Letter of intent regarding the future ownership of power plants in Western Norway

25 Jan, 2013

(Bergen/Oslo 25 January 2013) Bergenshalvøens Kommunale Kraftselskap AS (BKK), Statkraft AS, Haugaland Kraft AS, Sunnhordland Kraftlag AS and Sognekraft AS have signed a letter of intent to make changes in the ownership structure of BKK and power plants in Western Norway.

The parties will work to implement a transaction that will entail swapping substantial assets.

Today, a letter of intent was signed which forms the basis for commencing negotiations on a transaction which will contribute to streamline ownership structures and facilitate closer industrial cooperation between power companies in Western Norway. The transaction will, if completed, entail that power companies in Western Norway owned by local authorities and county authorities will acquire shares in BKK and increase their ownership in hydropower production in Western Norway.  This will also entail that Statkraft ceases to be a shareholder in BKK.

The parties emphasise that such a transaction will facilitate sound industrial and financial development and growth for BKK, while ensuring public-sector control and regional connection and management of BKK.

BKK is one of Norway's largest companies within generation, wholesale trading and transport of electricity. BKK is currently owned by Statkraft with 49.9%, Bergen municipality with 37.75% and 16 other rural municipalities with the remaining 12.35%.

For more detailed information:

Tonny Nundal, Executive Vice President Communication. Tel.: +47 90 59 58 45

Knut Fjerdingstad, Press spokesperson. Tel.: +47 24 06 71 61 / +47 90 18 63 10

Sunnhordland Kraftlag:
Magne Heimvik, CEO. Tel.: +47 97 55 60 65

Haugaland Kraft:
Olav Linga, Managing Director. Tel.: +47 91 16 13 24

Terje Bakke Nævdal, Managing Director tel.: +47 91 18 10 56

This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.