July 05, 2006 Lehigh Valley, Pa.
Air Products (NYSE: APD) today announced that its joint venture in India, INOX Air Products Limited, has signed a long-term contract with Steel Authority of India Limited (SAIL), India's largest steel producer for the supply of oxygen, nitrogen and argon to SAIL's steel works in Bokaro, Eastern India.
INOX Air Products will build, own and operate a state-of-the-art cryogenic air separation facility at SAIL's Bokaro steel works. The facility is scheduled to come on-stream in early 2008.
"We are happy to be associated with INOX Air Products as a long-term partner and are confident that INOX Air Products can meet SAIL's expectations for the supply of our industrial gas requirements for the expansion of our Bokaro production facilities," said Mr. D. P. Sharma—executive director—Projects, SAIL-Bokaro Steel Plant.
"India represents a significant growth opportunity for Air Products in Asia and steel is a key growth driver," said Bob Dixon, president, Air Products Asia. "INOX Air Products' supply agreement with SAIL demonstrates the value of our capabilities for a leading steel producer. It also reflects the quickened pace of industrial manufacturing and infrastructure investment in India, which will further increase the market for industrial gases."
India's steel production capacity is approximately 35 million metric tons per year (mmtpy). This number is expected to increase to 60 to 70 mmtpy within the 2010-2012 timeframe. SAIL is the largest steel producer in India with a hot metal capacity of 13 mmtpy.
"This new facility for SAIL in Eastern India complements INOX Air Products' existing strong presence throughout India and our leading merchant supplier position, and will better position us to meet our customers' existing and future requirements," said Pavan K. Jain, managing director of INOX Air Products.
Steel Authority of India Limited (SAIL) is the leading steel-making company in India. It is a fully integrated iron and steel maker, producing both basic and special steels for domestic construction, engineering, power, railway, automotive and defense industries, and for sale in export markets. SAIL produces iron and steel at five integrated plants and three special steel plants, located principally in the eastern and central regions of India and situated close to domestic sources of raw materials, including the company's iron ore, limestone and dolomite mines. For more information, visit www.sail.co.in
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 more than 20,000 employees around the globe. For more information, visit www.airproducts.com
INOX Air Products is Air Products' joint venture in India. The company has more than 35 operating locations and 1,200 employees throughout India. For more information, visit www.inoxairproducts.com.
NOTE: This release may contain forward-looking statements. Actual results could vary materially, due to changes in current expectations.