Air Products & Chemicals Inc. and Kinetics Technology International Corp. (KTI) signed a cooperative agreement to supply hydrogen to U.S. and Canadian refiners to help them meet environmental rules.
The 1990 Clean Air Act amendments, requiring refiners to reduce sulfur in transportation fuels and reformulate gasoline, have sparked increased demand for hydrogen in the U.S. Additional high purity hydrogen is a critical component in the refinery modifications needed to meet the requirements.
Air Products and KTI will supply refiners on site hydrogen in volumes to 10 MMcfd. KTI will supply the hydrogen plants, including steam hydrocarbon reformers, while Air Products will supply pressure swing absorption cleanup systems and own and operate the plants.
Under the on site concept, Air Products will own the plants and assume all operating and maintenance responsibilities under a multiyear, sale-of-gas agreement, including guaranteed efficiency and reliability. The companies expect to reduce their customers' hydrogen costs by 10% with equal or better reliability.
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