Industrial gas producer and supplier,
) Brazilian subsidiary, White Martins recently announced the
start-up of an air separation plant in the state of Minas Gerais.
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The new air separation plant has 800 tons per day capacity and
will primarily cater to industrial gas needs of ArcelorMittal's
production facilities. This long-term supply contract will
further solidify the two companies' relations. White Martins has
been supplying industrial gases to five facilities of Arcelor
Mittal, located in Espirito Santo, Minas Gerais and Sao Paulo
Additionally, Praxair's plant will also supply gases to customers
in the mining, primary metals, automotive, manufacturing and
healthcare end markets of the southeastern region of Brazil.
Prior to this plant start-up, Praxair commenced operations at a
new hydrogen plant located at Valero's St. Charles refinery in
Norco, La. The plant has a production capacity of 135 million
standard cubic feet per day (scfd) of hydrogen. Praxair's plant
will supply hydrogen to Valero Energy Corporation.
A series of plant start-ups and contract wins across various
nations signify the growing preferences among customers for
Praxair's world class technology, high quality products and gas
supply services. Also, growing applications of industrial gases
like hydrogen for refining; oxygen for healthcare; and nitrogen
and carbon dioxide for oil and gas production are expected to
boost demand for these gases.
Praxair is slated to release its third quarter 2013 financial
results on Oct 30, 2013. The Zacks Consensus Estimate for the
third quarter stands at $1.52. The estimate for years 2013 and
2014 are pegged at $5.95 and $6.71, reflecting annual growth of
6.9% and 12.8%, respectively. Estimated 3-5 years earnings growth
rate for the company is 11.8%.
Praxair has a market capitalization of roughly $36.8 billion and
bears a Zacks Rank #2 (Buy). Other stocks to watch out for in the
Air Products & Chemicals Inc.
PPG Industries Inc.
), each with a Zacks Rank #2 (Buy).