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Finnish firm Wärtsilä says it has been given full notice to proceed (NTP) from Manga LNG Oy - a joint venture between Outokumpu Group, Svenskt Stål AB (SSAB), Skangass and EPV Energy Ltd - for the supply of a liquefied natural gas (LNG) import terminal in Tornio, northern Finland. Construction of the facility is scheduled to begin in January 2015.

Wärtsilä initially announced this project in January 2014. The order is valued at approximately EUR 100 million.

The turnkey delivery of the first import terminal supplied by Wärtsilä includes complete unloading, storing and regasification equipment for LNG. The planned capacity of the LNG storage tank is 50,000 cubic metres.

A 10-year maintenance agreement was also signed between the parties. It is Wärtsilä's first maintenance agreement for an LNG terminal, which the company says "complements Wärtsilä's service proposition and experience within dual fuel and gas engines and related equipment".

According to Wärtsilä, one of the main users of the imported natural gas will be the Outokumpu Tornio steel mill. A gas pipeline is to be built to the nearby Röyttä industrial site, where the mill is located. Additional potential gas users are mines, factories and other industrial customers in Northern Finland and Sweden.

Railroad and truck transportation from the terminal will be available. The terminal will also be built to be used for LNG bunkering - to supply fuel to LNG-powered ships.

"The world is switching to natural gas, and we make it available in new places. With our unique turnkey offering, we are ready take a leading role in end-to-end LNG systems," said Tore Björkman, Vice President, LNG and Nuclear, Wärtsilä Power Plants in a statement.

Wärtsilä provides technology and services throughout the entire LNG distribution chain. The company's portfolio includes liquefying technology, various gas-handling solutions, the design of LNG transport vessels, gas-fired marine propulsion solutions, LNG loading and unloading facilities, storage facilities and regasification.

"LNG is replacing oil and other fuels worldwide. The environmental benefits are significant. In power generation, natural gas produces about 30 percent fewer carbon emissions than oil, while sulphur dioxide emissions are reduced by some 99 percent. LNG-fuelled ships have no sulphur emissions and 92 percent fewer nitrogen oxide emissions than vessels powered by heavy fuel oil," Wärtsilä added.