Outotec and Eesti Energia to establish a Joint Venture for development of oil shale processing

OUTOTEC OYJ STOCK EXCHANGE RELEASE, NOVEMBER 3, 2008 AT 9.00 AM

Outotec and Eesti Energia to establish a Joint Venture for
development of oil shale processing

Outotec and Eesti Energia have agreed to form a joint company for the
development and marketing of sustainable, energy-efficient and
economically viable oil shale processing methods. Eesti Energia will
have a majority 60% stake and Outotec the remaining 40% stake in the
new company, which aims to become a significant supplier of oil shale
technology solutions, combining Eesti Energia's experience in oil
shale mining and processing and Outotec's expertise in circulating
fluid bed (CFB) technologies. This agreement supports Outotec's
growth strategy as well as Eesti Energia's liquid fuels production
strategy.

The joint company aims to improve the existing technologies for
producing raw shale oil, to exploit the improved technology in
commercial production plants in Narva, Estonia, and to commercialize
the technology for use on oil shale deposits worldwide. The decision
for the construction of the first oil production plant in Narva based
on improved technology is aimed to be made in May 2009.

Outotec has tested the CFB technology with oil shale in its Research
Center in Frankfurt during the summer of 2008. Besides oil shales and
oil sands, the technology can also be used in the recycling of
hydrocarbon containing materials such as waste plastics and old
tires."Eesti Energia has accumulated unparalleled experience in the fields
of oil shale mining, processing and oil shale based power generation.
This joint venture will help us to start a new era in upgrading the
production process and to meet today's environmental requirements",
comments Sandor Liive, CEO of Eesti Energia and continues: "According
to the BP Statistical Review of World Energy 2007, estimates of
recoverable oil shale reserves are several times as much as the
current proved conventional oil reserves on the earth. We are
confident that the new technology developed in cooperation with
Outotec will be producing a very significant proportion of
non-conventional oil produced in the coming years.""Because of tightening energy supply the world is looking for
alternative oil sources. A significant source of oil is oil shale.
Developing sustainable technologies for the oil shale industry is an
important mission. There are large oil shale deposits for example in
the USA, Brazil, China, Jordan, Russia and Estonia. We see that the
new joint company has a lot of business opportunities with our CFB
technology in the oil shale industry. Furthermore, this business
shows that the technologies originally developed for the mining and
metallurgical industry can be applied in other process industries",
explains Outotec's CEO Tapani Järvinen.

Eesti Energia is the leading energy utility in the Baltic States as
well as the biggest oil shale utilizing company worldwide, engaged in
the production of oil and power, as well as in sale and delivery of
electricity and heat to consumers. Besides the oil and power plants
the company owns oil shale mines and quarries. www.energia.ee

Outotec is a worldwide technology leader in minerals and metals
processing, providing innovative and environmentally sound solutions
for a wide variety of customers in minerals processing, iron and
steel, aluminum and non-ferrous metals industries. Outotec Oyj is
listed on the Nasdaq OMX Helsinki. www.outotec.com

For further information please contact:

OUTOTEC OYJ

Peter Weber, President - Metals Processing division
tel. +49 6171 9693 165
e-mail peter.weber(at)outotec.com

Eila Paatela, Vice President - Corporate Communications
tel. +358 20 529 2004, +358 400 817 198
e-mail eila.paatela(at)outotec.com
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