Gases and welding products group African Oxygen (Afrox) is to invest approximately R350-millionin several major new gas production facilities around South Africa during the year.
Craig Falconer, Afrox’s general manager process gas solutions, says this expenditure results from increased demand from the company’s existing customer base as well as by new business wins.
Afrox recently installed and commissioned a nitrogen generation and hydrogen electrolysis plant at specialised automotive parts manufacturer, Bleistahl, in Atlantis, Western Cape, which is increasing its production by 500%. A nitrogen-hydrogen combination creates the controlled atmosphere required for sintered metallic components. Methanol and propane storage-vessels have also been added at this facility.
Afrox is re-engineering its Wadeville, Gauteng, facility that serves the Scaw Metals Group to increase gaseous oxygen delivery to Scaw Metals by more than 60%. Due for completion in July 2006, this project will also enhance Afrox’s reliability as a source of liquid argon for the merchant market.
Afrox is a leader in the supply of carbon dioxide in South Africa, and is poised to almost double its carbon dioxide capacity within a year with a new plant to be commissioned at Sasol Synfuels in Secunda.
In KwaZulu-Natal, Afrox will relocate an air separation unit (ASU) to serve paper-and-packing operation, Mondi Kraft, in Richards Bay. This will meet Mondi’s requirement for environmentally friendly oxygen to eliminate chlorine in its manufacturing processes. New technology will allow remote monitoring of the plant from Afrox parent company BOC’s zone operations centre in Brinsworth, United Kingdom. The project is scheduled for completion by October 2006.
In Pietermaritzburg, Afrox will expand its liquefaction capacity by investing in a new nitrogen liquefaction unit for its ASU.
“Merchant demand has outstripped supply in this region in the past 12 months,” says Falconer. “The new liquefier should be on stream by early 2007, doubling our liquid supply capabilities in this province.”
In Lydenburg, Afrox will relocate an ASU from a BOC operation in the United States to meet increased demand for gaseous oxygen for the rotary fired kilns at Xstrata, a leading producer of ferrochrome. When the new ASU is commissioned in the first quarter of 2007, the liquid oxygen Afrox currently trucks to Xstrata will be used to serve merchant customers in Mpumalanga.
Afrox is to install a new ASU and liquefier in Cape Town to guarantee uninterrupted supply of all its gas products in the Cape province for the coming decade. After commissioning in 2007, the plant will have spare capacity for the Western Cape, and Afrox will ship product to the Eastern Cape to supplement supplies currently being drawn from the Mossgas facility.
“These projects form part of Afrox’s investment in the current and future growth opportunities in the South African economy,” said Falconer. “We expect to continue this investment programme to match the acquisition of new customers and the growth of our existing customer base.” — I-Net Bridge