Chemanol ties up with Air Products Qudra in 20-year methanol supply deal

Methanol Chemicals Company (Chemanol) has tied up in a 20-year supply agreement with Air Products Qudra, to enhance its methanol production capabilities as part of an extensive revamp project.

The partnership will see Air Products Qudra providing the essential industrial gases needed to modernise Chemanol’s facilities, a move expected to elevate the company’s operational efficiency within the methanol sector.

The agreement highlights Chemanol’s strategic commitment to “securing a reliable source of high-quality industrial gases” as it seeks to stay competitive in the chemical industry, according to a company statement.

“This collaboration positions Chemanol to better meet future market demands,” the company stated, indicating that the agreement with Air Products Qudra aligns closely with its long-term objectives for growth.

Financial details have not been revealed, with Chemanol stressing that the costs will depend on market conditions at the time of project startup. The company remains optimistic about the deal’s potential to “optimise production processes” through Air Products Qudra’s experience in the industrial gas sector.

Air Products has announced investments in several notable projects, such as a US$1.4 billion clean hydrogen complex in Saudi Arabia, designed to supply over 650 tonnes/day of hydrogen.

Air Products also launched a US$7 billion green hydrogen project in Duqm Special Economic Zone, Oman, to produce up to 300,000 tonnes/year of green hydrogen.