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News ReleaseAir Products Signs Long-Term Contract In Nanjing, Eastern China, Strengthening Its Position In Chinese Petrochemical Industry

May 02, 2005 Lehigh Valley, Pa.

Air Products (NYSE:APD) has signed a long-term contract with Wison (Nanjing) Chemical Company Ltd to supply onsite gases oxygen and nitrogen to Wison's new carbon monoxide (CO) and methanol plant located in Nanjing Chemical Industrial Park (NCIP), Nanjing, Jiangsu Province, China. An air separation unit (ASU) adjacent to the plant that is capable of producing greater than 1600 tons per day of oxygenis planned to be built and operational by late 2006. Concurrently, Air Products will expand its liquid production capacity to meet customers' demand in the fast-growing merchant market. This plant will be Air Products' sixth plant that will come on-stream in China in 2006-2007 to support its expanding business.

As announced earlier this year, Wison has been awarded a long-term contract to supply CO to Celanese, a world leader in acetic acid production, for Celanese's 600,000 MT acetic acid plant being built in NCIP. The plant is expected to be ready for production in late 2006 or early 2007. Gaseous oxygen and nitrogen will be used in a clean-burning coal gasification process to generate CO. Acetic acid is a basic chemical that becomes part of paints, adhesives, plastic bottles, foods, construction materials and hundreds of other products for the growing consumer markets.

"We are committed to supplying CO to Celanese based on readily-available coal processed by state-of-the-art environmentally-friendly technologies," said Mr. Hua Bang Song, chairman of Wison Group. "To achieve this, a long-term relationship with a partner who has demonstrated success in reliability, quality and safety is important. Air Products is our preferred partner for this important project. We are impressed with their expertise, speed of service and commitment."

Air Products has a long history in serving chemical and other industries in the Nanjing region. The long-term contract with Wison and the investment in Nanjing Chemical Industrial Park significantly reinforce Air Products' position in supporting the growth of its customers in the region.

NanjingChemical Industrial Park is one of two state-level petrochemical parks in China. Located about 30 kilometers north of Nanjing on the north of the Yangtze River, the Park is a major constituent of the Nanjing New & High Technology Industry Development Zone, with superior support of good transportation network and logistics.

"Air Products has a proven track record of investing in and building successful partnerships with key industrial parks in China, and we are excited about their investment in NCIP to support the infrastructure build-up which is critical to the chemical investments." said Mr. Lu Yi, standing deputy director and general manager of Nanjing Chemical Industrial Park.

The new on-site plant in Nanjing Chemical Industrial Park will also enable Air Products to expand its liquid capacity economically to meet growing demand in China for steel and automobile industries. Nanjing and other cities in Jiangsu Province have attracted a very large amount of investment, both from Chinese companies and major international companies.

"Our products help to provide people a better quality of life, and we are committed to be a good corporate citizen in China. We are honored to play a key role in supporting Wison and China's economic development. This investment is part of our China strategy and continued commitment to build long-term infrastructure to meet the industrial gas needs. We will be in a better and stronger position in Eastern China to support the growth," said Wilbur Mok, president of Air Products China.

Air Products (NYSE: APD) serves customers in technology, energy, healthcare and industrial markets worldwide with a unique portfolio of products, services and solutions, providing atmospheric gases, process and specialty gases, performance materials and chemical intermediates. Founded in 1940, Air Products has built leading positions in key growth markets such as semiconductor materials, refinery hydrogen, home healthcare services, natural gas liquefaction, and advanced coatings and adhesives. The company is recognized for its innovative culture, operational excellence and commitment to safety and the environment and is listed in the Dow Jones Sustainability and FTSE4Good Indices. The company has annual revenues of $7.4 billion, operations in over 30 countries, and nearly 20,000 employees around the globe.

Air Products is one of the first multinational industrial gas companies to enter China with a joint venture in 1987.

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NOTE: This release may contain forward-looking statements. Actual results could vary materially, due to changes in current expectations.

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    Jessica Cheng
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    Renee Giello
    (610) 481-4876
    Air Products and Chemicals, Inc.
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    Air Products and Chemicals, Inc.
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