Norske Skog Skogn enters into a new long-term energy contract with Statkraft

09.11.2022

Norske Skog Skogn and Statkraft have entered into a new long-term industrial energy agreement, which together with previous contracts, will secure large parts of the mill's energy supply on competitive terms until 2030.

- This agreement will give the Skogn mill stable energy supply at predictable and acceptable prices. The agreement contributes to secure jobs and the long-term competitiveness of Skogn. At the same time, this is important for the forest sector in Central Norway, says Sven Ombudstvedt, CEO of Norske Skog and chairman of Norske Skog Skogn AS.

The agreement was signed by the CEO Sven Ombudstvedt and EVP Markets in Statkraft Hallvard Granheim in a ceremony at Statkraft Headquarter in Lysaker, Oslo.

Previously, Norske Skog Skogn had an energy contract with Statkraft corresponding to annual deliveries of around 0.9 TWh, which expires at the end of 2026. With the new energy contract, Norske Skog Skogn will secure almost the entire energy demand up to 31 December  2028, as well as parts of the demand until 2030. The new agreement with Statkraft will ensure the delivery of a total of 2.9 TWh over the contract period, and will enter into effect on 1 January 2024. To reduce currency exposure, the agreement has been entered into in euros. With this, the Norske Skog group is well covered with energy agreements in Norway.

- We are pleased to conclude another contract with the industry, which confirms that Statkraft offers competitive terms and is still a preferred supplier of energy to Norwegian industry, says Hallvard Granheim, Executive Vice President for Markets at Statkraft.