Snam To Buy CNG Firm from Canada's Westport
Vancouver-based Westport Fuel Systems (WFS) said May 17 it had agreed to sell its compressed natural gas (CNG) compressor business based in Cherasco, Italy to the Italian gas transmission operator Snam.
The purchase price is €12.5mn (US$15mn, C$19mn) and the deal is expected to close by the end of July. The divestiture is consistent with WFS's strategy to streamline its business.
|
Advertisement: The National Gas Company of Trinidad and Tobago Limited (NGC) NGC’s HSSE strategy is reflective and supportive of the organisational vision to become a leader in the global energy business. |
Snam said the deal includes the Cubogas brand, an international leader in CNG supply systems, and would help it position itself as a leader in providing turnkey solutions for sustainable natural gas mobility.
“We are proud to have Snam agreeing to purchase our CNG compressor business, given their leadership in the development of natural gas fuelling infrastructure in Italy,” stated WPS CEO Nancy Gougarty: "“This business will be in good hands as they will be able to grow the CNG fuelling infrastructure further, which will ultimately benefit our core business."
Italy is the largest CNG market in Europe, with over 1mn such vehicles, and Snam has been expanding it by jointly investing in new CNG pumps with local motor fuel distributors such as Eni and API. (The banner photo of a CNG filling station pump is courtesy of Snam)