- Westport Fuel Systems (TSX:WPRT) launched its joint venture with Volvo Group (OTC Pink:VLVLY) to bring its fuel system technology to the masses
- This joint venture aims to accelerate the commercialization and global adoption of the high pressure direct injection (HPDI) technology, used to reduce CO2 for long-haul and off-road applications
- Volvo acquired a 45 per cent interest in the joint venture for roughly C$38.2 million, plus up to an additional C$61.3 million as an earn-out depending on the joint venture’s performance
- Westport Fuel Systems Inc. last traded at C$7.83 per share
Westport Fuel Systems (TSX:WPRT) launched its joint venture with Volvo Group (OTC Pink:VLVLY) to bring its fuel system technology to the masses.
At the University of British Columbia campus, the birthplace of Westport’s high pressure direct injection (HPDI) fuel system technology, this joint venture aims to accelerate the commercialization and global adoption of the HPDI technology, used to reduce CO2 for long-haul and off-road applications.
Volvo acquired a 45 per cent interest in the joint venture for roughly C$38.2 million, plus up to an additional C$61.3 million as an earn-out depending on the joint venture’s performance.
“This joint venture is poised to make a significant impact on global long-haul and off-road heavy-duty applications,” Dan Sceli, CEO and director of Westport Fuel Systems said in a news release. “By combining Volvo’s extensive expertise in commercial vehicle and power system manufacturing with Westport’s innovative fuel system technology, we are creating a powerful force for change that can make a meaningful contribution to reduce carbon emissions immediately and affordably. Together we are committed to delivering sustainable, efficient, and economically viable solutions for long-haul transportation.”
By collaborating with transportation partners and end-users, the HPDI system has been deployed in thousands of Volvo trucks throughout Europe, highlighting its role in advancing carbon neutrality. Since HPDI’s commercial launch in 2018, fleets have collectively averted hundreds of thousands of tons of CO2 emissions each year. The companies explained that this achievement showcases the immediate benefits of incorporating hydrogen and biogas technologies into the current infrastructure.
Westport Fuel Systems Inc. is a supplier of advanced fuel delivery components and systems for clean, low-carbon fuels such as natural gas, renewable natural gas, propane, and hydrogen to the global transportation industry.
Westport Fuel Systems Inc. (TSX:WPRT) last traded at C$7.83 per share. Its stock is up 2.22 per cent this week, but has fallen 23.39 per cent since this time, last year.
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(Top photo: Westport Fuel Systems Inc.)