Air Products to form $11.5bn JV

Air Products has confirmed that it is in final negotiations to form a joint venture with Saudi Aramco, ACWA Power and Air Products Qudra to acquire the gasification, power and industrial gas assets at Jazan Economic City, representing a total investment value of about $11.5 billion.

Air Products’ confirmation follows an announcement made on Tuesday by Saudi Aramco at the Future Investment Initiative in Riyadh, Saudi Arabia and builds on Air Products’ initial announcement about this world-class project.

The Jazan Power Joint Venture would be 46% owned by Air Products, 25% by ACWA Power, 20% by Saudi Aramco and 9% by Air Products Qudra.

The company said the transaction is expected to close by the end of the calendar year.

Air Products first revealed news about the joint venture in August 2018.

The company in its press release said that it will provide additional comments on its upcoming fiscal fourth quarter earnings call on Thursday, 7 November 2019 and further details about the project following financial close.