Wärtsilä will provide equipment and engineering work to build a new power plant on the island of Rhodes in Greece.
The 119MW power plant project has been awarded to energy contractor Terna by Greece's electricity utility Public Power Corporation, which in turn awarded the deal to Wärtsilä.
The power station will generate electricity for the island's grid from seven Wärtsilä 18V46 engines running on heavy fuel oil.
Wärtsilä will also provide auxiliary equipment and an emissions cleaning system for the plant.
The plant is expected to become fully operational during the second half of 2011.