India Will Dominate Oil, Gas Transmission Pipeline Length Additions in Asia

In a release sent to Rigzone recently by the GlobalData team, the company said India will dominate oil and gas transmission pipeline length additions in Asia by 2028.

“India is expected to be at the forefront in terms of the trunk/transmission oil and gas pipeline network additions in Asia, accounting for more than 40 percent of the region’s total pipeline length additions by 2028,” the global data and analytics company stated in the release.

GlobalData’s release highlighted that an outlook report by the company on oil and gas pipelines revealed that India “is likely to witness the start of operation of more than 50 planned and announced pipelines by 2028, adding a total transmission pipeline length of over 26,000km”.

Of this figure, around 24,000km would be from planned pipelines that have received necessary approvals for development, GlobalData pointed out in the release.

Bhargavi Gandham, an oil and gas analyst at GlobalData, noted in the release that “natural gas and product pipelines account for more than 80 percent of the upcoming transmission pipeline length additions in India by 2028”.

Gandham added that the upcoming Kandla–Gorakhpur product pipeline is likely to be the longest among all the upcoming pipelines with a length of 2,809km.

“The other significant addition to the country’s pipeline network is the planned Mehsana–Bhatinda natural gas pipeline,” Gandham said, noting that the pipeline will run a length of 1,834km.

“With a length of 1,755km, Mumbai–Nagpur–Jharsuguda, a natural gas pipeline, is the next significant contributor to pipeline additions,” Gandham went on to state.

In a separate release sent to Rigzone by GlobalData in May, the company said India is poised to take the lead in the number of liquid storage projects in Asia that are expected to start operations during 2024-2028, “contributing about 42 percent of the region’s total project count by 2028”.

That release highlighted that a GlobalData report on oil and gas liquid storage new build and expansion projects showed that, “out of 45 projects to commence operations in India by 2028, new build projects are likely to account for 62 percent and the rest are expansions of existing projects”.

In that release, Gandham noted that “India is also set to witness the second-largest increase in liquids storage capacity in Asia by 2028, with an expected addition of 160 million barrels of storage capacity”.

“These capacity expansions are mainly being planned to accommodate the nation’s ever-growing demand for crude oil, petroleum products, and chemicals,” Gandham added.

GlobalData’s May release stated that, in India, Strategic Petroleum Reserves (SPRs) are projected to constitute 47 percent of the total additions to liquid storage capacity by 2028.

“SPRs enable the nation to adjust oil supplies in response to emergencies, such as disruptions in global oil supply chains,” the release noted, adding that the Chandikhol project is the largest planned SPR in the country, “with a proposed capacity of 29.3 million barrels by 2028”.

“Bikaner is another major SPR project with a total capacity of 27 million barrels,” the release highlighted.

In another release sent to Rigzone by the GlobalData team in December last year, the company said India is set to register the second highest LNG regasification capacity additions in Asia between 2023 and 2027, “accounting for about 22 percent of the region’s total capacity additions by 2027”.

That release pointed out that a GlobalData report on the LNG sector showed that India “is likely to witness LNG regasification capacity additions of 4,870 billion cubic feet by 2027”.

“Out of this, 3,239 billion cubic feet of capacity is likely to come from the new build terminals, while the remaining will be from the expansion of the existing regasification terminals,” GlobalData added in the release.

Himani Pant Pandey, another oil and gas analyst at the company, stated in that release that India is adding significant regasification capacity as part of government plans to increase natural gas share in the country’s energy mix from 6.3 percent to 15 percent by 2030.

“The move helps to meet the ever-growing demand for natural gas from both the industrial and domestic sectors,” Pandey added in the release.

To contact the author, email andreas.exarheas@rigzone.com