Regulatory News:
Air Liquide (Paris:AI) will invest around 150 million US dollars to expand its production capacity and pipeline network in Tennessee, U.S., in the context of a new long-term contract with LG Chem. Supplying oxygen to LG Chem's future cathode active material plant, the Group will be supporting the growth of the battery ecosystem in the United States. This investment will increase the Group's footprint in a key region and support the development of its Industrial Merchant market.
Triggered by LG Chem's new need for oxygen at their future cathode active material manufacturing plant for lithium-ion electric vehicle batteries, Air Liquide is investing 150 million US dollars to build, own and operate a second ASU, liquefier, storage and a pipeline at its Airgas production facility located in Clarksville, Tennessee.
This investment reflects how the Air Liquide group is solidly positioned to accompany its customers in the new Energy Transition markets, including the structurally growing battery manufacturing sector. The number of electric cars globally is expected to more than triple by 20301
As part of this investment, the expansion of the Airgas facility, first inaugurated in 2013, is expected to be commissioned in 2027. It will produce additional oxygen, nitrogen and argon enabling the Group to seize growth opportunities, and ensure a better density coverage of the region with a reliable supply to industrial, healthcare, pharmaceutical, food production, water treatment and other customers throughout Kentucky and Tennessee. The Group will leverage electricity from renewable sources to produce and make low-carbon products available to customers.
Matthieu Giard, Group Vice President, Americas, said:"Serving a key industry in the energy transition, this investment is in line with the Group's ADVANCE strategic plan and our commitment to supporting our customers with concrete solutions. This is further recognition of our expertise in the United States, where the energy transition is gaining momentum and where we benefit from a solid position, combining both a historic presence in major industrial basins as well as a local anchoring thanks to Airgas. As part of the long-term contract signed with LG Chem, we will be putting our solutions at the service of the battery ecosystem in the United States. Additionally, through this investment, Airgas will more than double its local liquid nitrogen, oxygen and argon production which will enable us to support the increasing demand from merchant customers in Tennessee and surrounding states."
Airgas, Inc. Airgas®, an Air Liquide company, is a leading U.S. supplier of industrial, medical and specialty gases, as well as hardgoods and related products; one of the largest U.S. suppliers of safety products; and a leading U.S. supplier of ammonia products and process chemicals. Airgas helps its more than 1 million customers advance their business performance and reach their full potential with reliable products, services and expertise used to create, build, care, serve and sustain. With nearly 18,000 associates, over 1,400 locations, a robust eBusiness platform, and Airgas Total Access® telesales channel, Airgas is ready to help customers fill their potential, every day. As an Air Liquide company, a world leader in gases, technology and services for Industry and Health, Airgas offers customers an unrivaled global footprint and industry-leading technology and innovations. For more information, please visit www.airgas.com |
Air Liquide is a world leader in gases, technologies and services for industry and healthcare. Present in 60 countries with 66,300 employees, the Group serves more than 4 million customers and patients. Oxygen, nitrogen and hydrogen are essential small molecules for life, matter and energy. They embody Air Liquide's scientific territory and have been at the core of the Group's activities since its creation in 1902.
Taking action today while preparing the future is at the heart of Air Liquide's strategy. With ADVANCE, its strategic plan for 2025, Air Liquide is targeting a global performance, combining financial and extra-financial dimensions. Positioned on new markets, the Group benefits from major assets such as its business model combining resilience and strength, its ability to innovate and its technological expertise. The Group develops solutions contributing to climate and the energy transition-particularly with hydrogen-and takes action to progress in areas of healthcare, digital and high technologies.
Air Liquide's revenue amounted to more than 27.5 billion euros in 2023. Air Liquide is listed on the Euronext Paris stock exchange (compartment A) and belongs to the CAC 40, CAC 40 ESG, EURO STOXX 50, FTSE4Good and DJSI Europe indexes.
1Source: IEA
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