Latest News From Wärtsilä

• Wärtsilä and BMZ sign a licence agreement for manufacturing marine low-speed diesel engines in Russia 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 • Wärtsilä fuel cell prototype starts operation The Wärtsilä Fuel Cell Programme yesterday reached a significant milestone in its development of solid oxide fuel cell (SOFC) technology. The first Wärtsilä WFC20 fuel cell, a 20 kWe alpha-prototype, was warmed up for the first time in the Wärtsilä Fuel Cell Laboratory in Espoo, Finland. A small starting ceremony was held to celebrate this event which is seen as a concrete advance in the development of Wärtsilä fuel cell systems. After the unit has reached its operating temperature of 750ºC it will start generating electricity. During the past year that the WFC20 unit has been manufactured, various subsystems such as fuel reformer, automation and control systems have been tested and verified. Now the Wärtsilä fuel cell development programme has finally reached this important milestone where stacks are installed and the first prototype is ready for operation. The unit will be operated at the Wärtsilä Fuel Cell Laboratory in Espoo, and will provide electricity and heat to the power and heat grids respectively. The WFC20 alpha-prototype developed by Wärtsilä is the first SOFC power unit ever build in Finland and globally one of the first units based on planar SOFC technology in the given power range. Wärtsilä has been developing fuel cell technology for decentralized power generation and marine applications since the year 2000. In 2004, Wärtsilä started the operation of a 5 kW SOFC test system which provided results as a reference point for the WFC20 alpha-prototype. The WFC20 alpha-prototype is an integrated power unit that uses natural gas as fuel. The cell and stack technology used in the unit is based on the planar SOFC technology developed by Wärtsilä's long-term collaboration partner, Topsøe Fuel Cell A/S (TOFC). TOFC is a fully-owned subsidiary of Haldor Topsøe A/S and one of the leading SOFC technology companies fully dedicated to development, manufacturing and marketing of solid oxide fuel cell technology. For reaching this important milestone Wärtsilä fuel cell development team acknowledges its closest development partners Topsøe Fuel Cell A/S and Technical Research Centre of Finland (VTT). • Wärtsilä wins order for complete propulsion package from Vietnam Wärtsilä received an order for a propulsion package from Vietnam in September 2007. The contract was awarded by the Ben Kien Shipyard in Haiphong and involves the supply of a propulsion package for a 564 TEU multi-purpose carrier to be built for Hai Duong Shipbuilding & Shipping Company, both companies being subsidiaries of Vietnam Shipbuilding Industry Corporation (Vinashin Group). The vessel, designed by Marine Design & Research Institute of China, has a length of 115.0 m, and a moulded breadth of 20.8 m. The Wärtsilä propulsion package will comprise an eight-cylinder Wärtsilä 38 diesel engine, 4.40 m-diameter four-bladed controllable-pitch (CP) propeller, shafting, reduction gearbox, stern tube and shaft seals. The Wärtsilä CP propeller will be equipped with a Lipstronic 7000 pitch control system, while the overall engine control will be provided by a Wärtsilä Unified Controls (UNIC) C-2 system. The main engine will develop a maximum continuous power of 5800 kW at 600 rpm. The propulsion package will be delivered to the shipyard in January 2009. It marks a continued success for Wärtsilä penetrating into a very potential market in Vietnam, especially for container, offshore and other merchant vessels. Wärtsilä has had a permanent presence in Vietnam since 1994 when it set up a representative office in Ho Chi Minh City. In 1998 Wärtsilä obtained a business licence to operate as a 100% foreign-owned service company and founded Wärtsilä Vietnam Co Ltd. In spring this year Wärtsilä opened a new branch office in Hanoi and a fully-equipped service workshop close to Saigon port in Ho Chi Minh City. Also in spring this year Wärtsilä and Vinashin signed a licence agreement covering Wärtsilä low-speed engines up to 820 mm bore. These are suitable for a wide range of vessels, from handysize bulk carriers to VLCC-size tankers. The agreement marks a major step for Wärtsilä becoming a part of the shipbuilding industry in Vietnam. The company in Vietnam is actively involved in the promotion of Wärtsilä marine power and propulsion systems and land based power plants. Full after-sales support is provided for the complete range of products.