Taiwan Oil and Gas Report Q4 2016
OREANDA-NEWS. RnR Market Research Offers Report by Research on Taiwan Oil and Gas Report Q4 2016.
BMI View: Taiwan has limited hydrocarbons reserves, which depresses domestic production levels and makes the country a significant importer of oil and gas. Growing use of gas for power generation and the ongoing modernization of the country's refining sector will further raise Taiwan's demand, thus imports of crude oil and LNG over the coming decade. We believe that additional regasification capacity and LNG supplies post-2020 will be needed to support higher gas consumption. Latest Updates and Key Forecasts
- Taiwan has no major reserves of hydrocarbons; moreover, these modest reserves are set for a continuous decline over the coming decade, despite Taiwan's efforts to promote exploration.
- Although initially slated for a start-up in mid-2017, state-owned CPC Corporation has brought forward plans to instead target completion of upgrades at Dalin refinery by the end of 2016. This will moderate the refining capacity reduction after the closure of Kaohsiung facility in January 2016. ? We forecast that upgrades at the Dalin refinery will reverse the negative refined fuels' production curve.
Over the next decade, refined fuels' production will rise at an average rate of 1.0% per annum, from 864,000b/d in 2015 to 951,730b/d in 2025.