Air Liquide and Sinopec have agreed on the supply of gaseous oxygen and nitrogen to the Maoming branch of Sinopec (MPCC). Air Liquide will supply 200,000 Nm³/h to both a coal-to-hydrogen project and an existing refinery in Maoming, Guangdong province, China.
This refinery expansion project by MPCC is one of the major projects of Sinopec, and will enable MPCC to produce cleaner fuels meeting higher environmental standards. After completion of the project, MPCC will become one of the biggest refineries in China with a capacity exceeding 20 million-ton oil refining per year.
Yu Xizhi, General Manager of MPCC, said: “MPCC refinery revamping and expansion is a key national project. We have chosen Air Liquide as our partner to benefit from its state-of-the-art technology and excellence in operational management, to ensure a safe, efficient and reliable gas supply. We see a bright future for a win-win partnership with Air Liquide, the world leading industrial gas supplier.”
“This is a new step in our relationship with Sinopec and another milestone for Air Liquide in China’s refining industry. We are very pleased to partner with MPCC in this major project and to participate to the dynamic and growing Southern China market.”
Jean-Marc de Royere, Senior Vice-President Asia Pacific and a member of the Air Liquide Executive Committee
The supply will be based on the investment in a new ASU with a 3,000 tpd capacity, making it the largest ASU to be built in China. The new ASU, expected to be commissioned in the first half of 2013, will also produce liquid oxygen, nitrogen and argon to meet the strong and growing demand in the industrial merchant market in South China. This very large ASU will be designed and manufactured by Air Liquide Hangzhou, Air Liquide’s engineering center in China, using the Group’s latest technologies providing both high reliability and energy efficiency.
For the gas supply to MPCC, Air Liquide and Sinopec have entered into a 50/50 joint venture. Under the terms of the contract, the joint venture will also take over and operate MPCC’s existing Air Separation Units (ASUs).
The global investment of the joint venture will be around €85 million.
Jean-Marc de Royere, Senior Vice-President Asia Pacific and a member of the Air Liquide Executive Committee, commented, “This is a new step in our relationship with Sinopec and another milestone for Air Liquide in China’s refining industry. We are very pleased to partner with MPCC in this major project and to participate to the dynamic and growing Southern China market. Air Liquide remains committed to the Chinese market in offering comprehensive solutions with leading-edge technologies. Developing Economies are a growth driver of the Air Liquide group.”