Air Products, an industrial gases company based in Allentown, Pennsylvania, recently announced that it would supply syngas to Jiutai New Material Co. Ltd for a multi-billion dollar mono-ethylene glycol project in Hohhot, China.
Air Products won a long-term on-site contract to supply the syngas and will build, own and operate the air separation, gasification, and gas cleanup processing facility. The plant will include the company’s recently acquired Shell gasification technology.
The project is expected to come online in the fourth quarter of Air Products’ 2021 fiscal year.
“Air Products is very pleased to have been awarded this very important gasification project by Jiutai,” Air Products Chairman, President and CEO Seifi Ghasemi said. “This facility will be the first plant 100 percent owned by Air Products and is a prime example of our gasification strategy focused on building, owning and operating the facilities and supplying syngas under long-term onsite contracts. We continue to build our credibility when it comes to gasification around the world.”
Air Products will invest approximately $650 million to build, own and operate the facility and will earn a fixed monthly fee under the long-term contract.
The facility will have the capacity to produce over 500,000Nm3/hr of syngas and will include five gasifiers, two approximately 100,000nm3/hr air separation units (ASU) with syngas purification and processing and associated infrastructure and utilities. Jiutai will supply the coal feedstock and receive all output from the plant.
“Air Products is a world leading industrial gas company with great experience,” Cui Lianguo, CEO of Jiutai said. “In the past several months working with Air Products, the team showed excellent technical expertise and very high speed and efficiency. We are looking forward to working with Air Products very closely to build and operate a first-class coal-to-chemicals plant.”