With Evraz deal done, Air Liquide will build R400m SA plant

Pierre Dufour, Air Liquide's senior executive VP for Africa and the Middle East, described the contract as a milestone for the group, as it strengthens its position within the growing South African market.

Construction of the new ASU, which would be designed by Air Liquide engineering and construction teams and located alongside the steel mill, would start once the environmental authorisation had been secured and it was expected to be commissioned by the end of 2013. The new ASU would also produce liquid oxygen, nitrogen and argon to meet growing demand from South Africa's industrial merchant market. The investment followed on from investments by the French multinational in a new ASU in KwaZulu-Natal and in Africa's largest argon production unit, both commissioned in 2011.

According to Engineering News Online, before signing the deal, Evraz Highveld terminated a supply agreement with JSE-listed industrial gases and welding products supplier Afrox, following earlier gas supply disruptions that had affect production at the Emalahleni steel plant. Last year, Afrox announced a R152-million impairment on its Emalahleni assets after failing to secure a renewal from Evraz Highveld - South Africa's second-largest steel producer. The gas would help the facility improve its steelmaking productivity, raise its energy efficiency and reduce atmospheric emissions.

Read the full article on www.engineeringnews.co.za.