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Air-separation unit supplies Eastern Cape with industrial gas

21st November 2014

By: Anine Kilian

Contributing Editor Online

  

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Air Products South Africa officially launched its R300-million Eastern Cape air- separation unit (ASU), at its new manufacturing facility in the Coega Industrial Development Zone (IDZ), earlier this month.

It is the second facility that Air Products launched in South Africa this year, with the company also being the first industrial gas company to supply the Eastern Cape with gas from the newly commissioned ASU.

The development forms part of the company’s long-term R2-billion capital investment.

The energy efficient facility is the first of its kind to be commissioned in the Eastern Cape and the sixteenth ASU to be commissioned countrywide by Air Products South Africa.

“We committed to supply gas to our Eastern Cape customers by the fourth quarter of this year and we are actually ahead of schedule, as the plant was commissioned in September. We are, therefore, successfully providing a secure supply of industrial gas to the region,” Air Products South Africa central services GM Josua le Roux said at the launch.

The newly commissioned facility will produce 110 t/d of liquid nitrogen and oxygen, with the capacity to scale up production in line with market demand. It supplies industrial gases for a wide range of applications, such as freezing, welding, manufacturing and agroprocessing.

Air Products made a strategic decision to invest in the Coega IDZ, based on thorough market analysis, which showed increasing demand for gas across the industrial spectrum in the Eastern Cape, along with promising economic growth.

Le Roux said the availability of a secure supply of industrial gas, which no longer had to be trucked in over long distances from outside the province, strengthened the Eastern Cape’s industrial infrastructure and its attractiveness as an investment destination of choice.

“Security of industrial gas supply further supports business sustainability and competitiveness by enhancing the region’s supply chain network – which, in turn, opens the door to further industrial growth, investment and job creation throughout the entire value chain.”

He further commented that, while the Coega facility formed part of Air Products’ national strategy and footprint, the company focused strongly on local skills in design, construction and installation.

“All construction work was performed by local contractors and the bulk of the engineering and design work was awarded to local consultants. Going forward, we will use companies from this region as far as possible for the ongoing operation and maintenance of the plant,” Le Roux added.

He said the on-schedule completion and commissioning of the facility was the result of in-house project management expertise and a pool of professionals and contractors who worked closely with the company to ensure delivery on time, safely and without incident.

“With the ASU completed and commissioned, and gas now flowing, the real next step is to focus on building relationships with our customers through service that delivers the difference,” Le Roux added.

The Coega Development Corporation (CDC) welcomed Air Products as the 29th operational investor in the IDZ.

“It has been a momentous occasion to witness gas flowing from the Air Products ASU in our IDZ. The CDC is always proud when investment in the Coega IDZ becomes tangible, as this has a direct impact on the socioeconomic development of the Eastern Cape province. We can now look forward to many other positive spin-offs from the newly launched Air Products ASU,” said CDC business development executive manager Christopher Mashigo.

He added that security of gas supply to the CDC’s investors and manufacturers in the province enabled uninterrupted production and manufacturing, which was critical for the growth of the local economy, and that Air Products’ investment would ensure ongoing and sustainable industrial development.

Nelson Mandela Bay Business Chamber president Mandla Madwara welcomed the Air Products’ launch as a clear indication of the company’s confidence in the Eastern Cape market.


Edited by Martin Zhuwakinyu
Creamer Media Senior Deputy Editor

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