Air Liquide Large Industries U.S. LP has entered into agreements with Valero Energy Corporation (Valero) for the long-term supply of hydrogen to its Texas City and Port Arthur refineries.

The agreements will span more than 15 years and Air Liquide providing a total of 105 million standard cubic feet per day (SCFD) of hydrogen to the two refineries.

Maintaining existing sales volumes and securing new hydrogen business is one of Air Liquide’s key strategic priorities for its industrial gas business in the US, Specialty Gas Report understands. The company’s new 120MMSCFD Steam Methane Reformer (SMR) being built in La Porte, Texas, is expected on-line at the beginning of next year and will serve Valero and other Air Liquide customers along its pipeline network.

Hydrogenis used in the oil refining process to convert crude oil into refined products and to remove sulfur for cleaner burning fuels.

Commenting on the new agreements, Michael Graff, President & CEO of American Air Liquide Holdings, Inc. said, “Air Liquide and Valero share a vision for a reliable, efficient and environmentally responsible energy supply, and our companies enjoy a long-term relationship that continues to grow.”

“Air Liquide’s advanced hydrogen production technologies and expansive pipeline and logistics network uniquely position us to offer the refining and petrochemical industries the capacity, reliability and energy efficiency required to meet the growing demand for their products.”

Air Liquide has been a long-term partner withValero, beginning in 1996 with hydrogen supply to the company’s Corpus Christi refinery, and then to the Texas City and Three Rivers refineries in 1998.