Air Liquide strengthens its partnership with MPCC in China

April 12, 2016

Air Liquide signed a new long-term contract with Maoming Petrochemical Co. (MPCC), a subsidiary of China Petroleum & Chemical Corp. (Sinopec Corp.), one of the largest integrated energy and chemical companies in China. Under the terms of the new agreement, Air Liquide will invest around 40 million euros in a new state-of-the-art ASU (Air Separation Unit), with a total capacity of 850 tonnes of oxygen per day.

Expected to start operations in the second quarter of 2017, the new ASU will supply industrial gases including oxygen and nitrogen to the customer’s new ethylene oxide plant as well as to its existing one. The ASU, located in Maoming City of Guangdong Province, will be designed and supplied by Air Liquide’s Engineering and Construction teams using leading technologies to offer energy efficiency as well as optimal reliability and safety. The ASU will be owned and operated by ALMPCC, the joint venture of Air Liquide China and MPCC established in June 2012.

François Venet, Vice-President, Asia Pacific and a member of Air Liquide group’s Executive Committee commented: Air Liquide has developed a strong business relationship with MPCC since 2012. Their decision to outsource to Air Liquide their industrial gases need on this new project demonstrates MPCC’s confidence in our capability to provide innovative solutions and deliver safe operations, which further strengthens our strategic partnership. This new agreement also illustrates our wish to develop our activities in China over the long term.

Lu Weiqun, Deputy General Manager of MPCC and Vice Chairman of ALMPCC Board, added: It’s our pleasure to join hands with Air Liquide again. By combining their advanced technology and management expertise with MPCC’s experience in the local market, ALMPCC has seen great successes in recent years. Through the new project, we expect ALMPCC to contribute more to the development of MPCC as well as to that of the local economy.

operates nearly 90 plants and employs about 4,500 employees with a strong presence in the key coastal industrial areas, and is expanding into the center, south and west. Its main business activities include industrial and medical gas operations, as well as Engineering & Construction (designing, manufacturing and installing air separation units/hydrogen facilities).

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 2015, revenues were € 5,201 million.

The Engineering and Construction activity (Global E&C Solutions) builds the Group’s production units – mainly air separation units (ASUs) and hydrogen production units – and provides plants for third-party customers.

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