Hexagon Raufoss, a subsidiary of Norwegian composite pressure vessel producer Hexagon Composites (Ålesund; www.hexagon.no), has been appointed by a leading international vehicle modifier to supply compressed natural gas fuel tanks for natural gas vehicles (NGV) for a new car model to be launched in the European market during second half of 2016.

The first deliveries of tanks are targeted for the end of the second quarter 2016, and the programme is scheduled to run for up to seven years, the company said. The estimated overall delivery value is around NOK 150m (EUR 15.7m). Ragnar Holthe, managing director of Hexagon Raufoss, said: “This is a new customer to Hexagon Raufoss and we are very pleased to enter into a long-term agreement with them. The nomination will further strengthen our cooperation with NGV modifiers in Europe. We experience that the increased global focus on emissions drives the demand for compressed natural gas and other alternative fuels by choosing vehicle storage technology that reduces emissions and fuel costs.”

At the same time, US subsidiary Hexagon Lincoln (Lincoln, Nebraska) landed a USD 5m order for "Tuffshell" compressed natural gas (CNG) tanks, to be used in heavy utility vehicles and buses across North America. Deliveries are expected to commence in spring next year. The US group in late 2014 invested about EUR 20m in its Tuffshell tanks production, effectively doubling output – see Plasteurope.com of 10.06.2013.