Praxair Signs Long-Term Oxygen Supply Agreement with Brazilian Pulp Producer Fibria
October 06, 2016
DANBURY, Conn., October 6, 2016 – Praxair, Inc. (NYSE: PX), through its Brazilian subsidiary White Martins, has signed a long-term agreement expanding its supply of oxygen to Fibria Celulose S/A (NYSE: FBR) in Três Lagoas, Brazil. Fibria is the world’s largest producer of eucalyptus pulp, exporting the product to customers in more than 40 countries.
Through its Horizon 2 Project, Fibria is expanding its Três Lagoas facility, located in the state of Mato Grosso do Sul. The expansion is expected to be completed in late 2017. Praxair’s new plant, also expected to start up in late 2017, is designed to increase Fibria’s productivity and support the company’s expansion of this site. Fibria currently has global annual production capacity of 5.3 million tons of eucalyptus pulp and is seeking to increase its capacity to 7.25 million tons annually. Fibria’s expansion will demand an additional 160 tons per day of oxygen, for use in the pulp delignification stage, also known as pre-bleaching pulp.
“White Martins is proud of the strong relationship we have built with Fibria throughout the years while serving their industrial gas needs at the Três Lagoas and Aracruz plants in Brazil,” said Domingos Bulus, president of Praxair South America. “We look forward to supporting the continued expansion of Fibria in Brazil and around the world by delivering reliable service and value-creating applications technologies.”
“As the global leader in the eucalyptus pulp market, Fibria is known for its operational excellence,” said Júlio Cunha, director of engineering for the Horizon 2 Project. “That is why we have selected serious and committed suppliers that can support the growth and sustainable development of the company.”
Praxair, Inc., a Fortune 300 company with 2015 sales of $11 billion, is a leading industrial gas company in North and South America and one of the largest worldwide. The company produces, sells and distributes atmospheric, process and specialty gases, and high-performance surface coatings. Praxair products, services and technologies are making our planet more productive by bringing efficiency and environmental benefits to a wide variety of industries, including aerospace, chemicals, food and beverage, electronics, energy, healthcare, manufacturing, primary metals and many others. More information about Praxair, Inc. is available at www.praxair.com.
The world leader in eucalyptus pulp production, Fibria strives to meet the growing global demand for forestry products in a sustainable manner. With production capacity of 5.3 million tons of pulp per year, it has industrial units in Aracruz (Espírito Santo), Jacareí (São Paulo) and Três Lagoas (Mato Grosso do Sul), as well as in Eunápolis (Bahia), where it operates Veracel in a joint operation with Stora Enso. Fibria has 969,000 hectares of forests, with 568,000 hectares of planted forests, 338,000 hectares of environmental preservation and conservation areas and 63,000 hectares to be used for other uses. The pulp manufactured by Fibria is exported to more than 40 countries. In May 2015, Fibria announced the expansion of its Três Lagoas unit, which will receive a new line with annual pulp production capacity of 1.95 million tons and is slated for startup in the beginning of the fourth quarter of 2017. For further information please visit: www.fibria.com.br/en/.