Air Products and Mabanaft Plan to Build Large-Scale Green Energy Import Terminal in Hamburg

The announcement ceremony held in Hamburg was attended by Federal Minister for Economic Affairs and Climate Action Robert Habeck and First Mayor of Hamburg Dr. Peter Tschentscher

HATTINGEN, Germany and HAMBURG, Germany, Nov. 17, 2022 /PRNewswire/ -- Today, Air Products (NYSE:APD) and Mabanaft, through its subsidiary Oiltanking Deutschland, announced their intention to build Germany's first large-scale, green energy import terminal in the Port of Hamburg. This joint development agreement is an important step towards the development of a green ammonia import and distribution infrastructure in the Port of Hamburg. The project was announced at a ceremony in Hamburg, which was supported by German Federal Minister for Economic Affairs and Climate Action Robert Habeck and First Mayor of Hamburg Dr. Peter Tschentscher.

Targeted to provide hydrogen to Germany in 2026, the planned import terminal is to be located at Mabanaft's existing tank terminal in the Port. This location offers strategic access to green ammonia from large-scale green hydrogen production facilities operated by Air Products and its partners around the world. The intention is to convert the ammonia to green hydrogen via Air Products' facilities in Hamburg, before distributing it to buyers locally and across northern Germany. This plan responds to the accelerating demand for clean energy to meet climate objectives and the need to diversify energy sources.

Decarbonising the mobility sector and industrial processes
Air Products and Mabanaft are committed to expediting the development of this planned, multi-million-euro, green import facility for Germany.

"Together with Mabanaft, we look forward to further progressing our plans of importing needed-renewable energy into Germany, through our planned facility," said Air Products' Chairman, President and CEO Seifi Ghasemi. "As the world's largest producer of hydrogen, Air Products is in an excellent position to meet demand, having committed billions of dollars to produce renewable energy at locations around the world. Air Products fully appreciates the support and visionary leadership of the German government, further demonstrated by the presence of Minister Habeck, the Port of Hamburg and other members of regional and local governments at today's ceremony," he added.

"We are delighted to work together with Air Products, the world's leading hydrogen producer, on the development of this terminal. As a result, we will make significant investments and deploy our energy infrastructure capabilities and expertise to accelerate the energy transition in Hamburg as the key import gateway for Germany", reaffirmed Volker Ebeling, Senior Vice President New Energy, Chemicals & Gas at Mabanaft. The plant addresses the urgent task of decarbonising components of the mobility sector and industrial processes while in particular paving a climate-conscious way for Mabanaft and Air Products' respective customers. "This project underlines Mabanaft's commitment to conducting our business in an economically, environmentally and socially responsible way," added Volker Ebeling.

Federal Minister for Economic Affairs and Climate Action Robert Habeck said: "Now more than ever, we need to advance the hydrogen economy. To do this, we are setting up our own hydrogen production in Germany, but of course we also need hydrogen from imports. An accelerated energy transition with more speed in expanding renewable energies and ramping up green hydrogen are the right answers to the Russian aggression and the right answers to strengthen energy security, resilience and competitiveness."

Hamburg's First Mayor Dr Peter Tschentscher: "Hamburg offers excellent conditions for the import, distribution and use of green hydrogen. It is already clear today that the demand for hydrogen in Germany far exceeds the domestic production capacities. As a traditional trading city, we maintain good relations all over the world, and the interest of our international partners in the development of a green hydrogen economy is great. Hamburg aims to become a leading hydrogen location in Europe. We want to help ensure energy security in Germany and advance the decarbonisation of industry and the economy."

Hamburg's Senator for Economic Affairs Michael Westhagemann: "The development of an import infrastructure for green hydrogen is of extraordinary importance. This is the only way we can meet the enormous demand for green hydrogen in the future. Hamburg, with its port and its geographical and infrastructural location and connections, is predestined for this. I am therefore very pleased that Hamburg's strategy for the import of green hydrogen is being further implemented today through the planned construction of the first German import terminal in the Port of Hamburg. Hamburg is thus developing into one of the leading hydrogen distribution centres in Europe. For this very purpose, we now have very strong partners from the business community at our side."

Jens Meier, CEO Hamburg Port Authority said: "The Port of Hamburg is committed to protecting the climate. After completing the first important milestone by signing an MoU in February 2022 with Air Products, we are happy that we take now the next important step toward building a hydrogen value chain in co-operation with our competent partners, Air Products and Mabanaft, the central element of which will be the import of green ammonia for conversion to green hydrogen. Hamburg will be one of the first ports worldwide to offer clean hydrogen import infrastructure. This import will drive the decarbonation for several applications in the harbour, as well as applications in shipping."

Today's announcement follows a Memorandum of Understanding that Air Products and the Hamburg Port Authority signed in February 2022. Both parties committed to accelerate production, supply chain, and consumption of renewable hydrogen in the North of Germany and Free Hanseatic State of Hamburg.

About Air Products 
Air Products (NYSE:APD) is a world-leading industrial gases company in operation for over 80 years focused on serving energy, environmental, and emerging markets. The Company has two growth pillars driven by sustainability. Air Products' base business provides essential industrial gases, related equipment and applications expertise to customers in dozens of industries, including refining, chemicals, metals, electronics, manufacturing, and food. The Company also develops, engineers, builds, owns and operates some of the world's largest industrial gas and carbon-capture projects, supplying world-scale clean hydrogen for global transportation, industrial markets, and the broader energy transition. Additionally, Air Products is the world leader in the supply of liquefied natural gas process technology and equipment, and globally provides turbomachinery, membrane systems and cryogenic containers.

The Company had fiscal 2022 sales of $12.7 billion from operations in over 50 countries and has a current market capitalization of over $60 billion. More than 21,000 passionate, talented and committed employees from diverse backgrounds are driven by Air Products' higher purpose to create innovative solutions that benefit the environment, enhance sustainability and reimagine what's possible to address the challenges facing customers, communities, and the world. For more information, visit www.airproducts.com or follow us on LinkedIn, Twitter, Facebook or Instagram.

About Mabanaft
The Mabanaft Group is a leading independent and integrated energy company providing its customers with innovative energy solutions for their transportation, heating, industrial and agricultural needs. The group is active in import, distribution and marketing of petroleum products, natural gas liquids and chemicals, and supports its customers' transition to cleaner fuels by providing alternative long-term solutions. Through its storage subsidiary Oiltanking Deutschland, Mabanaft is one of the largest independent operators of tank terminals for oils and biofuels in Germany. Further downstream, alongside its existing activities, Mabanaft has a strategic focus on growing its marine, aviation and commercial road transport business across Europe.

More information on the Internet at www.mabanaft.com or follow us on LinkedIn.

Cautionary Note Regarding Forward-Looking Statements: This release contains "forward-looking statements" within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management's expectations and assumptions as of the date of this release and are not guarantees of future performance.  While forward-looking statements are made in good faith and based on assumptions, expectations and projections that management believes are reasonable based on currently available information, actual performance and financial results may differ materially from projections and estimates expressed in the forward-looking statements because of many factors, including risk factors described in our Annual Report on Form 10-K for the fiscal year ended September 30, 2021.  Except as required by law, we disclaim any obligation or undertaking to update or revise any forward-looking statements contained herein to reflect any change in the assumptions, beliefs or expectations or any change in events, conditions or circumstances upon which any such forward-looking statements are based.

SOURCE Air Products