Air Products Ranked as Top Climate-Aligned Company on Barron's 2021 100 Most Sustainable Companies in America

Rhea-AI Summary

Air Products (NYSE:APD) has been recognized as the top climate-aligned company in Barron's 2021 Ranking of the Most Sustainable Companies in America, ranking 13th overall, up 20 spots from last year. The company has committed billions to the world's largest renewable hydrogen project, aiming for a 2025 launch. Air Products' $5 billion green hydrogen facility in Saudi Arabia is a key project. The company also aims to cut CO2 emissions intensity by one-third by 2030 and increase diversity in its workforce, targeting 28% female and 20% minority representation by 2025.

Positive

• Ranked 1st in climate-aligned companies by Barron's.
• Overall ranking improved to 13th on the Most Sustainable Companies list.
• Commitment of billions towards renewable hydrogen projects, set for completion by 2025.
• Plans to reduce CO2 emissions intensity by one-third by 2030.
• Diversity goals aim for 28% female and 20% minority representation by 2025.

Negative

• None.

LEHIGH VALLEY, Pa., Feb. 25, 2021 /PRNewswire/ -- Air Products (NYSE:APD) has been rated as the top climate-aligned company by Barron's as part of its 2021 Ranking of the Most Sustainable Companies in America.

Overall, Barron's ranked Air Products 13th on its 100 Most Sustainable Companies list, up 20 spots from the previous year. Air Products earned first place as the top company for the climate-aligned segment of the rankings, which rated companies for efforts to reduce the impact on the environment throughout their operations and provide sustainable solutions.

Barron's specifically noted that Air Products, which has appeared on the Most Sustainable Companies list for three consecutive years, has committed billions of dollars of capital toward the largest renewable hydrogen project in history, which will provide carbon-free hydrogen to the world on a massive scale in 2025.

"Sustainability is at the heart of what we do. Our industrial gases, technologies and applications enable customers around the world to reduce their energy use, lower emissions and increase productivity," said Seifi Ghasemi, Air Products' Chairman, President and Chief Executive Officer. "We are proud to be recognized by Barron's for our sustainability efforts and solutions but know there is always more work to be done, which is why Air Products is playing a lead role in addressing significant energy and environmental challenges through gasification, carbon capture and hydrogen for mobility solutions around the world."

One key project designed to address the need for clean energy is NEOM. Last year, Air Products, in conjunction with ACWA Power and NEOM, signed an agreement for a $5 billion world-scale green hydrogen-based ammonia production facility powered by renewable energy. The project, which will be equally owned by the three partners, will be located in NEOM―a new model for sustainable living to be located in the northwest corner of the Kingdom of Saudi Arabia―and will produce green ammonia for export to global markets. Air Products will be the exclusive off-taker of the green ammonia and will invest an additional $2 billion downstream, bringing the Company's total investment to $3.7 billion. Air Products will transport the green ammonia around the world to be dissociated to produce green hydrogen for transportation and other markets.

For its fourth annual list of the most sustainable companies, Barron's worked with Calvert Research & Management, a top sustainable investing firm, which analyzed the 1,000 largest United States (U.S.) publicly held companies, measured by market capitalization. Each company was rated in five key stakeholder categories: shareholders, employees, customers, community and planet.

To further its sustainability efforts, Air Products also announced a new sustainability goal in 2020 to reduce its carbon dioxide emissions (CO₂) intensity (kg CO₂/MM BTU) by one-third by the year 2030 from a 2015 baseline.

In addition, Air Products also announced a new step toward its goal of being the most diverse industrial gas company in the world. To build on its culture of diversity, inclusion and belonging, Air Products has set goals to further increase the percentage of females and U.S. minorities in professional and managerial roles. By 2025, Air Products aims to achieve at least 28 percent female representation in the professional and managerial population globally and at least 20 percent minority representation in the same population in the United States. These measures are increases from 25 and 17 percent representation (2020 baseline), respectively.

The Barron's recognition is the latest for Air Products, which was also recently included in the S&P Global 2020 Sustainability Yearbook and the Corporate Knights' Clean 200 listing for the third year in a row. The Clean 200 was established in 2016 and ranks the largest publicly listed companies by their clean energy reviews. Air Products also has been named to the Wall Street Journal's 100 Most Sustainably Managed Companies list, which assessed more than 5,500 publicly traded businesses based on sustainability metrics in areas such as business model and innovation, external social and product issues, employee and workplace issues and the environment. In addition, in November, Air Products was named to the Dow Jones Sustainability North America Index (DJSI) for the 11^th consecutive year. The 2020/2021 DJSI recognition ranks Air Products among the top 20 percent of North American companies in its industry group for corporate sustainability performance.

Additional information on Air Products' commitment to sustainability is available on its Sustainability website.

About Air Products
Air Products (NYSE:APD) is a world-leading industrial gases company in operation for 80 years. Focused on serving energy, environment and emerging markets, the Company provides essential industrial gases, related equipment and applications expertise to customers in dozens of industries, including refining, chemical, metals, electronics, manufacturing, and food and beverage. Air Products is also the global leader in the supply of liquefied natural gas process technology and equipment. The Company develops, engineers, builds, owns and operates some of the world's largest industrial gas projects, including: gasification projects that sustainably convert abundant natural resources into syngas for the production of high-value power, fuels and chemicals; carbon capture projects; and world-scale carbon-free hydrogen projects supporting global transportation and the energy transition.

The Company had fiscal 2020 sales of $8.9 billion from operations in 50 countries and has a current market capitalization of about $60 billion. More than 19,000 passionate, talented and committed employees from diverse backgrounds are driven by Air Products' higher purpose to create innovative solutions that benefit the environment, enhance sustainability and address the challenges facing customers, communities, and the world. For more information, visit airproducts.com or follow us on LinkedIn, Twitter, Facebook or Instagram. 

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 10-K for its fiscal year ended September 30, 2020.

 

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SOURCE Air Products

FAQ

What is Air Products' ranking on Barron's 2021 Most Sustainable Companies list?

Air Products ranked 13th on Barron's 2021 Most Sustainable Companies list, up 20 spots from the previous year.

Why was Air Products recognized as the top climate-aligned company?

Air Products was recognized for its significant investments in renewable hydrogen projects and commitment to sustainability.

What are Air Products' sustainability goals by 2030?

Air Products aims to reduce its CO2 emissions intensity by one-third from a 2015 baseline by the year 2030.

What is the investment amount for Air Products' green hydrogen project in Saudi Arabia?

Air Products has committed $5 billion to build a green hydrogen-based ammonia production facility in Saudi Arabia.

What are Air Products' diversity targets by 2025?

Air Products aims for at least 28% female representation and 20% minority representation in professional and managerial roles by 2025.