Air Liquide is accelerating its investments to support industries in their energy transition. Indeed, the group plans to “accelerate” its investments in 2023, particularly in the United States, to support the “profound changes” underway in heavy industries to decarbonize. “The acceleration” of the “investment dynamic” will be driven to 40% by projects related to the energy transition, said François Jackow, the new CEO. Air Liquide, which has recorded a “record level of nearly €4 billion” of investments in 2022, expects €3.3 billion of new investments to be announced this year, in Europe and the United States.
Air Liquide supports “profound changes
The steel industry is looking for green hydrogen to replace coal in its iron ore reduction processes, and oil companies want oxygen to clean up their fuels. The electronics industry is looking for rarer gases for the manufacture of semiconductors. All sectors, including the chemical and cement industries, are also seeking to equip themselves with processes to capture and recycle the CO2 emitted. Air Liquide has also launched a biomethane activity in China and is building its largest biomethane production unit in the United States.
Development in the United States
The group, which describes itself as “number one in industrial gases in North America”, is targeting “significant projects” on this continent in connection with the Inflation Reduction Act, the mega investment plan launched by Joe Biden to develop the green industry. In the Gulf of Mexico, where it already has about 40 plants, “a number are under construction” and “we will be announcing new ones,” Jackow said. He also pointed out that the IRA is a very powerful incentive mechanism and that many projects are developing very quickly in the last few months.
Europe is not left out
The Air Liquide Group is not only betting on the United States. In Europe, a “reaction” is being set up to avoid losing the Old Continent’s lead in terms of decarbonization of industry. “Seven major industrial projects have been validated at the European level for more than 1.8 billion euros of cumulative investment,” said François Jackow. 130 million to build and operate a new low-carbon hydrogen production unit as part of the conversion of TotalEnergies’ GrandPuits site (Seine-et-Marne) into a biorefinery.
Positive balance sheet for 2022
In 2022, Air Liquide recorded a net growth in all its activities worldwide, with revenues of 29.93 billion euros, exceeding the objectives of its Advance strategic plan for 2022-2025. Its operating margin improved by 70 basis points excluding the energy effect. In terms of the environment, CO2 emissions are stable for the second year in a row and in line with the objective of carbon neutrality in 2050. Air Liquide announces a dividend of 2.95 euros per share for 2022, up 12.2%. The group says it is confident in its ability to increase its operating margin in 2023.
