Air Products South Africa has signed an agreement with the Coega Development Corporation for the establishment of an air separation plant at the Coega IDZ.
Simpy put, an air separation plant is a unit that compresses air, being the raw material, into liquid nitrogen and liquid oxygen.
Air Produts supply chain manager, Seelan Gounden, says the Eastern Cape has long been under-served when it comes to reliable gas supply.
"Currently there is no local industrial gas supply in this area, and cryogenic gases have to be procured elsewhere. This situation compromises the service delivery to our existing customers who have to depend on product being trucked over vast distances, " said Gounden.
"...we identified the Eastern Cape as a key priority investment destination, with a clear need for a new air separation facility dedicated to servicing the region."
Gounden says they "chose the Coega IDZ after careful market analysis" and are "pleased to be able to be a part of the growth and development of the region, through providing a long-needed security of supply and value-added service."
Ayanda Vilakazi, Head of Marketing and Communications at the Coega IDZ adds: "Air Products' investment in Coega not only shows a commitment to socio-economic development in the region, but it also illustrates a growing investor confidence in the IDZ. The CDC's investment base is steadily increasing, and Air Products will become one of the flagship investors in the IDZ through this investment."
"The viability of the new ASU is indisputable. It will mean not only security of gas supply to the region, benefiting the many industries here, but it also means job security for other investors, jobs along the value chain and scope for training and human resource development, as well as enhanced Corporate Social Investment initiatives," he said.
Left to right: Chris Mashigo, Executive Manager - Business Development Coega Development Corporation, Themba Khoza, Executive Manager – Operations Coega Development Corporation, Seelan Gounden, General Manager - Supply Chain, Air Products, Pierre Fourie, Area Sales Manager – Eastern Cape, Air Products, signed the lease agreement between the CDC and Air Products South Africa.
