01/07/2015 01:29 EST | Updated 03/09/2015 05:59 EDT

Air Liquide plans new oxygen pipeline to feed Dofasco steelmaking furnaces

MONTREAL - Air Liquide Canada is planning to build a $12-million pipeline in Hamilton, Ont., to carry oxygen to the ArcelorMittal Dofasco plant, where it's used in the steelmaking process.

Air Liquide says it will jointly fund the project with money from an Ontario Power Authority energy-reduction program and has the support of Horizon Utilities, which is co-owned by the cities of Hamilton and St. Catharines, Ont.

The new pipeline will reduce electricity consumption at Air Liquide's Hamilton operations and cut that company's expenses by $2 million annually.

Air Liquide is a French company that supplies gases such as oxygen, nitrogen and hydrogen for industrial and health-care uses. Its Canadian subsidiary, based in Montreal, has 90,000 customers and 2,200 employees across the country.