Bad Soden, Germany,

Messer consolidates its position in Vietnam

Second air separation unit for steel group

On 25 May, industrial gases specialist Messer signed a 25-year supply contract with Hoa Phat Group. Messer Haiphong, the Vietnamese subsidiary of the world’s largest privately run industrial gases specialist Messer, will thus guarantee the supply of gases to the second phase of Hoa Phat Steel Integrated Complex.

The new air separation unit will produce some 1300 tonnes of air gases such as argon, oxygen and nitrogen per day, increasing Messer Haiphong’s current production capacity by around 250 per cent. Messer is thereby consolidating its position in the industrial gases market in northern Vietnam and strengthening its relationship with Hoa Phat Group. The unit will be integrated in the existing steel complex of Hoa Phat Steel Joint Stock Co. Ltd. in Kinh Mon Town, Hai Duong Province. Messer is investing around 26 million US dollars in the production facility. The unit is due to go into operation in July 2012.

In 2007, Messer had already invested 20 million US dollars in the construction of an air separation unit to meet the gas requirements of Hoa Phat Steel Integrated Complex’s first phase. This unit, which was commissioned by Messer Haiphong in October 2010, is the largest of its kind to date in Vietnam.

Messer Binh Phuoc, another Vietnamese subsidiary of the German Messer Group, is also investing six million US dollars in the construction of a production facility for liquid carbon dioxide in the south of Vietnam. This facility is expected to be completed at the end of 2012 and will meet the demand for liquid carbon dioxide in the southern part of Vietnam.

In China and Vietnam, Messer achieved total sales of 246 million euros.

In Vietnam, Messer almost doubled its sales in 2010 compared with the previous year. A significant contribution to this came from the air separation unit in the north of the country, which was commissioned in October. It also ensures an independent product supply for Messer’s liquid market activities.