Stora Enso Secures EUR 65 Million Loan for Polish Mill Power Plant

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Stora Enso, Helsinki, Finland, reported this week that it has signed an agreement with the European Investment Bank (EIB) for a EUR 65 million loan to be used for the Ostroleka power plant construction project in Poland. The loan agreement is part of the commitment by EIB to lend altogether EUR 230 million to Stora Enso for research and development and the Ostroleka power plant project.

"We have a long and good relationship with EIB and we are delighted that through this agreement EIB is supporting our power plant project to improve the Ostroleka Mill's energy self-sufficiency and energy efficiency. Along with the Langerbrugge and Maxau energy investments, the Ostroleka power plant is one of our biggest cost improvement investments this year at our existing mills in Europe. The terms of the loan are very competitive," says Stora Enso CFO Markus Rauramo.

The Ostroleka power plant, to be completed in the third quarter, will further improve the cost competitiveness of Stora Enso's operations in Poland. As announced in November 2008, the total investment in the Ostroleka power plant is estimated at EUR 137 million.