Air Products to build new nitrogen plants and extend pipeline network in Penang, Malaysia

Air Products, a world leading industrial gases company serving Malaysia for nearly 50 years, today announced it will build, own, and operate two nitrogen plants in Penang’s Bayan Lepas Free Industrial Zone and Batu Kawan Industrial Park. The company will also further extend its pipeline network in both areas. This strategic investment in additional capacity and infrastructure will strengthen Air Products’ leading position in Northern Malaysia and its capability to meet market needs. 

Air Products has established a strong presence in Northern Malaysia with two advanced air separation units in the Prai Industrial Area and a comprehensive pipeline network that covers Prai Industrial Area, Bukit Minyak Industrial Area, Penang Science Park, Batu Kawan Industrial Park, and Valdor Industrial Area. To support growing customer demand, Air Products will build a nitrogen plant at its greenfield site in Batu Kawan Industrial Park, which is home to a host of world-class manufacturing companies and integrate the plant into its existing pipeline network.

The company will also build a new nitrogen plant in the Bayan Lepas Free Industrial Zone to serve the fast-growing demand from the electrical, electronics and other manufacturing industries. Air Products brought its first nitrogen plant in the zone onstream in 2021.  

By converting hauled-in liquified nitrogen to gaseous nitrogen supply via pipeline, Air Products brings greater reliability and cost-effectiveness to customers, especially those with high-volume demand. This conversion also helps customers reduce carbon emissions and improve sustainability. 

“Air Products has a long-standing presence in Malaysia with a leading position in the Northern Region. Our latest investment in this fast-growing industrial district demonstrates our ongoing commitment to the country’s sustainable growth,” said Ramani Velu, Air Products’ Southeast Asia president. “We are dedicated to growing with our customers along their growth and sustainability journey with our safety, reliability, efficiency and excellent service.” 

Air Products has been serving Malaysia since 1974 and is recognized for its excellence in safe and reliable operations. With nine state-of-the-art production facilities and depots strategically located throughout the country, the company supplies high-purity and high-quality industrial gases to diverse markets, including electronics, steel, chemicals processing, metals processing, food, glass, and more.

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