IMW Industries Ltd. has inked a contract with China Gas Holdings Ltd. to supply up to 416 natural gas compressors and related technologies for the construction of up to 310 public-access compressed natural gas (CNG) stations in China.
IMW will provide China Gas with its CleanGAS Technology products and services, including CleanCNG compressors, 186 dryers, 527 dispensers and 387,500 liters of buffer storage.
IMW, a subsidiary of Clean Energy Fuels, has already established solid footing in China, where it has provided CNG equipment for more than 120 refueling stations. The equipment is manufactured at IMW's facility in Suzhou-Taicang.
China Gas has secured financing for this transaction from Export Development Canada, which is expected to be utilized throughout the three-year agreement to help purchase the products and services under the purchase contract. An initial $5 million has been utilized for the purchase of 29 CleanCNG compressors, which are anticipated to be delivered during the fourth quarter of 2013 and used to construct the first 19 stations.
The three-year agreement has a potential value of approximately $167 million.
