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Air Products Enters New Oxygen and Nitrogen Supply Contract

Air Products (NYSE: APD) today announced the signing of a new long-term oxygen and nitrogen supply agreement, and that it will build a new air separation unit (ASU) and refurbish its existing ASU and liquefier at its facility in Granite City, Illinois.

The new facility, planned to be onstream in the second quarter of 2012, will provide additional capacity for meeting both on-site customer demand for gases and merchant liquid products in the region.

"Air Products has been producing industrial gases at Granite City since the 1950s. This new investment will expand our capability to serve current customers and provide significant modernization of our operations there. It represents another step in our commitment to existing customers in that area, and strengthens Air Products' ability to supply merchant liquid products to customers in the Midwest market," said Wilbur Mok, vice president–Tonnage Gases North America for Air Products.

The new 500-ton-per-day ASU, planned to be onstream in 2012, in combination with the existing, refurbished ASU and liquefier, will add capability to serve both the on-site customer and the merchant market. Total argon capacity for the site will also increase as a result of this project.

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