Wärtsilä has signed a Memorandum of Understanding (MoU) with the French multinational energy company ENGIE, to develop solutions and services within the small scale LNG business sector.

The cooperation covers four work streams: LNG for ships, LNG distribution in islands and remote areas, LNG to Power solutions, and small scale LNG and bio liquefaction. Both Wärtsilä and ENGIE are committed to working for a low-carbon economy, and shifting the focus towards LNG-solutions is seen as being an important step in this direction.

Through this partnership, the two companies will share Wärtsilä’s technical expertise and Engineering, Procurement and Construction (EPC) capabilities, along with ENGIE’s technical expertise, and experience in natural gas distribution and commercialization. Operation and maintenance services will also be offered.

"ENGIE has taken key positions in the small scale LNG market. This agreement with Wärtsilä will help develop innovative small scale LNG solutions with quicker implementation time and enhanced competitiveness," says Jean-Marc Leroy, ENGIE’s Managing Director Gas Chain.

"We are excited to be working with ENGIE and developing together more sustainable energy solutions for our customers and society as a whole. This cooperation is an important step towards Wärtsilä’s goal of growing our presence in the small to medium scale LNG terminal business," says Alexandre Eykerman, Vice President for LNG Solutions at Wärtsilä.

Wärtsilä is currently the EPC contractor for an onshore small scale LNG terminal in Finland, and has successfully delivered several small scale power barges and a biogas liquefaction plant. ENGIE is one of the pioneers in the development of small scale LNG markets and innovative solutions. This includes small liquefaction plants, LNG truck loading, LNG bunkering, LNG fuelling stations, LNG for power applications, and supplying LNG to remote customers.

This MoU is a strong incentive to co-develop technical solutions that would enable both Wärtsilä and ENGIE to expand their small scale LNG businesses.