India to lead midstream oil and gas project starts in Asia, with 129 projects planned during 2023-2027

India is likely to witness the start of operations of 129 midstream oil and gas projects from 2023 to 2027, accounting for 32% of the total upcoming midstream project starts in Asia by 2027, says GlobalData, the data, and analytics company.

GlobalData’s latest report, Oil and Gas Midstream New Build and Expansion Projects Analysis by Type, Development Stage, Key Countries, Region and Forecasts, 2023-2027, reveals that out of the 129 projects to commence operations by 2027 in India, trunk/transmission pipelines projects are likely to be the highest at 59, followed by oil storage and LNG regasification at 42 and 25, respectively.

Himani Pant Pandey, Oil and Gas Analyst at GlobalData, comments: “India is developing robust midstream infrastructure for large volume imports, transport, and storage of oil and gas to meet the growing domestic demand for petroleum and petrochemicals.”

Among the midstream segments, transmission pipeline projects are likely to constitute around 46% of all the midstream project starts in India during the period 2023 to 2027. Among these pipeline projects, the Kandla–Gorakhpur LPG is a key pipeline project with an estimated length of 2,809 km. Expected to start operations in 2024, the pipeline intends to meet the growing demand for LPG in the states of Gujarat, Madhya Pradesh, and Uttar Pradesh.

Oil storage projects constitute around 33% of all the midstream project starts in India during the period 2023 to 2027. Chandikhol is a major oil storage project in the country with a capacity of 30 million barrels. The project is presently in the approval stage and is expected to start operations in 2025. It is one of the key strategic petroleum reserve projects planned in the county.

Pandey concludes: “Among the LNG regasification projects, Jaigarh Port is a major project with a regasification capacity of 379 billion cubic feet (bcf). To be operated by H-Energy Pvt Ltd, the project is presently in the approval stage and is expected to commence operations in 2025. Jaigarh Port is one of the many LNG import projects planned in India to meet the natural gas demand in the country.”