The deal targets the expanding market for compressed natural gas and biomethane, which currently serve as critical alternatives for public transport decarbonization. Hexagon Agility expects the partnership to generate approximately EUR 20 million in revenue during the 2026 fiscal year. Production of the required Type 4 cylinders will take place at the company’s facility in Kassel, Germany, with the first shipments scheduled for the third quarter of 2026.

Eric Bippus, Chief Commercial Officer at Hexagon Agility, noted that the collaboration allows transit fleets to achieve immediate emissions reductions while managing operating costs. As public transport authorities navigate region-specific energy transitions, CNG and its renewable counterpart remain scalable solutions, particularly in European markets where they accounted for significant shares of new city bus registrations in 2025.