In virtually all applications, oxygen is ultimately used in gaseous form. However, storing and transporting liquid oxygen is more convenient than storing gaseous oxygen. Vacuum insulated vessels are widely used for storage and transportation of liquid oxygen, nitrogen and argon. Accordingly, it is usually more practical to produce oxygen and nitrogen as liquid for ultimate usage as gas. This method of producing and distributing nitrogen and oxygen becomes more economical as production rates increase.

Although more nitrogen than oxygen is produced these days, particularly in the technically advanced countries of the world, the largest single usage for atmospheric gases remains the use of oxygen for welding and cutting of metals. Oxygen for medical use is another important market for the compressed gas industry.

Most of this oxygen is distributed as high pressure gas in cylinders by industrial gas suppliers. Larger users are supplied with liquid oxygen.

Large scale applications for oxygen, which can justify the installation of an on site plant, include steel making, refining of metals, paper making and oxidation processes in the chemical industry.

Nitrogen is used as an inert atmosphere in various industries including chemical manufacturing, petroleum refining, synthetic fibers and electronics manufacture.

In addition to the above applications involving gaseous nitrogen, liquid nitrogen is used as a convenient source of low temperature refrigeration. Applications include food freezing, semen preservation, deflashing of rubber moldings, and grinding tires.

The market for argon continues to increase in most countries of the world. Applications include welding of aluminum and stainless steel, filling of light bulbs and tubes, and as an inert atmosphere in the electronics industry.