Air Liquide will invest approximately US $150 million to expand its production capacity and pipeline network in Tennessee, following a new long-term contract with LG Chem.
This investment will support LG Chem’s upcoming cathode active material plant by supplying the oxygen needed for lithium-ion electric vehicle battery production, contributing to the growth of the U S battery ecosystem.
The expansion strengthens Air Liquide’s presence in a key region and boosts its Industrial Merchant market. Triggered by LG Chem’s demand for oxygen at their new manufacturing plant, Air Liquide will build, own, and operate a second air separation unit (ASU), liquefier, storage facility, and pipeline at its Airgas production site in Clarksville, Tennessee.
The expanded facility, initially opened in 2013, is expected to be commissioned by 2027 and will produce additional oxygen, nitrogen, and argon to meet regional demand. The Group also plans to leverage renewable electricity to produce low-carbon products for industries throughout Kentucky and Tennessee.
Overall, this investment underscores Air Liquide’s strong position in the growing energy transition markets — including the booming battery manufacturing sector, as global electric vehicle numbers are projected to more than triple by 2030.
Filed Under: Technology News