Industrial gas major Air Liquide will invest around €60m ($65m) to revamp two air separation units (ASUs) in an overhaul that aims to reduce carbon dioxide (CO2) emissions linked to the production of oxygen and other gases in the Tianjin industrial basin, in China.

As part of an existing long-term industrial gases supply contract with Tianjin Bohua Yongli Chemical Industry Co., Ltd (YLC), the modernisation plan will adapt the ASUs to run on electrical power instead of steam, saving 370,000 tonnes of CO2 per year.

With a total oxygen production capacity of around 4,000 tonnes per day, the two electrified ASUs are planned to be operational by mid-2024 and will supply oxygen and other air gases to YLC and other industrial customers in the basin.

The project includes the possible supply of low carbon energy to the units through power purchase agreements (PPA).

In addition, Air Liquide has signed a three-party Memorandum of Understanding with YLC and the Tianjin Binhai District to explore carbon capture, utilisation and storage (CCUS) solutions to further advance shared decarbonisation goals.