December 14, 2010 Lehigh Valley, Pa.
Air Products (NYSE: APD)today announced that INOX Air Products Ltd., its joint venture (JV) in India, will construct three air separation units (ASU) and liquefiers for the merchant market and also will build a fourth plant for long-term industrial gas supply to Saint Gobain Glass India. The four facilities are scheduled to come on stream during 2012.
“We are the market leader in merchant industrial gases in India, and these new plants are part of our strategy to continue to provide efficient and reliable product to support the strong growth in India. The anticipated manufacturing growth is more than seven percent annually over the next five years, and the demand for industrial gases has been steadily increasing,” said Pavan K. Jain, managing director of INOX Air Products. “The investments strengthen INOX Air Products’ existing substantial presence throughout India and reinforce our supply positions which we have achieved through our strong customer focus.”
INOX Air Products will build the ASU and liquefier merchant plants to produce liquid oxygen, liquid nitrogen, and liquid argon in the states of Himachal Pradesh, Gujarat and Puducherry. All three locations have a strong manufacturing base, and these cost-effective facilities are strategically located close to the principal markets that they serve.
INOX Air Products will also build an ASU and liquefier for the merchant market and signed a long-term supply contract for nitrogen and hydrogen with Saint Gobain Glass India (SGGI). The production plants, to be located at SGGI’s facility in the state of Rajasthan, will supply nitrogen from the ASU by pipeline and hydrogen from a steam methane reformer (SMR) plant designed to meet the specific requirements of the customer. The SMR is a product offering from Air Products’ PRISM® gas generation portfolio.
“A customer-focused approach was essential in gaining our business. Reliable supply is very important to our project, and we believe INOX Air Products’ industrial gas expertise will deliver on our industrial gas needs,” said Mr. S.N. Eisenhower, director–Operations at Saint Gobain Glass India.
In adding these four new facilities, INOX Air Products’ market presence in India continues to grow. Earlier this year, the company announced a long-term contract with POSCO Maharashtra Steel Private Limited (PMSPL) to supply on-site nitrogen and hydrogen gases to its new facility in Vile Bhagad, Maharashtra, in western India. PMSPL is a subsidiary of POSCO, the world’s fourth largest steel producer by output. The nitrogen plant and the SMR are both product offerings from Air Products’ PRISM® gas generation portfolio. The plants are expected to come on stream in late 2011.
Air Products’ PRISM line of gas generation systems supply nitrogen, oxygen and hydrogen to more than 1,500 customers in over 30 countries worldwide. Air Products’ on-site hydrogen SMR offerings were enhanced by a technology acquisition in 2008 and offer flows across a wide range of requirements with highly efficient use of natural gas. Global markets currently served by Air Products entire PRISM line of gas generation systems include glass, steel, electronics and semiconductors, non-ferrous metals, metals processing, chemicals, food processing and packaging, and energy production and processing.
About Air Products
Air Products (NYSE:APD) serves customers in industrial, energy, technology and healthcare markets worldwide with a unique portfolio of atmospheric gases, process and specialty gases, performance materials, and equipment and services. 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. In fiscal 2010, Air Products had revenues of $9 billion, operations in over 40 countries, and 18,300 employees around the globe. For more information, visit www.airproducts.com.
About INOX Air Products Ltd.
INOX Air Products Limited is a joint venture company in which the Jain family (former owners of the Industrial Oxygen Company) and Air Products hold an equal stake. Headquartered in Mumbai, INOX Air Products is one of the largest manufacturers of industrial gases in India with 36 plants spread throughout the country and a workforce of approximately 1,200. INOX Air Products Ltd. manufactures and supplies industrial gases including oxygen, nitrogen, helium, argon, carbon dioxide, hydrogen, and specialty gas mixtures throughout India. More information can be found at www.inoxairproducts.com.
NOTE: This release may contain forward-looking statements within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management’s reasonable expectations and assumptions as of the date of this release regarding important risk factors. Actual performance and financial results may differ materially from projections and estimates expressed in the forward-looking statements because of many factors not anticipated by management, including risk factors described in the Company’s Form 10K for its fiscal year ended September 30, 2010.