Praxair Signs 15 Year Oxygen Supply Contract with Uruguay

In a historical move from Praxair INC, company has recently signed about 15 year long term Oxygen Supply agreement with Uruguay Pulp industry. As per sources this Pulp Mill Facility is being considered as the largest private investment ever made in the South American region. The production is expected to begin production by 2013.

The entire pulp mill complex is developed in Punta Pereira, Uruguay. It is controlled by Montes del Plata, a 50-50 joint venture between Arauco of Chile and StoraEnso of Finland and Sweden. Under new contract Praxair will build, own and operate a non-cryogenic vacuum-pressure-swing-adsorption (VPSA) plant with a capacity of 126 tons per day of gaseous oxygen.

Press Release

Gilney Bastos, Business Executive Director of Praxair’s Brazil-based subsidiary, White Martins Industriais Ltda., commented, “We are pleased to support this strategically important project with Praxair´s second plant in Uruguay, strengthening our presence in the region with a strong partnership with Arauco and StoraEnso.” Erwin Kaufmann, General Manager of Montes del Plata responded, “We have reached a good agreement with Praxair, which will benefit both parties. A state-of-the-art pulp mill needs state-of-the-art suppliers, so we are happy having Praxair as one of our partners in line with our main objective, which is to build the best pulp mill in the world.”

This new joint venture is termed as $1.9bn investment in the construction of a state-of-the-art pulp mill manufacturing facility at South America region along with a power generation unit based on renewable sources and deep water port facilities. (Courtesy: Gasworld)

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