Air Products Announces North America Price Increase for Liquid and Bulk Helium Gases
LEHIGH VALLEY, Pa., Aug. 15, 2011 /PRNewswire/ — Effective September 1, 2011, or as contracts permit, Air Products (NYSE: APD) will be implementing a price increase of 15 percent for liquid and bulk helium gases in North America.
The pricing adjustment is the result of several factors including the continued strong demand over the past year for helium and significant reductions in supply. The helium market has been tight across the globe with product allocations implemented by the U.S. Bureau of Land Management and with many other global helium sources producing below capacity. Additionally, new helium sources located primarily outside of the U.S. are extremely expensive, wholesale prices for crude and processed liquid helium have increased, and costs have escalated for power and diesel.
Air Products’ worldwide helium team is managing this difficult situation on a daily basis so that it can continue to bring uninterruptible supply to customers. It is expected that demand will exceed supply for the next two to three years, thus creating ongoing shortages in the market.
***NOTE: This release may contain forward-looking statements within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management’s reasonable expectations and assumptions as of the date of this release regarding important risk factors. Actual performance and financial results may differ materially from projections and estimates expressed in the forward-looking statements because of many factors not anticipated by management, including risk factors described in the Company’s Form 10K for its fiscal year ended September 30, 2010.
SOURCE Air Products