Hafslund has entered a long term agreement with Borregaard, part of the listed Orkla ASA, regarding delivery of heat over 15 years to their process plant in Sarpsborg. In relation to this, Hafslund will build, operate and own an energy recovery plant for production of heat and electricity. The plant will be based mainly on renewable fuel (waste) and is conditional upon subsidy from Enova (www.enova.no).

 

The plant will produce about 230,000 MWh, mainly heat and some electricity. The investment is expected to equal about NOK 450 million. The plant is planned to start production during the first half of 2010.

Hafslund ASA

 

Oslo, 29 June 2007

 

For further information:

 

Group Senior Vice President, Heat & Infrastructure, Per Kristian Olsen, tel. +47 91 82 77 09

 

Vice President Investor Relations, Heidi Ulmo, tel. +47 90 91 93 25