GCC CATALYST MARKET (Saudi Arabia, UAE, Kuwait, Qatar, Bahrain) Prepared for XXXX This is a sample report extracted from main report used only for marketing purpose 1
Table of Contents Market Size, Growth and Technology Overviews by Country and by Industry... 1. Executive Summary... 1.1.1 GCC Refining Sector... 1.1.2 GCC Petrochemical Sector... 1.1.3 GCC Fertilizers Sector... 1.1.4 GCC Plastic Sector... 2. Oil Refining 2.1 Saudi Arabia... 2.2 United Arab Emirates... 2.3 Kuwait... 2.4 Qatar... 2.5 Bahrain... 3. Petrochemicals & Chemicals... 3.1 Saudi Arabia... 3.2 United Arab Emirates... 3.3 Kuwait... 3.4 Qatar... 3.5 Bahrain... 4. Polymers... 4.1 Saudi Arabia... 4.2 United Arab Emirates... 4.3 Kuwait... 4.4 Qatar... 4.5 Bahrain... 5 Environment... 5.1 Saudi Arabia... 5.2 United Araba Emirates... 5.3 Kuwait... 5.4 Qatar... 5.5 Bahrain... 5.6 GCC Environmental Business... 6 Catalyst Production in the GCC... Section 7 Reference List... Section 8 Bio... 8.1... Section 9 Appendices... 2
1. Market Size, Growth and Technology Overviews by Country and by Industry 1.1 EXECUTIVE SUMMARY 1.1.1 GCC Refining Sector The GCC oil refining industry began with the construction of Bapco Refinery in Bahrain in 1936. Saudi Arabia built its first refinery, Ras Tanura Refinery, in 1945. Other GCC states started its refinery industry mainly in the 50 s and the 60 s. The primary constructed refineries were mostly based on semi complex refining configuration with a few consisting of residue conversion and FCC units. GCC refining industry which drives the refining catalyst market has seen major growth. This is reflected in the last ten years by the commissioning of large-size refineries with complex refinery configurations leading to larger conversion and higher processing flexibility. The examples include the construction of Al Zour, Petro Rabigh and Satorp refineries in the region. The refining capacity in the GCC is expected to double by 2020. At present, the GCC refining capacity is totaled 4.2 million bpd and is expected to increase over 7 million bpd by 2020. The following table shows refinery capacities and productions in the region under study. The demand for GCC refinery catalyst is expected to increase by 8% annually to 2020. In GCC, most of the catalyst consumption will be in Saudi Arabia followed by Kuwait and UAE due to the new refineries that have been or will be completed. Petro Rabigh and Satorp refineries have added recently an extra 400,000 bpd each to total GCC refining capacity. Kuwait Al- Zour Refinery will have a large capacity addition of 615,000 bpd by 2020. Similarly, the UAE is currently growing significantly with the impact of 900,000 bpd Ruwais Refinery expansion. All new refineries will add large consumption rates of catalyst used mainly in hydrotreating and hydrocracking units. 3
The following table shows all refineries in the region under study along with corresponding capacities. Table 1-1 Oil Refineries in the Region (thousand barrels per day) Country Company Location Operation Capacity Bahrain Bapco Sitra 1936 265 Kuwait KNPC Mina Al-Ahmadi 1949 460 Kuwait KNPC Mina Abdulla 1958 270 Kuwait KNPC Shuaiba 1966 200 Kuwait KNPC Al-Zour expected 2020 615 UAE Takreer Abu Dhabi 1976 85 UAE Takreer Ruwais 1982 400 UAE ENOC Dubai 1999 120 UAE IPIC Fujairah Expected 2017 200 Qatar QP Mesaieed 1958 137 Qatar QP-Shell Laffan 1 2009 146 Qatar QP-Shell Laffan 2 expected 2016 146 Saudi Arabia Aramco Jeddah 1968 85 Saudi Arabia Aramco Ras Tanura 1945 550 Saudi Arabia Aramco Riyadh 1974 122 Saudi Arabia Aramco Yanbu 1983 250 Saudi Arabia Aramco Rabigh 2009 400 Saudi Arabia Aramco Jazan expected 2018 400 Saudi Arabia Aramco-Shell (SASREF) Jubail 1984 308 Saudi Arabia Aramco-Mobil (SAMREF) Yanbu 1984 320 Saudi Arabia Aramco-Sinopec (YASREF) Yanbu 2015 400 Saudi Arabia Aramco-Total (SATORP) Jubail 2014 400 Oman Orpic Muscat 1982 106 Oman Orpic Sohar 2006 116 Oman Orpic-IPIC Duqum expected 2020 312 4
1.1.2 GCC Petrochemical Sector The petrochemical production capacity of the GCC region reached 136.2 million TPA in 2014 (1). A 4.4% increase from 2013. The GPCA estimates that petrochemical producers in GCC will increase their capacity roughly by 40% over the next five years, reaching over 199 million TPA by 2020. Saudi Arabia continued to lead the position as the region's largest petrochemical producer, contributing to 87.3 million TPA corresponding to 64.1% of 2014 total GCC petrochemical capacity. Qatar is second with petrochemical production of around 18.3 million TPA equivalent to 13.4% followed by UAE, Kuwait, Oman and last Bahrain. Table 1-2 GCC Petrochemicals Production for 2014 (2) Countries Production million TPA Production Share % Saudi Arabia 87.3 64.1 Qatar 18.3 13.4 UAE 11.9 8.8 Kuwait 8.8 6.4 Oman 8.5 6.3 Bahrain 1.4 1.0 GCC 136.2 100.0 1 Gulf Petrochemicals and Chemicals Association (GPCA). 2 GPCA 5
Figure 1-1 GCC Petrochemicals Production, Million Tonnes for 2014 UAE 9% Kuwait 7% Oman 6% Bahrain 1% Qatar 13% Saudi Arabia 64% 1.1.3 GCC Fertilizers Sector The GCC industry for all types of fertilizers has demonstrated steady growth over the last five years, reaching a production capacity of 44.9 million TPA in 2014. With a capacity of over 18 million TPA, Saudi Arabia dominates the industry, representing 40% of the total GCC fertilizers capacity. Several projects will be completed in the next years, such as Maaden Phosphate project expansion, which will strengthen the GCC s fertilizer capacity to over 66 million TPA by 2018. The GCC region is currently facing challenging gas allocation issues due to the rapid economic developments and high demand of gas for power and chemical sector. With the exception of SAFCO, little capacity addition particularly for ammonia production is expected in the coming few years. Although the region has large gas reserves, still gas allocation for new ammonia projects are highly unlikely. While Qatar has abundant gas reserves, developing a new ammonia project can be financially more challenging than improving existing ammonia plants such as QAFCO 1 & 2. As a conclusion, the GCC is expected to have a moderate increase in ammonia production and therefore, ammonia catalyst demand is expected to increase around 4% in the next few years. 6
1.1.4 GCC Plastic Sector Plastics also referred to as polymers, currently account for 17.3% of the GCC s total petrochemical capacity. Over the last years, the region s plastic production capacity has almost doubled, rising from 13 million TPA in 2008, to around 25.5 million TPA in 2014. GPCA estimates that overall plastic production capacity will increase to 33.3 million TPA of polymer products by 2020, which is a growth of around 25% from the current capacity. In GCC, Saudi Arabia is leading the plastics industry, producing around 18.4 million TPA in 2013, over 74.5% of the region s plastics production capacity. An emerging trend for the GCC s plastic industry will be the diversification of its products portfolio, for wide ranging applications in the aviation, transport and food packaging sectors. The UAE is the second largest producer of plastic products in the GCC with a combined capacity of 3.3 million TPA. Ethane is the primary cracker feedstock for plastic production. The Middle East ethylene production forms 20% of the total world production that represents around 30 million TPA ethylene from 155 million TPA produced worldwide. As a result, the Middle East stake of global polyethylene production is 17%. Generally, the Middle East has been leading the petrochemical expansion due to the relatively rich hydrocarbon availability in the region, however the light raw material feeding petrochemical plants is being shifted to heavier type of feeds in the Middle East. The use of a mix of ethane, propane and butane feed is more, as there is shortage in the historical cheap ethane in the region. Naphtha also is being added to the feed mix. Therefore, refinery and petrochemical integration is being the trend in the Middle East. New full-integrated refineries and petrochemicals will be noticeable in the region, such as Petro Rabigh, Satorp, Takreer new expansion projects leading to increased consumption of polymer catalyst. 7