LEHIGH VALLEY, Pa.,
April 20, 2020 /PRNewswire/
-- Air Products (NYSE: APD) today announced it has completed
the $530 million acquisition of five
steam methane reformer (SMR) hydrogen production plants from PBF
Energy Inc. (NYSE: PBF), and has commenced the long-term supply of
hydrogen from those plants to PBF refineries. The newly acquired
Air Products' SMRs, with a combined production capacity of almost
300 million standard cubic feet per day, are located in
Torrance and Martinez, California and Delaware City, Delaware. Air Products
initially announced this now closed deal on March 30.
"We are very pleased that in close cooperation with our
long-standing partner PBF, which is one of largest independent
refiners in North America, that we
have been able to close on this transaction in record time. We have
now started supplying hydrogen to PBF from the five SMRs that we
have purchased from them. This deal is an excellent example and
demonstrates our ability to execute our strategy of investing in
long-term onsite deals, which includes asset acquisitions like we
have successfully closed. We look forward to a continued long-term
relationship with PBF," said Seifi
Ghasemi, Chairman, President and Chief Executive Officer at
Air Products.
"PBF Energy is pleased to have worked cooperatively with Air
Products, a global leader in the supply of hydrogen to refineries,
to complete this transaction and expand the long-term relationship
between our two companies," said PBF's Chairman and Chief Executive
Officer Tom Nimbley.
Air Products is known as a leader in the supply of hydrogen to
refineries in order to make cleaner burning transportation
fuels. Hydrogen is widely used in petroleum refining processes to
remove impurities found in crude oil such as sulphur, olefins and
aromatics to meet product fuels specifications. Removing these
components allows gasoline and diesel to burn cleaner and thus
makes hydrogen a critical component in the production of cleaner
fuels needed by modern, efficient internal combustion engines.
The company also operates one of the most successful carbon
capture projects in the world in Port Arthur, Texas, where the captured carbon
dioxide (CO2) is injected into the ground and used for
enhanced oil recovery in the state. Since 2013, Air Products has
captured nearly 10 million tons of CO2 at Port Arthur that has been put to beneficial
use.
Air Products currently operates 12 industrial gas facilities in
California, which includes five
hydrogen production plants. The hydrogen from these plants is used
in the making of ultra-low sulphur transportation fuels (gasoline,
diesel and jet). Air Products also supplies hydrogen for
fueling and fueling infrastructure in California to support the growing fleet of
hydrogen fuel cell electric vehicles.
The Delaware City SMR is Air Products' first major asset
operating in Delaware.
About Air Products
Air Products
(NYSE:APD) is a world-leading industrial gases company in operation
for nearly 80 years. Focused on serving energy, environment and
emerging markets, the Company provides essential industrial gases,
related equipment and applications expertise to customers in dozens
of industries, including refining, chemical, metals, electronics,
manufacturing, and food and beverage. Air Products is also the
global leader in the supply of liquefied natural gas process
technology and equipment. The Company develops, engineers, builds,
owns and operates some of the world's largest industrial gas
projects, including gasification projects that sustainably convert
abundant natural resources into syngas for the production of
high-value power, fuels and chemicals.
The Company had fiscal 2019 sales of $8.9
billion from operations in 50 countries and has a current
market capitalization of about $50
billion. More than 17,000 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 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 PBF Energy Inc.
PBF Energy Inc. (NYSE:PBF) is
one of the largest independent refiners in North America,
operating, through its subsidiaries, oil refineries and related
facilities in California,
Delaware, Louisiana, New
Jersey and Ohio. Our mission is to operate our facilities
in a safe, reliable and environmentally responsible manner, provide
employees with a safe and rewarding workplace, become a positive
influence in the communities where we do business, and provide
superior returns to our investors.
NOTE: This release may contain 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 reasonable expectations and assumptions as of
the date of this release regarding important risk factors. Actual
performance and financial results may differ materially from
projections and estimates expressed in the forward-looking
statements because of many factors not anticipated by management,
including risk factors described in the company's Form 10K for its
fiscal year ended September 30,
2019.
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SOURCE Air Products