Air Liquide has signed a long-term agreement with Steel Dynamics, Inc. (SDI) to supply gaseous oxygen, nitrogen, and argon to SDI’s new Electric Arc Furnace steel mill in Sinton, Texas.
The industrial gas major plans to invest over $100m to install an air separation unit (ASU) on its Gulf Coast pipeline network in Ingleside, Texas, to support the new deal, as well as extending its pipeline network to SDI’s site.
The ASU will have the capacity to produce over 770 tonnes per day of oxygen, as well as nitrogen and argon to supply SDI’s planned 3 million tonnes per year steel mill which starts up in 2021.
Air Liquide will also add 45 kilometres of pipeline connecting SDI – one of the largest steel producers and metals recyclers in the US – to its proprietary Gulf Coast Pipeline System, strengthening the industrial gas giant’s position in the US Gulf Coast region and in the growing industrial basin of Corpus Christi where it has been present since the mid-1930s.
Michael J. Graff, Executive Vice-President and Executive Committee Member, Air Liquide Group, said, “Air Liquide is proud to support the growth of Steel Dynamics Inc. and to collaborate on this project which will strengthen the US steel industry through the establishment of the largest steel mill in Texas. The investment in this ASU and pipeline infrastructure will further enhance Air Liquide’s network capabilities and leadership position in the Gulf Coast, allowing us to meet the growing industrial gas demands of our customers in the region - safely, sustainably and reliably.”
Air Liquide’s ability to provide large volumes of oxygen and nitrogen from Corpus Christi, Texas, to New Orleans, Louisiana, via its integrated production and supply pipeline network provides Air Liquide customers with an enhanced competitiveness over the long-term, according to the French multinational company.