) recently completed the NGV2-2007 certification process - the
American National Standards Institute code and specification for
CNG (compressed natural gas) vehicle cylinders for its first CNG
tank. The 21.5 x 60 inch tank, designed for corporate fleet
vehicles, offers greater capacity and is affordable compared to
other similar tanks.
3M has collaborated with
Chesapeake Energy Corporation
) to design, manufacture and market a portfolio of CNG tanks
across the transportation market in the U.S. At present,
Chesapeake is converting its fleet of nearly 5,000 vehicles to
run on CNG and is expected to emerge as one of the first end
users of the new CNG tank for its fleet.
This new tank will be cost effective and provide more range
and payload capacity for vehicles. This partnership signals the
growing strength of the natural gas transportation market.
CHESAPEAKE ENGY (CHK): Free Stock Analysis
FED SIGNAL CP (FSS): Free Stock Analysis
3M CO (MMM): Free Stock Analysis Report
TYCO INTL LTD (TYC): Free Stock Analysis
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For a CNG vehicle, fuel cost has been a perennial concern. It has
taken a toll on the business and consumers and has brought about
the need for alternative options to meet the growing demands of
transportation. 3M's tank would enable the companies to take
advantage of the benefits of natural gas as a transportation
3M together with its subsidiaries operates as a diversified
technology company with manufacturing operations spread over 70
countries worldwide. It has more than 35 business units organized
into six segments: Consumer and Office, Display and Graphics,
Electro and Communications, Healthcare, Industrial and
Transportation, Safety, Security and Protection Services. The
company remains focused on inventing new products, with its
scientists and innovators enjoying a competitive advantage
However, the company needs to be wary of tough competition from
other players in the industry such as
Federal Signal Corp
Tyco International Ltd
). 3M currently has a Zacks Rank #3 (Hold).