Praxair Mexico, a subsidiary of Praxair, Inc. has entered into a supply contract with leading Mexican steel company, Daecero.

According to the new agreement, Praxair will provide oxygen, argon and nitrogen to a plant being built in the industrial North Mexican region of Ramos Arizpe, Coahuila.

The new cryogenic air separation unit (ASU) will offer a daily capacity of 500 tons per day (tpd) and is expected to be functional in early 2014. The overall contract will enable Daecero to produce 1.5 million tons of steel per year.

David Gutiérrez, Deacero’s General Director of Operations, commented, “We are happy to have Praxair as a key supplier to our new steel plant and look forward to a joint effort that results in innovative solutions and productivity gains that benefit both companies.”

Murilo Melo, President and General Director of Praxair Mexico and Central America responded to the deal, “Praxair Mexico is proud to be awarded this new contract and is committed to providing Daecero and the Mexican market with cutting edge technology, high quality products and reliable world class gas supply service in order to support its growth, productivity and environmental initiatives.”