Statkraft signs new power contract with Eramet in Sauda and Porsgrunn

04.07.2006 08.00 | pressrelease

Statkraft Energi AS and Eramet Norway AS have today entered into a long-term agreement to supply electrical power from 2011 up until 2020. The amount of electrical power supplied, approximately 9 TWh over the entire contract period, will cover the lion’s share of consumption at Eramet’s smelting plants in Sauda and Porsgrunn. At the same time, Eramet is terminating its statutory power agreements in Porsgrunn and in Sauda, focusing instead on a commercial solution in collaboration with Statkraft.

“We are pleased to have in place a new, market-based power agreement for Eramet’s industrial operations in Norway," says Executive Vice President Jørgen Kildahl. He stresses that the agreement will provide Eramet with predictability in terms of its power expenditure up until 2020 and will meet the company’s needs more expediently than the old agreements.

“We are also positive to the fact that the power volumes in the statutory agreements that are now being terminated will continue to be used for industrial operations in Sauda and Porsgrunn, though now as part of a commercial solution," says Kildahl.

Statkraft is Europe’s second largest company within renewable energy. We produce hydropower and wind power, we build gas-fired power plants and we focus on innovation with a clear ambition to deliver the energy solutions for the future. We are a considerable actor on the European Power Exchanges, with special expertise within physical and financial power trading. For 2005 we had a total balance sheet of about 11 billion Euros. We control power from 156 power plants. More than 2000 employees in Norway, Sweden, Finland, Germany, the Netherlands and Great Britain create value every day. Together we strive to be a European leader in environment-friendly energy.