Wärtsilä and BMZ sign a licence agreement for manufacturing marine low-speed diesel engines in Russia

Wartsila Corporation
  • Trade press release
31 October 2007 at 2:01 AM E. Europe Standard Time

Wärtsilä Corporation, Trade and Technical Press Release, 31 October 2007

Wärtsilä and Bryansk Engineering Works (BMZ), manufacturing subsidiary of Transmashholding, JSC of closed type, Russia, have jointly signed a licence agreement for the manufacture of Wärtsilä low-speed marine diesel engines by BMZ.

Wärtsilä and BMZ recognise this agreement as a basis for a long-term cooperation for manufacturing Wärtsilä low-speed engines. These large marine engines incorporate RTA engine technology and RT-flex electronically-controlled common-rail technology. BMZ will focus on manufacturing engines of up to 82 cm bore size, with power outputs from 8 to 30 MW which are in most demand by the marine market. The first Wärtsilä engine built by BMZ will be delivered in 2009.

In accordance with the agreement Wärtsilä will not only provide the Russian party with needed technical documentation, but will also arrange training for BMZ specialists both in its training centre and production sites.

With the new licence agreement BMZ will supply Wärtsilä engines to shipyards in Russia, Ukraine, Romania and Bulgaria. In addition, BMZ will provide Wärtsilä with engine components required for the manufacture of Wärtsilä low-speed engines.

“The agreement with Wärtsilä provides BMZ with new opportunities for increasing production volumes and strengthening its position in the growing market of marine engine building”, says Mr Anatoly Zadorozhny, General Director of BMZ. “The demand in marine vessels of various types as well as the demand in main propulsion engines has been growing in recent years along with the total growth of world trade. Wärtsilä is one of the world leaders in designing low-speed marine diesel engines. Wärtsilä engines manufactured by various licensees occupy a significant market segment and BMZ is intending to contribute its share to this important part of the market.”

“By signing this agreement, BMZ will be able to supply Wärtsilä’s most modern low-speed engine technology to the shipbuilding industry and to provide an additional manufacturing base for medium-size Wärtsilä low-speed engines to meet the increasing demand in local and export markets. With Transmashholding and its manufacturing subsidiary BMZ, Wärtsilä’s family of low-speed engine licensees will be expanded by a company with long experience and sound reputation in the market” said Mr Martin Wernli, President of Wärtsilä in Switzerland.

Wärtsilä has licence agreements to produce low-speed engines in South Korea, China, Japan, Brazil, Vietnam, Italy, Poland and Croatia. Low-speed engines are typically used in tankers, container ships, bulk carriers and other large cargo vessels.

The licence with BMZ will also further strengthen Wärtsilä’s presence in the Russian markets and expand its offering by locally produced large diesel engines. Wärtsilä has been present in Russia for more than 30 years. In 2007, Wärtsilä registered a new full-scale network company under the name Wärtsilä Vostock LLC. The new company is based in St Petersburg and has branch offices in Moscow and Vladivostock. Employing more than 170 people, it represents Wärtsilä’s activities in the marine and power plant markets, for both new installations and after-sales service of existing installations.


Media contact:
Martin Wernli
President
Wärtsilä Switzerland Ltd
Direct tel:  +41 52 262 2686
e-mail: martin.wernli@wartsila.com


Marit Holmlund-Sund
Public Relations Manager
Wärtsilä Corporation
Direct tel: +358 10 709 1439
Direct fax: +358 10 709 1425
e-mail: marit.holmlund-sund@wartsila.com
Internet: www.wartsila.com


Artyom Ledenev,
Public Relations Director,
Transmashholding, JSC of closed type
Business tel.: +7-495 518 91 94
Mobile tel.: +7-916 134 71 48
e-mail:  ledenev_a@tmholding.ru
Internet: www.tmholding.ru

Notes to the editor:

About Transmashholding
Transmashholding is the largest manufacturer in Russia of transport machines. It was established in 2002. The headquarters are located in Moscow. Revenue in 2006 was 55 billion roubles. Number of employees: 53,000.

Manufacture of diesel engines for various purposes is being carried out in three manufacturing subsidiaries: the Bryansk (BMZ), Kolomna and Penza diesel plants.

BMZ is unique in Russia as manufacturer of low-speed two-stroke diesel engines, which are used as main engines in marine vessels. The enterprise has gained considerable experience in marine diesel engine building; it has been manufacturing low-speed diesel engines since 1961. In 2006 BMZ built 12 main marine diesels, eight of which were manufactured for foreign orders. Presently 1000 BMZ marine diesel engines are in operation in the world.
www.tmholding.ru


About Wärtsilä Corporation
Wärtsilä enhances the business of its customers by providing them with complete lifecycle power solutions. When creating better and environmentally compatible technologies, Wärtsilä focuses on the marine and energy markets with products and solutions as well as services. Through innovative products and services, Wärtsilä sets out to be the most valued business partner of all its customers. This is achieved by the dedication of more than 15,000 professionals manning 130 Wärtsilä locations in close to 70 countries around the world.

In 2006 the turnover of Wärtsilä amounted to EUR 3,2 billion and the company is listed on the Nordic Stock Exchange, Helsinki. The headquarters of Wärtsilä are located in Helsinki, Finland.

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