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2016-03-04

Rottneros: Rottneros invests 98 million in fossil-free energy

Rottneros’ Board of Directors has granted Rottneros Mill to invest SEK 98
million in a new energy and emission efficient biomass boiler. It will
replace fossil oil as the energy source used to dry pulp in the mills flash
dryers. The investment will also lead to large parts of the mill’s energy
system being rebuilt, which will increase energy efficiency significantly.
The detailed planning work has begun and the new biofuel boiler will be
completed and put into use around mid-2017.

Rottneros Mill produces two different kinds of high yield pulp for paper
producers, CTMP and groundwood pulp, and has for many years used oil to dry
the pulp. When the new biomass boiler is completed, the biomass will replace
all oil used today, and the mill's energy consumption will thus be entirely
fossil-free. The new biomass boiler has an effect around 18MW and will
replace an older biomass boiler. Supplier of the new boiler will be selected
in the near future.

When we’re now investing in a new biofuel boiler, we will also optimize and
rebuild our energy system at the mill. It will result in significant energy
efficiency improvements and environmental benefits in terms of lower emission
levels. The extents of the savings are at least SEK 25 million per year, says
Olle Dahlin, CEO of Rottneros Mill.

The capacity-increasing investments Rottneros Mill has previously been
granted, within the framework of the Group's strategic development and action
plan Agenda 500, in combination with the new biofuel boiler will solidify
Rottneros Mill’s position as a world class manufacturer of CTMP and
groundwood, says Per Lundeen, President and CEO of Rottneros AB.

________________________________________________________________________________________

For further information, please contact:

Olle Dahlin, CEO of Rottneros Bruk AB, +46 703 66 73 00

________________________________________________________________________________________

Rottneros discloses the information provided herein pursuant to the Securities
Markets Act and/or the Financial Instruments Trading Act. The Information was
submitted for publication on 4 March 2016 at 08:30 CET.

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