The Linde Group expands gases supply in Ningbo (China)

24-Oct-2008 - China

The Linde Group has entered into two new contracts for the on-site supply of gases to the companies Ningbo Iron & Steel Co. Ltd and Hanwha Chemical Corporation (HCC) in Ningbo in eastern China. Under the agreements, Linde will build an additional air separation plant at the emerging industrial site on the Yangtze delta, an investment of around 17 million euro.

The new plant will supply an extra 21,000 scmh (standard cubic metres per hour) of oxygen to the steelworks of Ningbo Steel in Ningbo Beilun district from the middle of 2009. Linde Gas Ningbo, a fully-owned subsidiary of The Linde Group, has been supplying the integrated producer of iron and steel in the region exclusively since 2007 with a total of 42,000 scmh of oxygen and 40,000 scmh of nitrogen from two air separation plants.

In the industrial development zone of Daxie, an island lying off the coast of Ningbo, the Korean company Hanwha Chemical Corporation is building a production facility for PVC (polyvinyl chloride). The new factory should come on stream at the end of 2010. In the initial phase, Linde will supply HCC with up to 8,250 scmh of oxygen and 2,000 scmh of nitrogen. The gases will be supplied from two air separation plants, each with a total capacity of 39,000 scmh per pipeline, which Linde is currently building for its customer Ningbo Wanhua Polyurethane Co. Ltd on its Daxie site. Ningbo Wanhua Polyurethane is one of China's fastest-growing polyurethane manufacturers.

Under this supply agreement, which was signed in December 2007, Linde Gas Ningbo will supply Ningbo Wanhua's polyurethane plants from 2010 with large volumes of oxygen and nitrogen. At more than 100 million euro, this is Linde's biggest single investment to date in China.

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