Andritz AG

Disclosure announcement after § 15 WpHG
Andritz AG
Andritz to deliver new high-efficiency recovery boilers to mills in Sweden and the USA

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Graz, 19 October 2004.  International technology group Andritz was selected to supply new recovery boilers to SCA in Sweden and Weyerhaeuser in the United States. Total value of the orders is approx. EUR 130 million.

SCA, Östrand Mill The recovery boiler for SCA in Sweden will be installed at the Östrand Mill.  Following SCA's stated long-term strategy to reduce energy costs and to improve the self-sufficiency of energy supply, SCA decided to purchase the high-efficiency recovery boiler from Andritz.  The concept and features of the new recovery boiler supplied by Andritz fully met SCA’s targets to further reduce emissions and to maximize electricity production.  

The high-temperature / high-pressure design concept was established in Nordic countries with the successful start-up of the world's largest recovery boiler at UPM Kymmene in Finland.  The Östrand recovery boiler is designed for 515° C and 105 bar and incorporates proven Andritz solutions to maximize steam production.  Initially, the boiler will have a capacity of 3,300 tds/d.  The design allows for easy expansion to 4,400 tds/d in the future and all auxiliaries are being supplied to accommodate this capacity.  The boiler is scheduled to start-up in October 2006 and makes it possible to double the power (electricity) production at the mill.

Parallel with SCA's drive to cut energy costs is a focus on increasing the production of environmentally friendly “green” energy from renewable resources.  Under the Kyoto Accord, which takes effect in 2008, carbon dioxide quotas are assigned to countries and to industrial enterprises based on their historical emission levels and can be freely traded.  The European Union has committed itself to increase the share of renewable energy from biomass.  

In chemical pulping, the wood is converted to fibers used in the papermaking and to dissolved wood (green fuel) used for energy production in the recovery boiler. Andritz technologies maximize electricity production in this process.

Weyerhaeuser, Valliant, OK Mill Another high-efficiency recovery boiler will be delivered to Weyerhaeuser Company for its Valliant, Oklahoma mill in the USA.  The order was initiated this summer with an engineering contract, and the equipment delivery portion is now confirmed.  The delivery includes a 6,300,000 lbds/d (2,860 tds/d) recovery boiler, which will be erected by Weyerhaeuser with Andritz erection supervision.  The recovery boiler will significantly reduce emissions and is designed for 1,500 psig (103 bar) and 925° F (496° C) and will replace an existing boiler installed in the 1970's. Start-up of the new boiler is scheduled for August 2006.

About the Andritz Group Publicly listed Andritz Group is a global market leader for advanced production systems for pulp and paper, steel and other specialized industries.  As of June 30, 2004, Andritz had a staff of 4,885 employees worldwide.  It develops and makes its high-tech systems at 16 production sites (Austria, Germany, Finland, Denmark, France, Netherlands, USA, Canada, and China).

end of announcement                                euro adhoc 19.10.2004 07:28:00
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Further inquiry note: Michael Buchbauer Head of Investor Relations Tel.: +43 316 6902 2979 Fax: +43 316 6902 465 mailto:michael.buchbauer@andritz.com

Branche: Machine Manufacturing
ISIN:      AT0000730007
WKN:        
Index:    WBI, ATX Prime, ATX
Börsen:  Wiener Börse AG / official dealing



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