Praxair And BP Finalize Hydrogen Supply Agreement

06-Sep-2002

DANBURY, Conn. Sept. 5, 2002 - Continuing with its strategy to expand its Gulf Coast hydrogen business, Praxair, Inc. has finalized an agreement with BP whereby Praxair will supply hydrogen to BP's Texas City, Texas, chemicals and refinery complex.

Praxair will build two new hydrogen plants in the U.S. Gulf Coast area using state-of-the-art design and emission controls in order to supply the hydrogen to BP. The estimated start-up of the plants is in the second half of 2004.

BP will use the hydrogen as a feedstock in various chemical processes, in the production of very low-sulfur gasoline and diesel fuel, and for upgrading heavy oil components to lighter, clean fuels. BP is committed to supplying a full slate of low sulfur, cleaner burning fuels from its Texas City refinery over the next few years. The hydrogen agreement is also fully aligned with BP's commitment to reduce emissions of nitrogen oxides in the Houston/Galveston area as well as reduce carbon dioxide to combat global warming.

Anticipating the growing requirements of BP and other refining customers, Praxair previously announced plans to add approximately 300 million cubic feet per day (354,000 cubic meters per hour) of hydrogen capacity to its 300-mile Gulf Coast pipeline system, the largest in the world. With the expansion, Praxair's customers from Houston, Texas, to Lake Charles, Louisiana, will have access to over 600 million cubic feet per day of hydrogen. The hydrogen will be supplied from a series of new and existing steam-methane reformers and hydrogen-recovery systems.

"Praxair plans to play a key role in helping refiners meet increasingly stringent regulations for transportation fuels that will be implemented over the next four years," said Dan Yankowski, vice president, South Region, for Praxair's North American Industrial Gases organization. "Our ability to understand the refiners needs and to reliably supply hydrogen will be critical in helping them reduce their costs and comply with the regulations."

https://www.chemeurope.com/en/news/13866/praxair-and-bp-finalize-hydrogen-supply-agreement.html