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Finnish firms Wartsila and Gasum have signed a joint cooperation agreement aimed at developing the use, distribution, and service solutions for natural gas in marine and onshore applications. The agreement was signed in Helsinki on 29th August.

During the collaboration, Wartsila is to provide the gas value chain technology know-how, and Gasum its expertise in distributing and selling natural gas and biogas. The development work regarding liquefied natural gas (LNG) for marine applications will also utilize the expertise of Gasum's subsidiary Skangas, a leading LNG player in the Nordic market.

Natural gas fuel is increasingly being used for marine engines and in power plant generators, primarily for reasons of environmental compliance. Exhaust emissions from gas-fuelled engines are notably lower than from diesel and coal-fired prime movers.

The project will be divided into work streams, covering areas such as smart power generation, LNG and liquefied biogas (LBG), gas as a marine fuel, operations and maintenance, and biogas. The work is to focus on increasing sales through business development cooperation, and building an LNG infrastructure in places where gas is currently not available. The companies have agreed to share know-how, contacts, marketing, and business development activities, and to work together to develop cost-effective and efficient operation and maintenance activities. The development of LBG markets is another objective of the cooperation.

"By improving the availability of LNG, the present and future needs of both the shipping sector and industrial clients currently outside the natural gas grids will be served. At the same time, LNG utilisation also allows for the use of LBG without additional investment since the same infrastructure can be used for both," Wartsila said in a statement.

"Wartsila has taken a leading position in both the energy and shipping markets as a developer of advanced technology solutions that enable the practical and efficient use of natural gas fuel. This agreement with Gasum will help speed the transition to gas fuel and advance environmental sustainability," commented Wartsila President and CEO, Jaakko Eskola.

"I'm very pleased with the joint co-operation agreement as we're able to improve access to natural gas solutions as efficient and clean energy alternatives in the marine and land markets," said Gasum CEO and chair of the Skangas board of directors, Johanna Lamminen.