AIR WATER SIGNS LONG-TERM CONTRACT WITH RED-ROCHESTER TO SUPPLY NITROGEN PIPELINE IN ROCHESTER, NY
Bedminster, NJ., Aug. 7, 2023 — Air Water Gas Solutions Inc., a subsidiary of Air Water America (a subsidiary of Air Water Inc.) has signed a 20-year agreement to supply RED-Rochester, LLC (RED) with nitrogen for its Eastman Business Park (EBP) pipeline in Rochester, N.Y.
Air Water will deliver high-purity nitrogen gas from a new, state-of-the-art Air Separation Plant (ASU) located within EBP in Rochester. The ASU will meet RED’s clients’ needs for nitrogen, oxygen, and argon.
The ASU will be built, owned, and operated by Air Water, as part of the company’s long-term industrial gases investment plan for the U.S. market. The plant will also serve the wider New York and northeastern U.S. merchant liquid market areas with nitrogen, argon, and oxygen. The new ASU will commence operations in 2025 to meet RED’s industrial gas demands and local liquid gases market needs. Air Water currently supplies merchant liquid products to clients in the Midwest and Southeast U.S.
“Air Water is excited to be part of the New York state economy, as we believe the area is a hotbed for innovation and future growth. A year ago, we acquired Noble Gas Solutions in Albany, a leading independent industrial gas and welding products distributor with over 80 years of serving the New York market. Our parent company, Air Water Inc., has been providing competitive and innovative industrial gases solutions and technology for over 90 years, and we intend to utilize this extensive experience to provide our customers with the industrial gas solutions they need,” said Ishmael Chalabi president and chief executive officer of Air Water Gas Solutions Inc. “We have been working with RED for a few years, and are delighted that RED chose Air Water to be its industrial gases supplier. We value this opportunity and will continue to work with RED to build our relationship for the long term through this collaboration.”
“We’re pleased to welcome Air Water to the EBP,” said Daniel Kelley, RED chief executive officer. “The long-term experience and expertise that Air Water brings to this area will help to ensure that we are meeting our customers’ growing industrial gas needs.”
About Air Water Group
Air Water America is a wholly owned subsidiary of Air Water Inc. (“Air Water Japan”). Air Water Japan was established in 1929, Air Water Japan has continued to grow in the manufacturing and supply of industrial gases and related services for over 90 years. Air Water Japan has developed its own engineering capability to design, manufacture and operate air separation units and non-cryogenic air separation plants. Air Water Japan has successfully managed its industrial gas businesses and expanded product supply and service capability throughout Japan, becoming a leader in the market. In the past few years, Air Water Japan also increased its presence in the U.S., India, and Asian markets.
Since its incorporation, Air Water Japan, and its group entities (“Air Water Group”) have expanded its businesses and provided consistent growth in revenues. Air Water Japan’s common stock is listed on the Tokyo Stock Exchange and Sapporo Stock Exchange. Air Water Group employs more than 20,000 people around the world and has annual net sales of approximately JPY1,005 billion (equivalent to USD 7.2 billion) on a consolidated basis for the fiscal year ended March 31, 2023.
RED Rochester, LLC is a wholly owned subsidiary of SDCL Energy Efficiency Income Trust (SEEIT), a publicly traded company on the London Stock Exchange investing exclusively in the energy efficiency sector. The company’s investment manager, Sustainable Development Capital LLP (SDCL), was established in 2007 and is headquartered in London. RED-Rochester, LLC owns and operates the energy and utility systems serving the Eastman Business Park in Rochester, N.Y. One of North America’s largest single standalone district energy systems providing 16 utility services to 120 customers (16M gross square feet) located on the 1,200-acre park. RED is a lightly regulated utility on the park and has a proven track record of reliable and efficient utility services coupled with environmental stewardship, having reduced its carbon emissions by 40% since 2014. RED employs 125 staff at the park and self performs all operations, maintenance, engineering, project execution, customer service, and administrative duties associated with the utility systems. RED has invested $200 million into the systems since 2014 to improve efficiency and reduce greenhouse gases.
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Air Water Media: Ishmael Chalabi
RED Media: Francesca Lorenzini
Source: Air Water