Agility Fuel Systems, designer and producer of on-board natural gas fuel systems for heavy duty trucks and buses, and Hexagon Lincoln, producer of compressed natural gas (CNG) storage cylinders, have formed a 50:50 joint venture, Agility Hexagon, LLC, to build cylinders for use in Agility’s systems.
Announced at the Alternative Clean Transportation Expo in Long Beach, California, the companies will leverage their combined technical and R&D expertise to better integrate cylinder/system designs and bring to market a new, differentiated cylinder available exclusively on Agility fuel systems.
As part of the joint venture, the parties have also committed to build a dedicated cylinder production facility that will be co-located with a new fuel system assembly operation to be built by Agility. The exact location of this new plant has not yet been announced, but is intended to be located in the eastern US, close to OEM and fleet customers who operate there. This facility will complement Agility and Hexagon’s already state of the art manufacturing and provide customers with the industry’s best economies of scale, logistical costs and response times.
“This joint venture will enable Agility and us to integrate and optimize our value chains and be of even better service to the end customers. We are very pleased to have reached this agreement, which will further strengthen our position as the global market leader in Type 4 cylinders for Compressed Natural Gas (CNG)”, says Jon Erik Engeset, President and CEO of Hexagon Composites ASA.
Barry Engle, Agility’s CEO, stated: “The Agility Hexagon joint venture ensures that in a rapidly growing market we will always have sufficient cylinder capacity to meet our customers’ needs. It helps us bring product innovations to market even more quickly and maximizes operational efficiencies. We see this integration as a logical next step in our evolution and are pleased to take our partnership with Hexagon Lincoln to the next level.
(Source: Hexagon Composites, Agility Fuel Systems)