Air Products, a global leader in hydrogen supply, has reached an agreement to acquire Saneg's hydrogen production assets at the Fergana Oil Refinery in Uzbekistan. This acquisition will boost the refinery's operational efficiency and open the door to expanded commercial hydrogen use in Uzbekistan's industrial sector, establishing the country as a significant player in the hydrogen economy.
Saneg founder Bakhtiyor Fazilov emphasized that the partnership with Air Products marks a crucial advancement in the Fergana Refinery's modernization journey, aligning with their long-term goals. He highlighted the strong relationship between Saneg and Air Products, noting that the latter’s commitment and expertise are vital in unlocking the full potential of Uzbekistan's oil and gas sector. This agreement not only aims to bolster the country's economic development but also addresses a key government priority by enhancing energy security through increased domestic hydrogen production.
Seifi Ghasemi, Chairman, President, and CEO of Air Products, highlighted the company's position as the world’s largest hydrogen supplier and a leader in hydrogen fueling infrastructure. He emphasized that Air Products' advanced technology and expertise in hydrogen production will significantly boost the Fergana Refinery's capabilities, fostering growth in Central Asia's oil and gas sector. This partnership is expected to help Uzbekistan achieve more sustainable and energy-independent operations, aligning with the Republic’s vision for a cleaner and greener future.
The Fergana Refinery is undertaking a thorough modernization program aimed at improving operational efficiency and boosting production capacity. Major upgrades involve the integration of advanced hydrocracking technology and enhancements to fuel processing capabilities, with a goal of achieving over 92% depth in the production of Euro-5 standard diesel fuel and aviation kerosene.
A primary goal of this modernization is to assist the Uzbekistan government in its strategy to diversify energy sources by expanding hydrogen production. To support this objective, the Fergana Refinery partnered with Air Products in 2021 to provide two Pressure Swing Adsorption (PSA) units, essential for hydrogen production. These units are a key component of the refinery's extensive modernization initiatives.
The initiative also involves acquiring a cutting-edge steam methane reforming (SMR) unit, capable of processing 100% natural gas or LPG, ensuring reliable operations. Together with the PSA units supplied by Air Products, this addition will ensure a stable and dependable hydrogen supply, fulfilling both the refinery’s requirements and the needs of the broader merchant market.
Scheduled for completion in Q4 2024, this acquisition underscores Air Products' steadfast commitment to providing advanced and reliable solutions tailored to the evolving needs of the energy sector. By expanding their technological presence and capabilities in Uzbekistan, Air Products not only strengthens its market position but also plays a crucial role in supporting the country's energy diversification and modernization efforts. This strategic move aligns with their broader vision of promoting sustainable industrial growth in key global markets.