Aker Kvaerner to upgrade yet another Brazilian pulp mill

- Once again proof that we are successful in our ambition to offer innovative solutions that improve our customer's products, productivity and profitability, says Per-Åke Färnstrand, President, Kvaerner Pulping.

The modernisation, that will lead to environmental benefits through reduced chemical consumption, includes retrofits in the cooking plant and a new atmospheric diffuser for brown stock washing, as well as upgrades of the recausticizing and evaporation plants, the latter to be supplied by Kvaerner Power AB.

Through the modernisation Klabin S/A, the leading Brazilian company in the integrated production of market pulp, paper and packaging paper products, will increase the manufacturing capacity from the existing 1450 to 1700 tons/day unbleached eucalyptus/pine pulp.

The Aker Kvaerner delivery is on an EPC basis and the expansion project will be completed by the end of 2004.

For further information, please contact:

Anders Thorén, Communications Manager, Kvaerner Pulping: Tel: +46 (0)54 19 47 66 or +46(0)703 55 64 22
Terttu Tuominen, Communications Manager, Kvaerner Power: Tel : +358 (0)20 141 2440 or +358 (0)40 501 1415

Investor relations:
Tore Langballe, Vice President, Aker Kvaerner, Group Comms. Tel: +47 67 51 31 06
Aker Kværner ASA
is through its subsidiaries and affiliates ("Aker Kvaerner") a leading global provider of engineering and construction services, technology products and integrated solutions. The business within Aker Kvaerner spans a number of industries, including Oil & Gas production, Refining & Chemicals, Pharmaceuticals & Biotechnology, Mining & Metals, Power, Pulping and Shipbuilding. Aker Kvaerner has aggregated annual revenues of approximately USD 6 billion and employs around 29,000 employees in more than 30 countries. The Aker Kvaerner group consists of many legally independent entities, constituting their own separate identities. Aker Kvaerner is used as the common brand or trademark for most of these entities.
E&C Europe
specialises in the provision of process technology, engineering studies (including bankable feasibility and environmental studies), total project management, engineering and design, procurement, construction, commissioning and maintenance services. With nearly 5,000 people based largely from Europe, E&CEurope serves a number of industrial sectors: refining and petrochemicals, pharmaceuticals & biotechnology, onshore oil & gas, power generation, chemical pulping, nuclear, water, and mining and metals.
Kvaerner Pulping
is a leading supplier of machines, process systems and service for the chemical pulp industry world-wide. The products are used for continuous cooking, washing, oxygen delignification, bleaching and recausticizing plants. Kvaerner Pulping aims to improve customers' products, productivity and profitability through innovative technical solutions and strong commitments. Kvaerner Pulping, headquartered in Karlstad, Sweden, has annual revenues of approximately USD 175 million and employs more than 600 employees in 13 countries.
Kvaerner Power
is the leading chemical recovery equipment supplier in the world with its 300 recovery boilers and 300 evaporation unit deliveries. With the trend towards bigger pulp mills, recovery boiler capacities have increased in the past forty years. Kvaerner Power has designed and manufactured the world's largest recovery units. Kvaerner Power is also a pioneer in large scale fluidized bed combustion for pulp and paper industry and power producers. Approximately 200 boilers in operation testify to the expertise in fluidized bed technology with demanding fuels. Kvaerner Power has annual revenues of approximately EUR 350 million and it employs 1300 people world-wide.

This press release may include forward-looking information or statements and is subject to our disclaimer, see our web-pages www.akerkvaerner.com