Air Liquide Expands, Electrifies Air Separation Unit at Shaanxi Oxygen Facility

Per a contract extension with Yanchang Petroleum Group, Air Liquide will invest approximately €25 million to revamp its air separation unit (ASU) in Yulin, Shaanxi Province, China—a key domestic industrial hub. The current steam-powered ASU will be converted to an efficient electricity-driven system, immediately reducing CO₂ emissions by 224,000 tons per year and increasing oxygen production capacity by 10%.

The total annual CO₂ emissions reduction will reach 550,000 tons per year, primarily by leveraging low-carbon energy sourcing throughout the plant’s lifecycle. The electricity-powered production unit is expected to commence operation by year-end 2027. Before then, Air Liquide will continue to execute services and supply gas to the Yanchang Group’s subsidiary, Kaiyue.

“We are thankful for the continued trust from Yanchang Petroleum Group, a valued partner for almost two decades,” said Ronnie Chalmers, Air Liquide Group Vice President, Asia Pacific. “This investment underscores Air Liquide's commitment to grow and reduce the carbon emissions of its operations while contributing to its customers' decarbonization journey with tailored solutions. The shift towards reducing carbon emissions is an ongoing movement in China, and our company is proud to be actively supporting it while managing to grow.”

The contract was signed in Beijing during Emmanuel Macron’s visit, contributing to China’s 2030/2060 carbon peaking and carbon neutrality goals, respectively. This project reflects Air Liquide’s global decarbonization strategy, as the company previously electrified two oxygen facilities in Tianjin. In 2008, Air Liquide began a long-term partnership with the Yanchang Group by supplying gas to Kaiyue.

Ammonia Cracking in Belgium

In mid-November 2025, Air Liquide successfully kickstarted the world’s first industrial-scale ammonia cracking unit at the Port of Antwerp-Bruges, Belgium. The unit features a 30-tons per day ammonia to hydrogen conversion capacity, demonstrating a viable pathway for converting ammonia into hydrogen and transporting the molecule. At the industrial scale, this technology supports the development of ammonia cracking plants and grants access to low-carbon, renewable hydrogen.

The company’s proprietary ammonia cracking technology benefitted from several key enhancements across multiple critical areas, including process safety, material testing, advanced catalysis for ammonia cracking, ammonia combustion, and efficient molecule separation. This successful operation demonstrates Air Liquide’s ability to upscale technologies from laboratory research to industrial applications, developing first-of-its-kind solutions for customers.

Currently, a well-established global infrastructure exists for the large-scale production, transportation, and utilization of ammonia. This enables ammonia exports from energy-abundant regions to end-users around the world, where it can then be cracked back into hydrogen to help decarbonize industry and mobility. Air Liquide’s industrial-scale pilot plant is supported by the Flemish Government through VLAIO—the Flemish Agency for Innovation and Entrepreneurship.

Hydrogen Production Unit

In late November 2024, Air Liquide announced that it will construct, own, and operate a renewable hydrogen production project with an annual capacity of 25,000 tons at TotalEnergies’ La Mède biorefinery in southern France. Using recycled biogenic by-products instead of fossil hydrocarbons, the unit will generate renewable hydrogen which will be used to produce biofuels and sustainable aviation fuels at the biorefinery. Beginning operation in 2028, it will decarbonize the biorefinery by reducing CO₂ emissions by approximately 130,000 tons annually.