Air Liquide Signs a Long Term Contract with PEMEX for the Supply of Hydrogen to the Tula Refinery in Mexico

Regulatory News:

Air Liquide (Paris:AI) recently signed a new long term agreement with Pemex Transformación Industrial, a subsidiary of Petróleos Mexicanos (PEMEX), the state-owned oil & gas company, to supply hydrogen to PEMEX’s refinery located at Tula de Allende, in the state of Hidalgo in the central region of Mexico. Through a €50 million investment for the take over and optimization of PEMEX’s existing hydrogen production unit, this agreement will allow Air Liquide to strengthen its presence in central Mexico.

According to the long term contract, Air Liquide Mexico will acquire, upgrade and operate the customer’s existing hydrogen production unit (Steam Methane Reformer-SMR) in order to supply 90,000 Nm3 per hour of hydrogen to PEMEX refinery. The acquisition of the SMR is subject to closing conditions, including the approval of the Mexican antitrust authority.

Expected to start operations in the first quarter of 2018, Air Liquide’s upgraded SMR will provide hydrogen to PEMEX with optimal safety and reliability to help produce cleaner fuels at the Tula refinery. Hydrogen is used in the petroleum refining process to help produce cleaner transportation fuels.

Michael J. Graff, Executive Vice President and member of the Air Liquide group’s Executive Committee, said: "We appreciate the confidence PEMEX has placed in Air Liquide as their supplier of choice for their Tula refinery’s hydrogen needs. This long term agreement with PEMEX further recognizes the world-class capabilities of Air Liquide and our commitment to providing safe, reliable and innovative technologies, and deliver even greater value to meet customers needs around the world. We are pleased to expand our relationship with PEMEX and to continue to strengthen our presence in Mexico and throughout the region.”

Air Liquide in Mexico

Air Liquide entered the Mexican industrial gases market in 2011 and now operates 8 plants including the largest Air Separation Unit in the country located in northern Mexico. With key locations in north and central Mexico, Air Liquide´s main business activities include Large Industries and Industrial Merchant, offering innovative solutions to steel, automotive, metal fabrication, aeronautics and energy industries.

The Large Industries business line of Air Liquide
offers gas and energy solutions that improve process efficiency and help achieve greater respect for the environment, mainly in the refining and natural gas, chemicals, metals and energy markets. In 2016, revenues were €5,037 million.

-------

The world leader in gases, technologies and services for Industry and Health, Air Liquide is present in 80 countries with approximately 65,000 employees and serves more than 3 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 company’s activities since its creation in 1902.

Air Liquide’s ambition is to lead its industry, deliver long term performance and contribute to sustainability. The company’s customer-centric transformation strategy aims at profitable growth over the long term. It relies on operational excellence, selective investments, open innovation and a network organization implemented by the Group worldwide. Through the commitment and inventiveness of its people, Air Liquide leverages energy and environment transition, changes in healthcare and digitization, and delivers greater value to all its stakeholders.

Air Liquide’s revenue amounted to €18.1 billion in 2016 and its solutions that protect life and the environment represented more than 40% of sales. Air Liquide is listed on the Euronext Paris stock exchange (compartment A) and belongs to the CAC 40, EURO STOXX 50 and FTSE4Good indexes.

www.airliquide.com
Follow us on Twitter @airliquidegroup

View source version on businesswire.com: http://www.businesswire.com/news/home/20170906006265/en/