Praxair to supply oxygen for Hospet unit

Praxair India, industrial gases company, has bagged a contract from Hospet Steels for the supply of oxygen.

According to John Panikar, managing director, Praxair India, the contract is a 15-year-long agreement. Praxair India will build, own and operate a state-of-the-art cryogenic air separation plant with a capacity of 400 tonnes per day (TPD).

The plant will also include associated liquefaction equipment to meet the growing needs of the market for oxygen, nitrogen and argon in South India, he added. The plant will be commissioned in early 2006.

Hospet Steels is an entity formed through a strategic alliance between Mukand Ltd. and Kalyani Steels Ltd. for establishment, operation and maintenance of the steel plant at Hospet.

In 1998 Praxair India had built a dedicated 112 TPD gas plant for Kalyani Steels at Hospet for the supply of oxygen. "The new contract is a validation of Praxair's delivery commitments and high level of service and safety standards," said Panikar.

Praxair India, with its subsidiaries and affiliates, is one of the largest industrial gases player in India, with a major market share in the steel sector.

Panikar said since beginning business operations in India 10 years ago, Praxair group has executed major projects for sale of gas to Jindal Vijaynagar Steel in Toranagallu, near Bellary; Haldia Petrochemicals in West Bengal; and Saint-Gobain Glass India in Tamil Nadu.