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News ReleaseAir Products’ ITM Work Wins EPRI Technology Transfer Award

ITM Technology for Lower-Cost Oxygen Production Advancements Lauded

March 15, 2011 Lehigh Valley, Pa.

Air Products’ (NYSE: APD) ion transport membrane (ITM) technology was presented a Technology Transfer Award by the Electric Power Research Institute (EPRI) at a recent ceremony held in New Orleans, Louisiana. EPRI Technology Transfer Awards, which represent the highest achievements realized during the year by EPRI, specifically lauded Air Products for its “Ion Transport Membrane for Lower-Cost Oxygen Production.”

Air Products’ patented ITM oxygen production technology could significantly increase the efficiency and reduce the costs of advanced coal-fired power plants, both with and without carbon dioxide capture and storage systems. Air Products received EPRI’s award for advancing its ITM technology and research results, for leadership in the implementation of the technology, and for leadership in the development of the technology.

“We are honored to have been presented an award by EPRI, recognizing the advancement that ITM technology offers the energy industry,” said Ted Foster, director–Business Development at Air Products. “We believe ITM oxygen technology will play a role in advancing coal-based clean power generation both in today’s power market, and also in the anticipated carbon-constrained environment of the future.”

ITM technology uses a ceramic material which, under pressure and temperature, ionizes and separates oxygen molecules from air. No external source of electrical power is required in this process. The technology would be an alternative to traditional cryogenic air separation units, the conventional means of producing the large quantities of oxygen required by an integrated gasification combined cycle (IGCC) plant and also the newer oxy-combustion electric power plants, which would capture carbon dioxide. This process typically contributes up to 15 percent of the capital cost of the plant and up to 80 percent of the internal power demand. ITM technology has the potential to produce oxygen more economically and efficiently, decrease the oxygen plant footprint, and also decrease the cooling water requirement for most large oxygen demand applications.

“Air Products has been a leader in the development and application of ITM oxygen technology since 1988. This leadership and involvement has significantly advanced the development of ITM oxygen technology that offers significant cost and performance benefits,” said Tom Alley, vice president of Generation at EPRI. Alley presented the EPRI award to Air Products.

Current ITM technology work successfully builds on investments by Air Products and the U.S. Department of Energy (DOE) to develop options to lower the capital and operating cost of IGCC and oxy-combustion electric power generation plants. Most recently, in 2010, Air Products was selected for $71 million in funding from DOE for development of ITM oxygen technology for integration with advanced industrial systems. The funding pointed Air Products to accelerate commercial manufacturing of ion transport membrane modules and initiate the development of a 2,000 ton per day pre-commercial scale facility ahead of schedule, enabling this technology to potentially enter the marketplace at least two years earlier than previously projected.

Since 2009, Air Products has been involved with an EPRI Industry Technology Demonstration collaborative comprising seven electric utility companies.

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  

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.

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