By Joshua Stein

Air Liquide SA said Thursday that it would build new nitrogen-production facilities to supply Chinese electronics component producer BOE Technology Group Co.

The French industrial-gas supplier will build, own and operate the site in the city of Mianyang in southwest China, it said.

Air Liquide has had a partnership with BOE since 2004, and has built carrier gas plants on 10 sites across China to support BOE's gas and services requirements. Since 2017, Air Liquide has invested more than 100 million euros ($120.3 million) for BOE, it said.

The new production facilities, expected to open this year, will provide high-purity nitrogen to allow BOE to produce displays used in high-end smart phones, Air Liquide said. It will also provide oxygen, hydrogen, argon and carbon dioxide to BOE locations in Chongqing and Mianyang.

Altogether, the site will have a reduced power consumption of 10% in comparison to previous units, which Air Liquide said is equivalent to reducing carbon-dioxide emissions by 8,000 metric tons every year.

Write to Joshua Stein at joshua.stein@wsj.com

(END) Dow Jones Newswires

02-04-21 0436ET