München, Germany -- The Linde Group has secured a long-term contract with Chinese polyurethane chemical company Ningbo Wanhua Polyurethane.
Linde Gas Ningbo will spend $125 million on building two sets of air separation units and a new 30-kilometer long pipeline infrastructure.
The plant, which will co-produce 800 tonnes per day of liquid nitrogen, oxygen and argon for the merchant market, as well as krypton and xenon rare gases, will start-up in 2010 and supply oxygen and nitrogen to Wanhua's world-scale plants in Ningbo, China.
Linde said in a 20 Dec statement that this will be the company's single largest investment in China.
"Linde's investment in this project signals our long-term commitment in China, underpinned by our expertise in the entire coal gasification value chain," said Dr Aldo Belloni, member of the executive board of Linde AG, in the statement.
Wanhua's chairman Ding Jian Sheng said that the partnership will benefit from "Linde's vast experience in and understanding of the Chinese market."