Air Products to supply Chinese steelmaker

Air Products & Chemicals Inc., Allentown, today said it agreed to purchase and operate existing equipment to supply industrial gases for Chinese steel manufacturer Xingtai Iron and Steel Corp. Ltd.

In addition to acquiring four air separation units in the deal, Air Products will build a fifth unit for the specialty steel company in Hebei province, China. Air Products did not disclose the value of the deal.

Xingtai Steel is expanding its existing steelmaking capacity and will be supplied over 1,700 tons per day of oxygen under the long-term agreement, Air Products said. The deal is pending Chinese government approval, which is expected in 2009. The new air separation unit is expected to be on-stream in March 2011.

Air Products had fiscal 2008 revenues of $10.4 billion, operations in over 40 countries, and 21,000 employees around the globe.