Dow Appoints Linde for Provision of Clean Hydrogen, Nitrogen

Dow, an American multinational chemical corporation, has announced its collaboration with Linde PLC, an industrial gas company, for the provision of clean hydrogen and nitrogen. The two elements are integral for Dow's planned net-zero carbon emissions integrated ethylene cracker and derivatives facility, based in Fort Saskatchewan, Alberta, Canada. Both companies' Boards of Directors and various regulatory agencies need to approve the final investment decisions, which are anticipated in the fourth quarter of this year, targeting phase 1 startup in 2027.

In accordance with the mutual agreement, Linde is tasked with concluding the design and engineering aspects of a large-scale air separation and autothermal reformer complex, owned and operated by Linde, and integrated with its current operations in Fort Saskatchewan.

Edward Stones, Dow's Business Vice President, Energy and Climate, said: "Linde's partnership is critical in enabling Dow to advance its plans to decarbonize our Fort Saskatchewan site while growing our business. Our customers are looking to Dow to help lower the carbon footprint of their products, and this is an important step in that direction."

The proposed ethylene cracker and derivatives complex in Fort Saskatchewan is expected to reduce around 20% of Dow's global ethylene capacity's carbon emissions. Simultaneously, it would increase its global polyethylene supply by approximately 15% and potentially boost earnings before interest, taxes, depreciation, and amortization (EBITDA) growth across the value chain by about $1 billion by 2030.

In the proposed production process, cracker off-gas would be converted into hydrogen to serve as a clean-fuel source for the ethylene production process. Additionally, the carbon dioxide produced would be captured onsite and then transported and stored by nearby third-party carbon storage infrastructure partners.

"The Dow net-zero Fort Saskatchewan project will be a milestone project in global industrial decarbonization,” Dan Yankowski, Senior Vice President Americas, Linde, said. “Linde's engineering, large project execution and operations expertise, combined with our long-standing relationship, uniquely positions us to support Dow as it takes an important step towards achieving its decarbonization goals."