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Inox Air Products to invest Rs 600 cr to expand capacity

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BS Reporter Mumbai/ Ahmedabad
Last Updated : Jan 21 2013 | 6:57 AM IST

INOX Air Products, a joint venture company in which the Jain family (promoters of the INOX Group) and Air Products hold an equal stake, will invest close to Rs 600 crore to set up four air separation units (ASU) and liquefiers that will come on stream during 2012 and increase the Inox Air Products merchant capacity by about 60 per cent. The plants would come up at Gujarat, Himachal Pradesh, Puducherry and Rajasthan.

“We are market leaders in merchant industrial gases and this committed investment aligns our supply chain with the consistently growing demand for industrial gases which is being fuelled by the robust expansion in India’s manufacturing sector” said Siddharth Jain, director, INOX Air Products.

These four ASU and liquefier merchant plants that INOX Air products will produce liquid oxygen, liquid nitrogen and liquid argon, and have been strategically planned near high demand zones across the country.

The company also marked its entry into the glass industry by inking a contract for long term supply of nitrogen and hydrogen gases with Saint Gobain Glass India (SGGI) for their upcoming float glass plant in Rajasthan. “A customer-focused approach was essential in gaining our business. Reliable supply is very important to our project and we believe INOX Air Products’ industrial gas expertise will deliver on our industrial gas needs,” said S N Eisenhower, director - operations at Saint Gobain Glass India.

Earlier this year, the Inox Air announced a long-term contract with POSCO Maharashtra Steel Private Limited (PMSPL) to supply on-site nitrogen and hydrogen gases to its new facility in Vile Bhagad, Maharashtra, in western India. PMSPL is a subsidiary of POSCO, the world’s fourth largest steel producer by output. The plants are expected to come on stream in late 2011.“The demand for world-class industrial and medical gases solutions from the manufacturing and healthcare sectors has grown over the years ” Pankaj Chaturvedi, head – marketing and business development, Inox Air Products said. “These new investments will allow us to serve both new customers and current customers expanding their activities in these regions", he added.

INOX Air Products is one of the largest manufacturers of industrial gases in India with 36 plants spread throughout the country employing around 1,200. INOX Air Products Ltd manufactures and supplies industrial gases including oxygen, nitrogen, helium, argon, carbon dioxide, hydrogen, and specialty gas mixtures throughout India. New York Stock exchange listed Air Products serves customers in industrial, energy, technology and healthcare markets worldwide with a unique portfolio of atmospheric gases, process and specialty gases, performance materials, and equipment and services. Founded in 1940, Air Products has built leading positions in key growth markets such as semiconductor materials, refinery hydrogen, home healthcare services, natural gas liquefaction, and advanced coatings and adhesives. In fiscal 2010, Air Products had revenues of $9 billion, operations in over 40 countries, and 18,300 employees around the globe.

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First Published: Dec 14 2010 | 12:22 AM IST

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