Air Liquide commits $200 million to power Texas chemical expansion with new low-carbon hydrogen plant

By: ICN Bureau

Last updated : July 13, 2026 10:10 am



The new high-efficiency unit, expected to begin operations in early 2029


Air Liquide is investing more than $200 million in a major expansion of its industrial footprint in Texas, building a next-generation Partial Oxidation (POX) unit to support growing chemical manufacturing demand at Oxea’s Bay City facility.
 
The new high-efficiency unit, expected to begin operations in early 2029, will deliver large-scale supplies of syngas and low-carbon hydrogen to support Oxea’s expanding oxo-alcohols and performance chemicals businesses at one of the U.S. Gulf Coast’s most strategically positioned industrial sites.
 
The investment strengthens the long-standing partnership between Air Liquide and Oxea while reinforcing Air Liquide’s role in supplying critical industrial gases and technologies to major manufacturing hubs across the United States.
 
Designed by Air Liquide’s engineering teams, the new facility will feature an innovative carbon dioxide recycling system that captures and recirculates CO₂ back into Oxea’s production process to optimize syngas output. 
 
The technology will allow Air Liquide to increase production capacity while cutting net CO₂ emissions by approximately 64,000 tonnes annually.
 
The project is part of Air Liquide’s broader strategy to expand its pipeline network and industrial capabilities in the U.S. Gulf Coast, providing customers with reliable, competitive, and lower-carbon solutions as industrial demand grows.
 
Matthieu Giard, Group Executive Committee member, notably in charge of supervising operations in the Americas, stated: "This project represents a significant opportunity to align industrial growth and efficiency while demonstrating that competitive solutions can also support climate objectives. 
 
"We are proud to invest alongside industrial partners who are actively expanding in the U.S. market. By deploying new technologies and CO2 recycling capabilities in Bay City, Air Liquide is delivering a solution that ensures both superior reliability and efficiency for our customer."
 
The Bay City project highlights Air Liquide’s continued push to combine industrial expansion with emissions reduction technologies, positioning the company as a key partner in the transition toward more sustainable chemical manufacturing.

Air Liquide Partial Oxidation chemical manufacturing Oxea

First Published : July 13, 2026 12:00 am