(Alliance News) - Air Liquide SA on Tuesday said that it has signed a long-term contract to supply additional hydrogen and carbon monoxide to a chemical firm in South Korea.

The French provider of industrial gases and services has agreed to supply Kumho Mitsui Chemical Inc with additional hydrogen and carbon monoxide at the the Yeosu National Industrial Complex, where it already operates four production units.

Financial terms of the contract were not disclosed.

Under the terms of the agreement, Air Liquide will support KMCI's additional expansion of 200,000 tons per year production of methyl diphenyl diisocyanate, which is an isomer used to manufacture polyurethane for high-tech materials and insulation.

The company has also agreed to supply additional hydrogen and carbon monoxide to KMCI for its 50% expansion of MDI production, with operations set to begin in 2024.

"With this new contract, we are honoured to extend our long-term relationship with KMCI, a 20-year strategic collaboration that has enabled us to steadily build our footprint in Yeosu, a major industrial complex in South Korea, to accompany KMCI's continued growth," said Francois Abrial, a member of Air Liquide Group's executive committee.

Air Liquide shares were trading 0.4% higher at EUR136.76 each in Paris on Tuesday morning.

By Holly Beveridge; Alliance News reporter

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