January 17, 2006 Lehigh Valley, Pa.
Air Products (NYSE:APD) announced today that a new joint venture company, Tecnología en Nitrógeno, S. de R.L. de C.V., formed with its Grupo Infra partner, signed a 10-year contract with Pemex Exploracion y Produccion (PEP) for the supply of 90 MMSCFD (3,200 T/D) of nitrogen for injection into PEP's Jujo-Tecominoacan oil fields near Villahermosa, Tabasco, Mexico. The supplied nitrogen will be used for enhanced oil and natural gas recovery. The joint venture company executing the agreement for nitrogen supply will use project financing for this effort.
Air Products has been supplying nitrogen to the oil and gas industry for enhanced recovery since the early 1980s. Enhanced oil recovery provides continued growth opportunities for Air Products and complements the company's leading position in supplying hydrogen to refineries for the production of cleaner burning transportation fuels.
"We are very pleased that Pemex has selected our new joint venture for the safe and reliable supply of nitrogen to the Jujo-Tecominoacan fields. Air Products and its Grupo Infra partner have been supplying industrial gases to Pemex for over 25 years, and this project will further broaden and strengthen that relationship," said Mark Bye, group vice president for Air Products.
The air separation plant supplying the nitrogen will be constructed and is to be on stream in November 2007. The engineering and imported equipment will be provided by Air Products. CryoInfra will supply the local equipment and construction, and will operate the plant. Grupo Infra's leading industrial gas position in Mexico combined with Air Products' state-of-the-art air separation technology were keys to being awarded this project.
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 $8.1 billion, operations in over 30 countries,and over 20,000 employees around the globe. For more information, visit www.airproducts.com.
NOTE: This release may contain forward-looking statements. Actual results could vary materially, due to changes in current expectations
Grupo Infra includes several Air Products joint ventures in Mexico, including CryoInfra, S.A. de C.V.; Infra, S.A. de C.V.; Infra del Sur, S.A. de C.V.; Envases de Acero, S.A. de C.V. and other entities.