Westport Innovations Inc., an important supplier of alternative fuel, low-emissions transportation technologies, announced that Volvo Powertrain, a subsidiary of Volvo AB, and Westport have signed an agreement to develop biogas- and natural gas-fuelled engine products for Volvo.

Westport will arrange for or supply the gas-related components within this agreement. Natural gas and biogas are quickly becoming the alternative fuel of choice for commercial vehicles like buses, this development will lead to a new generation of clean, low-emission engines from Volvo.

The current natural gas engine development program will result in an engine that will meet future emission requirements and be commercialized according to a mutually agreed timeline. Westport will also be working directly with the Volvo AB brands to help identify market development opportunities and assist in the infrastructure build-out of biogas and natural gas where needed.

Westport originally entered into an agreement with Volvo in November, 2009, concerning among others the Westport HD System, comprised of the GX engine and LNG system for heavy-duty vehicles, offers minimal emissions and allows fleets to move to lower-cost, domestically available natural gas. Cummins Westport Inc., Westport's joint venture with Cummins Inc., manufactures and sells a broad range of low-emissions alternative fuel engines for commercial transportation applications such as trucks and buses. BTIC Westport Inc., Westport's joint venture with Beijing Tianhai Industry Co. Ltd., manufactures and sells LNG fuel tanks for vehicles. Westport's joint venture with Weichai Power focuses on the development and commercialization of Weichai engines with Westport HD systems. Westport's Juniper Engines Inc. offers liquefied petroleum gas (LPG) and natural gas engine solutions for light-duty applications.