APD Air Products and Chemicals Inc

Air Products Supplies Gaseous Oxygen to Xinfeng Steel and Liquid Products for Merchant Market in Hebei to Strengthen Its Leading Gas Position in Northern China LEHIGH VALLEY, Pa., Oct. 27 /PRNewswire-FirstCall/ -- Air Products -- a globally diversified gases and chemicals company -- announced today that the company will supply on-site gaseous oxygen to Xinfeng Steel's plant in Tangshan, Hebei Province, and concurrently expand its liquid production to the merchant market in Northern China. An air separation unit (ASU) and liquefier adjacent to Xinfeng Steel are to be built with on-stream time scheduled in early 2005. The on-site gaseous oxygen will be used in Xinfeng Steel's blast furnace and basic oxygen furnace for iron and steel making. Air Products will also supply liquid products to the local merchant market in Northern China. Air Products has supplied liquid oxygen to the Xinfeng Group since 1999. "We have a good and long-term relationship with Air Products. They exceed our expectation with their understanding, integrity and passion. Its competitiveness in ASUs and leading position in the gas industry are the key reasons they won the contract," said Mr. Zhang JiGuo, Chairman of Xinfeng Group. The building of the on-site plant in Tangshan enables Air Products to expand its liquid product capacity economically to meet growing liquid demand in Northern China. Steel production in China is growing at close to 20% per annum. Northern China is more oriented towards heavy industries such as steel, chemicals, glass and other metal processing industries. Tangshan, a major industrial city in Hebei Province, is the largest steel production center in China with total annual production exceeding 30 million tons. "This project strengthens our lasting relationship with Xinfeng Group and it also enables us to build a stronger supply relationship with the steel industry to capitalize on its rapid growth in China. Air Products is well positioned to further grow with the Northern China market with the addition of another reliable plant for major liquid production," said Wilbur Mok, vice president and general manager, Air Products China. About Air Products Air Products (NYSE:APD) serves customers in technology, energy, healthcare and industrial markets worldwide with a unique portfolio of products, services and solutions, providing atmospheric gases, process and specialty gases, performance materials and chemical intermediates. The company is a leading global supplier of electronic materials, hydrogen, helium and select performance chemicals. Founded in 1940, Air Products is recognized for its innovative culture, operational excellence and commitment to safety and the environment. With annual revenues of $5.4 billion and operations in over 30 countries, the company's 17,200 employees build lasting relationships with their customers and communities based on understanding, integrity and passion. Air Products is one of the first foreign industrial gas companies to enter China with a joint venture in 1987. For more information, visit http://www.airproducts.com/. ***NOTE: This release may contain forward-looking statements. Actual results could vary materially, due to changes in current expectations. DATASOURCE: Air Products CONTACT: Media: Jessica Cheng, 011 852-2863-0585, , or Art George, +1-610-481-1340, ; or Investor: Alexander W. Masetti, +1-610-481-7461, , all of Air Products Web site: http://www.airproducts.com/

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