Hexagon Agility, a business of Hexagon Composites, signed a three-year extension of its master services agreement with package delivery company UPS to supply renewable natural gas (RNG) fuel systems for medium- and heavy-duty trucks.
Under the extended agreement, Hexagon Agility has received new orders totaling $57.7 million (about 620 million Norwegian krones) for delivery of RNG fuel systems for heavy-duty trucks. The orders include trucks using the new 15-liter X15N natural gas engine.
“In the past decade, Hexagon Agility has supported the deployment of over 100,000 near-zero-emission vehicles globally,” says Eric Bippus, executive vice president of Sales and System Development at Hexagon Agility. “UPS has been a pioneer in sustainable transportation. Once again, they are taking the lead and are among the first companies enhancing their fleet with the game-changing X15N engine and our fuel systems.”
RNG in heavy-duty transport results in significant reductions of greenhouse gas (GHG) emissions. In 2023, 6.96 million metric tons of carbon dioxide equivalents were displaced by RNG in the United States. This is equal to removing 17 billion miles driven by the average passenger car.
In North America, RNG is supported by abundant natural gas pipeline infrastructure, which allows for its immediate use now and for decades to come. Hexagon Agility is enabling adoption of RNG to cost-effectively combat climate change.
According to The Transport Project, more than 175,000 natural gas vehicles are on U.S. roads today.
In 2023, RNG accounted for 79% of all on-road fuel used in natural gas vehicles in the United States. Meanwhile, fuel providers and RNG producers are rapidly expanding output and availability of RNG at the pump, adding to the 1,500 natural gas fueling stations currently available across North America.
Deliveries of the new orders are expected to be completed by the end of the fourth quarter of 2024. The bulk of the orders will be completed in the second half of 2024.
