77 percent to about 8.8 million barrels per day (bpd) by 2030 to meet the country’s rising fuel demand. India’s refining expansion plan will ensure the nation’s surplus production of diesel and petrol will last until 2035, according to a report by the Ministry of Petroleum and Natural Gas.

India is emerging as one of the key global drivers for refined fuels consumption as its economic expansion and rising industrial activity yields infrastructure improvements and increased energy access for commercial and retail consumers.
If current patterns of use continue, the country’s fuel demand could rise to as much as 335 million tons by 2030, and 472 million tons by 2040, from about 194 million tons last year, the oil ministry’s report said.
On the basis of expansion plans submitted by refiners to the government, petrol production will remain in surplus up to 2035, turning into a deficit in 2040, according to the report.
A spokesman for the oil ministry declined to discuss the report further when contacted by phone. Diesel will remain in surplus until about 2035, beyond which domestic demand will overtake supply, the report said. The report also forecast a growth of 5 percent or more each year in India’s petrol, diesel and jet fuel demand to 2030. The report recommended the refiners set up petrochemical projects and cut production of petcoke and fuel oil.


Oil prices slip amid fears over global economic growth

Updated 17 August 2018
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Oil prices slip amid fears over global economic growth

TOKYO: Oil prices fell on Friday, with US crude heading for a seventh weekly decline amid increasing concerns about slowing global economic growth that could hit demand for petroleum products as inventories build.
Brent crude oil futures were down 3 cents at $71.40 a barrel by 00229 GMT. US West Texas Intermediate (WTI) crude futures dropped 1 cent to $65.45 a barrel.
Brent is heading for a 2 percent decline this week, a third consecutive weekly drop. WTI is on track for a seventh week of losses, with a fall of more than 3 percent.
Data on Wednesday showing a large build in US inventories fostered fears about the outlook for fuel demand, while crude was also pressured by broader selling of industrial commodities and by the Turkish financial crisis.
“Investors remain cautious as Wednesday’s surprise gain in US stockpiles remained fresh in their minds,” ANZ said in a note.
China and the United States have implemented several rounds of trade tariffs and threatened further duties on exports worth hundreds of billions of dollars, which could knock global economic growth.
At the same time, the crisis gripping the Turkish lira has rattled emerging markets and reverberated across equities, bonds and raw materials.
US data on Wednesday showed crude output rose by 100,000 barrels per day to 10.9 million bpd in the week ending Aug. 10.
Crude inventories increased by 6.8 million barrels, representing the largest weekly rise since March last year.
Asian demand is showing signs of slowdown as trade disputes and a stronger dollar drag the economies of some of the world’s largest oil buyers.