Air Liquide will build a new world-scale $140m air separation unit (ASU) in Texas to support a new agreement signed with Gulf Coast Growth Ventures (GCGV).

The French corporation today said it had signed a long-term agreement with GCGV, a 50/50 joint venture between ExxonMobil and SABIC, to supply 2,000 tonnes per day of oxygen and 900 tonnes per day of nitrogen to GCGV’s planned 1.8 million tonnes per year ethane cracker facility near Corpus Christi.

To support the new agreement and additional volumes, Air Liquide will invest $140m in a new ASU in Bay City, Texas, and related infrastructure investments.

Air Liquide will also add nearly eight miles of pipeline to connect GCGV to its Gulf Coast Pipeline System, strengthening its capabilities throughout the Gulf Coast region of the US, and its position in the growing industrial basin of Corpus Christi.

In addition to delivering full requirements for oxygen and nitrogen to GCGV’s new petrochemical plant, the production capacity from the Bay City ASU, and its connection to Air Liquide’s expansive pipeline network along the Gulf Coast, will enable Air Liquide to retire older, less efficient assets.

By modernising its asset fleet, Air Liquide provides enhanced competitiveness to its customers over the long term and reduces the carbon intensity of its operations, hence contributing to achieving its 2025 Climate Objectives.

Michael Graff, Air Liquide Group Executive Vice-President and Member of the Executive Committee, said, “Air Liquide is proud to be part of this word-class project and to collaborate with industry leaders like ExxonMobil and SABIC.”

“This long-term agreement and investment in the new Bay City, Texas ASU, further demonstrates Air Liquide’s strong position and extensive capabilities in the Gulf Coast region of the US and its commitment to providing customers with sustainable, high quality solutions to meet their growing needs safely, reliably and with excellence.”