Declares the US Energy Information Administration.
In its latest update to the Singapore energy sector, the EIA said that Singapore's strategic location between the Indian and Pacific Oceans has allowed it to become one of Asia's major petrochemical and refining hubs.
Here's the full overview analysis from EIA:
Easy access to the sea and a strategic location near the Strait of Malacca has enabled Singapore to become one of Asia's main energy and petrochemicals hubs and one of the world's top-three oil trading and refining centers. The Port of Singapore is one of the busiest in the world in terms of container throughput and handles around 130,000 vessels a year at its various terminals. Many global energycompanies have regional headquarters in Singapore.
The refining and petrochemicals industryis critical to Singapore's economy, which continues to benefit from strong growth in regional demand for petroleum products. Almost 90 percent of Singapore's primary energyconsumption comes from petroleum use, mostly for refining. At the same time, Singapore increasinglycompetes with countries like China and Vietnam that have expanded into the regional petroleum products market. Singapore's government stated it will promote long-term growth in refining capacityin order to maintain its market position as a refining and oil trading leader.
Singapore has almost no indigenous hydrocarbon resources. Imported crude goes mostly to the petrochemicals and refining sector. Imported natural gas fuels most of Singapore's power generation, with small amounts of coal and renewable resources fueling the rest. Natural gas use made up nearly 10 percent of the country's total primary energy consumption in 2011. As natural gas demand continues to grow, the countryseeks to augment gas imported via pipeline with liquefied natural gas (LNG) imports. The government expects Singapore's first LNG import terminal to begin operating in secondquarter 2013. This new capacity would enable Singapore to diversifyits suppliers and not relysolely on Indonesia and Malaysia for all its natural gas imports.
The full report can be read here.
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