Page 160 - CW E-Magazine (11-3-2025)

News from Abroad

PARING RISKS
Air Products to exit three US projects

Industrial gases fi rm, Air Products, projects will streamline our back-
said it would exit three projects in the log and focus company resources on
US as part of a $3.1-bn write-down just projects that drive value for Air Pro-
weeks after investors ousted its former ducts’ shareholders,” said Mr. Eduardo
CEO. This includes a 35-tpd (tonnes Menezes, the newly elected CEO of Air
per day) green hydrogen plant, a Products.
hydrogen-based sustainable aviation fuel
(SAF) project and a carbon monoxide A statement issued by Air Products
project in Texas. also said it would provide updates on
lenging commercial aspects surround- the 2.2-GW NEOM green hydrogen
The company said it expects to ing the expansion project and current plant, which is expected to start ammo-
record a pre-tax charge of nearly operations.” Announced in 2022, the nia production in 2026, as well as its
$3.1-bn in its second quarter to write $2-bn expansion would have seen Air planned Louisiana blue hydrogen pro-
down assets and terminate contractual Products install a new hydrogen plant ject. However, it said it does not “cur-
commitments. The development aimed at the Paramount site, as well as expand rently expect any additional material
at streamlining capital spending, follows its existing southern California hydro- cancellations going forward.”
the company’s proxy fi ght against ac- gen pipeline network.
tivist investor Mantle Ridge, which had The substantial write-down comes
been pushing the company to replace The company said it had also can- after investors ousted CEO of 10 years
its 80-year-old chief, by electing three celled its $500-mn plans to build a Seifi Ghasemi and installed former
new directors and unseating the CEO 35-tpd liquid green hydrogen plant in Linde executive Menezes, as well as
from the board. Massena, New York, due to US regulations board members, after issuing warnings
ruling out existing hydroelectric power about the fi rm’s high-risk, high-capital
As part of a review initiated by Air supply from lucrative tax credits. It approach to large-scale projects. Much
Products’ newly-elected board of direc- has also terminated a carbon monoxide of the criticism was focused towards its
tors, the company has decided to termi- project in Texas “due to unfavourable clean hydrogen developments. These
nate the agreement with World Energy project economics.” exits signal Air Products’ retreat from
for the SAF expansion project in Para- high-risk clean hydrogen investments
mount, California, due to the “chal- “The decision to exit these three in favour of safer returns.

REPURPOSING INDUSTRIAL ASSETS
IPP leases biochemicals facility to Nuol Green
Chemistry

US-based International Processing milestone in IPP’s mission to drive the scale fermentation and distillation
Plants (IPP) has completed the lease of transition toward sustainable manu- systems, utilities including wastewater,
a fermentation-based bio-acetone and facturing using assets we have versus and comprehensive product testing
bio-butanol plant on 27-acre property in assets that need to be built new,” said laboratories. “The deal demonstrates
Minnesota. The fi rm, involved in repur- IPP’s President Mr. Ronald Gale. how repurposing industrial infrastruc-
posing industrial manufacturing sites, ture can accelerate the transition to
will lease the site to Nuol Green Chemi- The 40-million-gallon-per-year preci- sustainable manufacturing. By lever-
stry, a biochemical company focused on sion fermentation plant will be a key aging existing assets, the collaboration
replacing petrochemical products with production location for Nuol Green reduces the need for greenfi eld deve-
renewable and sustainable alternatives. Chemistry’s bio-based chemicals, in- lopment, minimizing environmental
cluding isobutanol and acetone. The impact while bringing next-generation
“This marks another signifi cant property features commercial and pilot biochemicals to market,” IPP said.

160 Chemical Weekly March 11, 2025

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