Linde on Wednesday launched its new gases production plant in Wuan, one of the largest steel manufacturing hubs in North China.
The total investment of this project is 500 million yuan ($78.5 million).
The new plant will run seven air separation units with an overall capacity of 63,000 Nm3/hour of oxygen provided to Pu Yang Steel, the largest steel company in the Wuan region.
As a key regional player, Pu Yang becomes the first steel company to choose to outsource their gas supply to a professional industrial gas provider, Linde said.
Wuan is the steel manufacturing hub in Hebei Province with altogether 20 steel companies in total.
With the opening of this new plant, more local companies may start to understand the advantage of gas outsourcing solution, Linde officials said.
This could be helpful in terms of improving energy efficiency and environmental performance as the key strategy laid out by China government, according to the company.
This is an exciting breakthrough for Linde and we are proud to contribute to Chinas national agenda of uplifting the steel manufacturing industry, which is one of Chinas key pillars of growth, said Steven Fang, head of region greater China at Linde.
The new plant in Wuan is not only a proof of Lindes role as a catalyst for further expansion, but also demonstrates our technical superiority in innovating for customers in the steel industry.
Hebei Pu Yang Iron and Steel Co., Ltd. is a privately-owned company that produces around 6 million tpy of carbon steel in Wuan.
Pu Yang Steel produces plate, hot rolled coil, strip, tube and wire rod for the construction, manufacturing and ship building industries.