Air Liquide signs long-term supply agreement for BASF’s new state of the art battery material plant in Germany

Air Liquide and BASF have signed a new long-term contract for the supply of oxygen and nitrogen to one of BASF’s largest and most innovative European sites, located in Schwarzheide, Germany. Air Liquide will invest around 40 million euros in the construction of a state-of-the-art Air Separation Unit (ASU) at this flagship site for the production of battery materials for mobility.

Air Liquide has been present since 1995 at the Schwarzheide site, where it already operates a nitrogen production facility. The Group’s new Air Separation Unit (ASU) will provide the highest industry standards in safety, efficiency and reliability. The ASU is planned to be operational in 2023 and will also produce liquid products for the Industrial Merchant market. BASF’s new battery material plant will produce components for 400,000 electric vehicles annually, with a focus on creating sustainable products, through the integration of renewable energies, energy efficiency and circular economy.

This new ASU located in the eastern part of Germany will complement Air Liquide’s 23 air gases production plants in the country, and will enable the Group to increase the reliable supply of industrial gases to customers in Germany as well as in Poland. Having two production sources in eastern Germany and 6 in Poland will also allow for an optimization of the bulk truck routing in the region and for a reduction of the number of kilometres driven per ton of gas delivered, in line with the Group’s Climate Objectives.

François Jackow, Executive Vice President and a member of the Air Liquide group’s Executive Committee, said:

«We are pleased to extend our long-term relationship with BASF to contribute to the development of their state of the art battery material production at their flagship site of Schwarzheide. Air Liquide accompanies leading customers through its technological know-how and innovative solutions. This investment will also provide momentum for our growing Industrial Merchant activity in Germany and Poland.»