Tata Steel, Inox Air sign agreement for setting up two air separation units

17 May 2023 , 03:17 PM

Inox Air has entered into contract with Tata Steel to set up two air separation units (ASU) to produce oxygen, nitrogen and other rare gases with a capacity of producing 1800 tonnes of oxygen.

These air separation units (ASUs) will cost around Rs 1300 crore and be the single-largest greenfield investment ever made by INOX Air Products and will also support Tata Steel's ongoing steel capacity expansion.

Siddharth Jain, Managing Director, INOX Air Products said on the partnersip that, “The partnership with Tata Steel marks the company’s largest ever greenfield investment and also the facility with the largest liquid gas manufacturing capacity at a single location of more than 600 TPD. The development would strengthen its market leadership, besides augmenting its presence in eastern India.”

Jain further said that his company has signed an agreement with Tata Steel for 20 years to supply oxygen, nitrogen and argon, and Rs 1,300 crore will be invested to set up the plant on land provided by Tata Steel at its Meramandali plant in Dhenkanal.

“We look forward to this association for leveraging INOXAP’s expertise in reliably delivering high-quality industrial gases, which will play a crucial role in supporting our growth ambitions contributing to the ongoing success story in the steel industry,” Avneesh Gupta, Vice President TQM and Engineering & Projects, Tata Steel said in the statement.