| Chinese Linde Gas joint venture with SCCC– Shanghai Hualin Industrial Gases Co. Ltd. - to supply hydrogen and carbon monoxide for 15 years
Investment volume for on-site facility: 70 million euros
Further cooperation agreed on future site expansion
Linde Gas China, March 21, 2006 - The technology group Linde Gas has, in cooperation with its Chinese joint venture partner, the Shanghai Coking & Chemical Corporation (SCCC), concluded a long-term supply agreement with Bayer Polyurethane (Shanghai) Ltd. Co. The agreement, which covers the supply of hydrogen and carbon monoxide for a period of 15 years, provides for the construction and operation of an on-site facility at the Bayer Integrated Site at the Shanghai Chemical Industry Park in Caojing, near Shanghai. The investment volume is around 70 million euros.
A main feedstock is a synthesis gas generated by the Shanghai Coking & Chemical Corporation through environmentally friendly coal gasification. "This production complex builds on China's plentiful coal reserves to produce superior raw materials. Thanks to natural gas and LPG as supplementary feedstock and redundant process units, this complex will offer extraordinary flexibility and security of supply", explains Dr. Aldo Belloni, member of the Executive Board of Linde AG and responsible for the business segment Gas and Engineering. Hydrogen and carbon monoxide are primarily used in the manufacture of intermediate products for polyurethane (PU) production. PU is a versatile high performance plastic which is used for example in consumer goods as well as in the automotive and construction industries.
Linde Gas and Shanghai Coking have been working together on the production of hydrogen, carbon monoxide and carbon dioxide as well as cryogenic technologies for many years. A first on-site plant of the same type for the supply of Bayer in Caojing will start operation mid-2006. In securing this second contract, the joint venture, Shanghai HuaLin Industrial Gases Co., Ltd. (total investment for 140 Mio euros), which will be erecting the new facility in Caojing until mid-2008, will become the leading supplier for these two gases at one of the largest and most dynamic chemical sites in China. Bayer Polyurethane (Shanghai), Linde Gas and Shanghai Coking have also agreed to cooperate on expanding capacities at the Bayer Integrated Site in future.
Linde is an international technology group which occupies leading market positions in each of its two business segments Gas and Engineering and Material Handling. In the 2005 fiscal year, Linde generated sales of 9.5 billion euros and currently employs more than 42,000 people worldwide. In 2004, in cooperated with SCCC, Linde Gas established Shanghai Hualin Industrial Gases Co., Ltd. (with the total investment of 140 Mio euros) in Shanghai Chemical Industrial Zone to provide synthetic gas to customers in the zone especially to Bayer through pipelines.
More information about Shanghai Coking & Chemical Corporation, please visit www.shcoking.com.cn and www.bayerchina.com.cn. |
