Australian continent leading Industrial Gases & Engineering Company, BOC Australia & New Zealand has bagged a long term order from New Zealand Steel Company yesterday.
Under the mutual agreement, both stand a long term supply of gases to ongoing Iron & Steel operations at Glenbrook in New Zealand. According to BOC sources, company will invest around $70 million (around EUR 56 million) in new air separation plant and associated equipment to supply products to the New Zealand air gases market.
Actually here BOC plant will replace an existing plant that almost in the end of its lifespan. Agreement say there is proposal to increase production and storage capacity to enhance reliability of supply and potential for growth for New Zealand Steel. The maximum supply of liquid oxygen, nitrogen and argon are to the broader New Zealand air gases market for other vital applications such as medicinal use, food freezing & packaging, and metal fabrication.
Plant will not increase productivity as requirements but also generate employment in the region & provides jobs to 120 people in the location for the next two years. BOC is expected to complete total construction by Dec 2013.
BOC South Pacific Managing Director, Colin Isaac, said the new infrastructure would enable BOC to deliver efficient and cost-effective supply of air gases to its growing New Zealand customer base. “The new contract to supply air gases to New Zealand Steel continues a long lasting partnership between our two companies,” Mr Isaac said. “Last year we celebrated our 100th year of business in New Zealand and I see this new investment as a strong signal of our confidence in our New Zealand business well into the future.”
New Zealand Steel President, Simon Linge, said the agreement marked a significant commitment by New Zealand Steel in its continued support of New Zealand customers and the New Zealand economy.”It was important for us that this facility was state of the art, which reduces our environmental footprint and shows the commitment to innovation that New Zealand Steel was founded on,” Mr Linge said.”We are extremely pleased to continue our long term partnership with BOC. Importantly this shows our confidence in New Zealand, and the broader importance of a strong and sustainable manufacturing industry in this country.”