Air Products to build new hydrogen plant to supply Shell refinery in Canada

Air Products plans to build, own and operate a new world-scale hydrogen production plant adjacent to Shell Canada's Scotford facility located northeast of Edmonton, Alberta, the companies announced on Wednesday. 

The Air Products facility will produce over 150 million standard cubic feet/day (MMSCFD) of hydrogen and will be connected to Air Products Canada's existing Heartland hydrogen pipeline system which supplies refiners, upgraders, chemical processors and other industries in the Alberta Industrial Heartland region. 

The new Air Products Canada hydrogen plant is to be commissioned in the second half of 2015 pending regulatory approval.

The new Canadian plant will be built under a long term agreement for Air Products to supply Shell Scotford with hydrogen and steam.  The Scotford contract represents the first award under a recently-signed enterprise framework agreement (EFA) between Shell and Air Products. The EFA provides a template for all future industrial gas contracts between Shell and Air Products.

"Refineries, upgraders, and other customers in the Heartland region have increasing demands for hydrogen," said Wilbur Mok, vice president of the North America tonnage gases business at Air Products. "This new facility, which is connected to our established hydrogen pipeline system, will provide a very reliable source of hydrogen for these industries. We are pleased to be increasing our relationship with Shell, who we already supply at Scotford and other locations around the world."

The Shell Scotford industrial location will gain an added supply reliability benefit from its connection to Air Products Canada's 30-mile hydrogen pipeline, according to company officials. This pipeline is also fed by two existing hydrogen production plants in Edmonton that produce over 180 MMSCFD of hydrogen.

"Our customers in the US Gulf Coast have noted the benefit of being connected to a large hydrogen network pipeline system when it comes to enhanced supply reliability," said Mok. "We believe that model will also serve the Heartland customers well."

The new hydrogen facility will be built through the global hydrogen alliance between Air Products and Technip. The plant will feature the latest technology advancements to maximize energy efficiency and emissions reduction, and will include optimal heat integration, which in turn lowers feedstock consumption during production.

The plant configuration and deployed technologies support Air Products' overall sustainability goals of reducing energy consumption and emissions.

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