The Messer Group has built its third gases production plant in northern Vietnam for steelmaker Hoa Phat Steel, further reinforcing its position in the region.
The new contract for oxygen and nitrogen that Hoa Phat Steel, the largest steel producer in Vietnam, signed in October with Messer will run for a period of 25 years.
With a third air separation unit for the production of oxygen, nitrogen and the noble gas argon, Messer secures its leadership position in the North Vietnamese market for the long-term. The company has been active in Vietnam since 1997, establishing itself as one of the largest gas supplies in the country, with three filling plants for cylinder gases, two air separation units, and the first – and only – plant in the country to produce food grade CO2.
From 2016, Messer will be directly supplying the Hoa Phat Steel steelwork by pipeline with 22,000 cubic metres of gaseous oxygen and 30,000 cubic metres of nitrogen per hour. The capacity of the three air separation units is sufficient to supply this volume of gas. Messer is utilising the existing production infrastructure for the third plant, which saves money and conserves resources.
“This project is the best and perhaps last chance to expand the production of industrial gases in the north of the country. In doing so, we’re opening new markets – and shutting out competition,” said Stefan Messer, owner and Managing Director of the Messer Group.
The Hoa Phat Steel Group is currently the most profitable steel manufacturer in Vietnam and produces 1.15 million tonnes of steel each year, 850,000 of which are produced in Hai Duong. Construction of its third blast furnace has now begun and should be completed in March 2016. In future, the market leader will have an increased annual production capacity of around two million tonnes.
Stefan Messer will provide insight into Messer’s growing footprint in South East Asia and its future intentions for the region at the upcoming Asia-Pacific Industrial Gas Conference 2014 in Singapore this November.
Held from 17th – 19th November at the Pan Pacific Hotel, Singapore, the conference will explore the trends, challenges and future opportunities in the industrial gases business in the Asia-Pacific region, under its theme of ‘Leveraging Growth in an Emerging Market’.
A keynote speaker on Day Two of the event, Messer will present ‘Messer and the Asia Pacific IG Market’.
There are now only two weeks to go until the conference. For more information about the event and how to attend, contact Becky Palmer:
+44 1872 225031