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Wärtsilä Orders Propulsion Systems

Maritime Activity Reports, Inc.

May 3, 2007

Wärtsilä Corporation is gaining an increasing volume of business from Vietnam for ship propulsion systems. The latest contract to be awarded in April by Vietnam Shipbuilding Industry Corporation (Vinashin) is for propulsion systems to be installed in five chemical tankers to be built for Iason Hellenic Shipping Co Ltd, Greece, at the Pha Rung shipyard in Haiphong. The equipment will be delivered during 2008-2010. Each vessel will be equipped by Wärtsilä with a five-bladed fixed-pitch propeller of 4.30m diameter, shafting, stern-tube including seals and bearings and an intermediate shaft bearing.

A greater scope of supply will be delivered by Wärtsilä to Vinashin for eight car carriers to be built for Ray Car Carriers Ltd, Israel. For each vessel, Wärtsilä will deliver a five-bladed Wärtsilä fixed-pitch propeller of 6.45m diameter, together with shafting, stern-tube seals, shaft bearings and two Wärtsilä transverse thrusters with capacities of 1000kW each. The contract for these propulsion systems was signed at the beginning of the year. The car carriers will each have a capacity of 4900 cars and the car decks will have a total area of about 41,000m2. The car carriers will have an overall length of 185.60m, a beam of 32.26m and design draught of 8.40m. The ships will be delivered from September 2008 onwards. First propeller order in Vietnam Wärtsilä's first order for fixed-pitch propellers from Vietnam was awarded in November 2006. It was for 5.6 m-diameter propellers to be fitted to a series of five Diamond 34K bulk carriers under construction at Vinashin's Pha Rung shipyard for the UK-based shipowner Graig Group. The propellers will be delivered complete with shafting and Wärtsilä's JMT Sternguard type seals. Graig Group will receive the first vessel in November 2007.

Wärtsilä's fixed-pitch propellers are custom designed and made for each application. They vary in diameter from 1m to 12m and from several hundred kilogrammes to more than 100 tonnes. Given the complex geometry of modern propellers, the casting process is monitored from start to finish, ensuring high-quality castings. Wärtsilä's patented Cunial material provides excellent casing, machining and fatigue properties with optimum efficiency and reduced noise and vibration levels. In addition, Wärtsilä offers a worldwide service network that ensures reliable and efficient support and the quickest possible solution to any propulsion problem during the full operational lifetime of the vessel. Wärtsilä low-speed engines Wärtsilä is also delivering low-speed main engines to Vinashin for installation in ships contracted at its shipyards. During 2006, orders were received for 6-cylinder Wärtsilä RT-flex50 common-rail low-speed engines for a series of three 56,000 dwt handymax bulk carriers to be built at the Nam Trieu shipyard for Dutch owners. In addition Vinashin ordered 6-cylinder Wärtsilä RTA62U-B low-speed engines for a series of four 1700 TEU container vessels contracted by Vietnamese owners. Wärtsilä set up a representative office in Ho Chi Minh City in 1994 and a business licence was obtained to operate a 100% foreign-owned service company in 1998. Wärtsilä Vietnam Co Ltd has a fully equipped workshop for overhauling diesel engine components which enjoys complete access to the resources and support of Wärtsilä Singapore as well as the Group. In Vietnam, Wärtsilä actively develops and sells land-based power plants and marine propulsion systems. Full after-sales support is provided for the complete range of propulsion products.

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