Air Products to Supply Malaysia's First LNG-Based Air Separation Unit for PETRONAS Gas Berhad-Led Joint Venture

Project improves energy efficiency and supports industrial growth in Malaysia

KUALA LUMPUR, Malaysia, Oct. 7, 2026 /PRNewswire/ -- Air Products (NYSE: APD), a world-leading industrial gases company that has served Malaysia for more than 50 years, today announced it has concluded the definitive agreement with PG Cold Energy 1 Sdn. Bhd. (PGCE1), a joint venture led by PETRONAS Gas Berhad via PG Energia Sdn. Bhd. and DIALOG Group Berhad via DIALOG Equity (Three) Sdn. Bhd. Under the arrangement, Air Products is responsible for the design, build and operation of the LNG-based Air Separation Unit (ASU) at the Pengerang LNG regasification terminal in Johor. The facility will produce more than 600 tonnes of liquid oxygen, nitrogen and argon per day and is expected to come onstream by early 2027.

This project reinforces Air Products' long-term commitment to Malaysia, expands its production capabilities in Southern and Central Malaysia, and marks its fifth LNG-based ASU in Asia.

A document exchange ceremony was held at the PETRONAS Twin Towers to mark this milestone. The ceremony was attended by senior executives, including PETRONAS Gas Berhad's Managing Director/Chief Executive Officer Abdul Aziz Othman, DIALOG Executive Deputy Chairman Chan Yew Kai and Air Products' Asia President, Kurt Lefevere, underscoring the strategic importance of the project and the strength of the long-standing partnership between PETRONAS Gas Berhad and Air Products.

The new plant will supply the merchant market in Southern and Central Malaysia, strengthening Air Products' ability to serve key industrial hubs and support growing demand from the electrical and electronics, petrochemicals, aerospace and manufacturing sectors.

By using cold energy from the LNG regasification process to liquefy air at low temperatures, the plant will improve energy efficiency and reduce production-related emissions, helping customers reduce their carbon footprint through a more energy-efficient and lower-emission supply of industrial gas solutions.

"Our relationship with PETRONAS Gas Berhad spans more than four decades, and we are honored by their continued trust in Air Products to support their and Malaysia's effort to advance lower-emission industrial development," said Ramani Velu, Air Products' Southeast Asia President. "This investment underscores our long-term commitment to Malaysia and our focus on delivering safe, reliable, and energy-efficient solutions that support our customers' growth. It also strengthens our ability to serve customers across the country."

Air Products has operated in Malaysia since 1974 and maintains a strong network of state-of-the-art production facilities and depots strategically located across the country. In the Northern Region, the company serves key industries, including electrical and electronics, through advanced ASUs in the Prai Industrial Area, and a pipeline network in the Batu Kawan and the Bayan Lepas Industrial Park in Penang.

About Air Products

Air Products (NYSE: APD) is a world-leading industrial gases company in operation for over 85 years focused on serving energy, environmental, and emerging markets and generating a cleaner future. The Company supplies essential industrial gases, related equipment and applications expertise to customers in dozens of industries, including refining, chemicals, metals, electronics, manufacturing, medical and food. As the leading global hydrogen supplier, Air Products develops, engineers, builds, owns and operates some of the world's largest hydrogen projects. Through its sale of equipment businesses, the Company also provides turbomachinery, membrane systems and cryogenic containers globally.

Air Products had fiscal 2025 sales of $12.0 billion from operations in approximately 50 countries. For more information, visit airproducts.com or follow us on LinkedIn, X, Facebook or Instagram.

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 the risk factors described in our Annual Report on Form 10-K for the fiscal year ended September 30, 2025 and other factors disclosed in our filings with the Securities and Exchange Commission. 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