The US’ Air Products, the industrial gases supplier has bought a 25 per cent stake in Saudi Arabia’s Abdullah Hashim Industrial Gases & Equipment Company (AHG).
AHG is a gas and equipment business based in the kingdom, with three main production centres at Dammam, Jeddah and Riyadh. It has several distribution centres around the kingdom.
“Merchant gases [used for industrial purposes] growth in the kingdom is high and margins are strong, making it an attractive investment,” Howard Castle-Smith, vice-president of Air Products said in a statement. “It’s also a significant new platform from which to pursue tonnage gases opportunities in The Middle East.”
Air Products and AHG currently operate two ventures outside of the kingdom. They supply oxygen and nitrogen to the Shadeed Iron & Steel plant in Oman, as well as supplying nitrogen and hydrogen to Emirates Float Glass in Abu Dhabi, UAE.