The Linde Group and Russia’s Power Machines PJSC have set up a joint venture (JV) to produce equipment for natural gas liquefaction plants and equipment.
The partner companies hold equal shares in the JV at 50% each. Under the partnership, Tier One player Linde will develop and supply relevant technology and Power Machines will ensure the localisation of equipment manufacturing.
The Russian-German collaboration will focus on the localisation of world-class, high-tech products in the Eastern Europe country and plans to support its rapidly growing liquefied natural gas (LNG) market.
Initially, the JV will focus on manufacturing coil-wound heat exchangers. Production will take place at Power Machine’s facility in St Petersburg.
The first products of the venture are intended for Gazprom PJSC’s Amur gas processing plant. When completed, Amur it will be one of the largest plants in the world, producing up to 49 billion m3 of natural gas per year.
The companies first initiated cooperation in June when they signed an agreement of intent. The JV is also evaluating the possibility of establishing another natural gas liquefaction and processing equipment production facility in Russia.