June 14, 2006 Calgary, Alberta, Canada
Air Products Canada Ltd. celebrated the commercialization of its first hydrogen production facility to serve the Canadian refining industry with a ribbon-cutting ceremony today in Strathcona County near Edmonton, Alberta, Canada. Air Products' 71 million standard-cubic-feet-per-day (MMSCFD) hydrogen production plant serves the Petro-Canada and Imperial Oil refineries, and other customers in the local area.
"We are excited to have this facility on-stream and to be working with the refining industry in Canada. This facility is the first of three hydrogen plants we will have operating in Canada by 2008. These will also be the first on-purpose production facilities to provide long-term hydrogen supply to Canadian refineries. The Alberta Industrial Heartland is one of three key Canadian refining centers and an area that will continue to grow in hydrogen demand as more oil sands crude is processed," said Steve Losby, general manager for Air Products' Energy and Process Industries Division-Canada.
"As the world leader in the supply of hydrogen, Air Products is pleased to be taking the lead in supplying this critical material to Canadian refiners," said Mark Bye, group vice president, Gases and Equipment Group at Air Products. "Refiners need a dependable supply of hydrogen to maximize production of fuels, and Air Products is recognized in this industry for the reliable and safe production of hydrogen. We look forward to working with refiners in this region and to build on the numerous long-term relationships we have with the refining industry worldwide."
The hydrogen production facility, a natural gas-based steam methane reformer, assists refiners to produce cleaner transportation fuels and other petroleum products from heavier crude feedstocks. The Air Products facility is located adjacent to the Petro-Canada Edmonton Refinery and will also supply other customers in the area by pipeline. The supply arrangement is one of over 25 that Air Products has undertaken with refiners worldwide.
Additionally, Air Products has commenced engineering to expand production capacity at the facility through construction of a second hydrogen plant at the same location. Announced in January 2006, the 105 MMSCFD facility expansion will serve several customers in the Alberta Industrial Heartlands corridor along with the Petro-Canada refinery. This plant will be the first Air Products facility to provide the sale of hydrogen for use in the processing of Canadian oil sands into gasoline and diesel fuel. It is expected on-stream in April 2008.
Oil sands are composed of bitumen, sand, water, and clay, and must be physically separated prior to further processing. The separated bitumen is processed into synthetic crude oil.
With the addition of hydrogen, the synthetic crude oil is then further refined into value added products like gasoline and diesel fuel.
Air Products Canada Ltd., a subsidiary of Air Products and Chemicals, Inc. (NYSE: APD), is also constructing a hydrogen plant in Sarnia, Ontario, Canada to produce in excess of 80 MMSCFD to serve refiners in that region. The plant is expected to be on-stream this quarter.
The hydrogen facility celebrated today is the 23rd to be built under the global alliance between Air Products and Technip. This alliance continues to provide the worldwide refining industry with competitive technology, plus world-class safety with "over the fence" hydrogen supply. Both companies bring a long history of hydrogen experience to their role in the alliance. Technip provides the design and construction expertise for steam reformers while Air Products provides the gas separation technology. Air Products, through its extensive operating network, and Technip, from its large reference base, also bring effective operational and engineering knowledge to "design-in" high reliability and efficiency. The plants are operated and maintained by Air Products under long-term agreements with customers.
About Air Products
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
With a workforce of about 20,000 people, Technip ranks among the top five corporations in the field of oil, gas and petrochemical engineering, construction and services. Headquartered in Paris, the Group is listed in New York and Paris.The Group's main operations and engineering centers and business units are located in France, Italy, Germany, the UK, Norway, Finland, the Netherlands, the USA, Brazil, Abu-Dhabi, China, India, Malaysia and Australia. In support of its activities, the Group manufactures flexible pipes and umbilicals, and builds offshore platforms in its manufacturing plants and fabrication yards in France, Brazil, the UK, the USA, Finland and Angola, and has a fleet of specialized vessels for pipeline installation and subsea construction. Technip is the leading supplier of hydrogen production facilities with more than 200 references worldwide. More information can be found at www.technip.com
. NOTE: This release may contain forward-looking statements. Actual results could vary materially, due to changes in current expectations.
EDITOR'S NOTE: Photos of Air Products' hydrogen production facility in Strathcona Countyare available in Air Products' online Press Room at www.airproducts.com/PhotoLibrary/restricted/photo-plant.asp.
Tel: +33 (0) 1 47 78 26 37
Fax: +33 (0) 1 47 78 24 33