RAYONG: Bangkok Industrial Gas Co, Thailand's largest industrial gas producer, expects revenue growth of 10% to 5.8 billion baht this year thanks to rising gas demand.
Bangkok Industrial Gas managing director Piyabut Charuphen at yesterday’s opening of Thailand’s biggest hydrogen facility in Map Ta Phut, Rayong. SOMCHAI POOMLARD
Managing director Piyabut Charuphen said demand for industrial gases has been growing 10% a year on average in line with the expansion of industries, particularly steel, refineries, automotive, food processing and glass.
Last year, BIG earned 5.3 billion baht in revenue. Its industrial gases including hydrogen, oxygen, nitrogen, argon and helium are used in manufacturing processes, partly to improve production efficiency and reduce sulfur.
The company inaugurated its second hydrogen plant yesterday in Map Ta Phut, Rayong. The 500-million-baht plant boosts the company's hydrogen capacity to 20,000 cubic metres per hour from 7,000 previously.
BIG receives hydrogen as a feedstock from its neighbours _ PTT Poly Ethylene Co and HMC Polymers Co _ to purify it and then pipe it or put it in cylinders. Hydrogen generates 21% of its revenue while oxygen and nitrogen account for 24% and 35%, respectively.
The company also wants to raise public awareness about using hydrogen as an alternative energy, pointing to its use with fuel cell vehicles and when blended with compressed natural gas (CNG).
He called on the government and the Energy Ministry to come up with clear strategies to promote hydrogen as an alternative fuel.
"If the government gives us a clear sign, we are ready to develop filling stations," said Mr Piyabut.
Blending 10% of hydrogen with CNG will cut nitrogen oxide emissions by 30-50%, and vehicles will consume 7.2% less gas, he said.
The cost of hydrogen in the transport sector ranges from eight to 30 baht per kilogramme, while CNG's price is capped at 10.5 baht per kg.
BIG's parent company, Air Products and Chemicals, united with General Motors to develop a field trial in the US for hydrogen fuel cells. Commercial production for the automotive sector is expected by 2015.
In the long term, BIG plans to operate a third hydrogen production plant by 2019 to serve the new Euro 5 standard expected to be introduced by the Energy Ministry.
Thailand adopted the Euro 4 standard last year requiring oil refineries to use hydrogen in oil refining processes to reduce sulfur.