Air Products' Hydrogen Pipeline in Canada Inks Three Supply Agreements

LEHIGH VALLEY, Pa., March 30 /PRNewswire-FirstCall/ -- Air Products (NYSE: APD), the leading global hydrogen provider, and its subsidiary Air Products Canada Ltd. today announced three customer supply contracts have been signed for hydrogen from its Heartland Hydrogen Pipeline in Alberta, Canada.  Air Products will supply hydrogen by pipeline to Shell Canada Energy, Sherritt International Corporation, and Williams Energy (Canada) Inc.

Air Products had announced in December 2009 regulatory approval from the Alberta Energy Resource Conservation Board for the approximately 30-mile pipeline to provide hydrogen from its two operating production facilities in Strathcona County near Edmonton, Alberta, Canada.  The pipeline will serve refiners, upgraders, chemical processors and other industries in the Alberta Industrial Heartland region and is scheduled to be commercial in 2010.

"Hydrogen is needed in this region to support the continued operation and development of multiple industries in the area.  It is a major feedstock for bitumen upgrading and refining, and is key to enabling the production of cleaner burning transportation fuels.  In 2010 our pipeline will be onstream and begin supplying some customers in this announcement and several others we expect to sign in the coming months," said Steve Losby, general manager–Canada at Air Products.  "This pipeline followed existing pipelines to minimize the need for environmental disturbances for approximately 95 percent of its path and will meet the current and future hydrogen needs of multiple industries in the area."

Shell Canada Energy's Scotford Upgrader, close to its refinery near Fort Saskatchewan, Alberta, uses hydrogen to upgrade high viscosity "extra heavy" crude oil (called bitumen) into a wide range of synthetic crude oils.  The Scotford Upgrader was the first facility of this type to be built in the Alberta Industrial Heartland region.

Sherritt International Corporation is a diversified natural resource company.  The hydrogen will be used to precipitate nickel and cobalt from solution to produce high-purity metal products.

Williams Energy (Canada), Inc. will use Air Products' hydrogen to treat certain olefinic synthetic gas liquids at its Redwater Fractionation facility.  These liquids are extracted from off-gas produced by oil-sands upgraders and are valuable to the petrochemical industry.  Williams Energy (Canada), Inc. is Canada's only oil-sands off-gas processor.

Globally, Air Products' pipeline operational expertise is evidenced by its network of systems.  Pipelines offer a safe, robust and reliable supply of hydrogen to the refinery and petrochemical industry around the world.  Besides this newly announced pipeline in the Alberta Industrial Heartland, Air Products also has a hydrogen pipeline in Sarnia, Ontario, Canada, and operates the largest hydrogen pipeline network in the United States Gulf Coast, as well as pipeline systems in California in the U.S. and in Rotterdam, the Netherlands.

Air Products (NYSE: APD) 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.  The company is recognized for its innovative culture, operational excellence and commitment to safety and the environment.  In fiscal 2009, Air Products had revenues of $8.3 billion, operations in over 40 countries, and 18,900 employees around the globe.  For more information, visit www.airproducts.com.

***NOTE: This release may contain forward-looking statements. Actual results could vary materially, due to changes in current expectations.

SOURCE Air Products