Re Agreement

RNS Number:1400M
Kvaerner ASA
25 October 2001


Kvaerner to sell Division of Pulp & Paper activities

LONDON, 25 OCTOBER 2001: Kvaerner, the Anglo-Norwegian engineering and
construction Group, today announced that it has reached an agreement to sell
the Recycling and Dewatering activities of Kvaerner Pulp & Paper to Voith
Paper HoldingGmbH of Germany.   The net cash consideration for the sale
amounts to NOK 50 million.  

Headquartered in Tranby, Norway, with a total staff of approximately 60
employees, the Recycling and Dewatering Division of Kvaerner Pulp & Paper also
has operations in the USA and Canada. The unit is world leader in the supply
of dewatering machinery such as screw presses and disc filters for the pulp
and paper industry.  Annual revenues of the activities sold is about NOK 250
million. 

The products, the technology and the know how of the Recycling and Dewatering
Division complement well the product line of Voith Paper's Fibre Systems
Division. Voith Paper can  now offer complete integrated fibre preparation
processes, including dewatering units.

The completion of the transaction is expected by the year-end.   The
transaction is subject to any necessary governmental approvals.
For Kvaerner, the accounting position upon conclusion of the transaction is
expected to give a small profit.

Voith Paper and Kvaerner's Fiberline Division are also investigating further
co-operation possibilities within the Pulp and Paper business.


For further information: 
Paul Emberley, Vice President, Group Communications, Kvaerner PLC: +44 (0)20
7339 1035 or [phone] or [e-mail] 

Note to editors:
Kvaerner is a world-class Anglo-Norwegian engineering and construction Group. 
It meets the needs of its customers by adding value to their business -
through the provision of innovative, cost-effective solutions - for challenges
in the hydrocarbons, process and metals industries.  The Group's activities
are currently organised in two core business areas: E&C (Engineering and
Construction), and Oil & Gas.  Kvaerner is a Norwegian registered business,
but has a London, UK-based international headquarters.  The Group has annual
revenues in excess of US$6 billion, with some 35,000 permanent staff located
in almost 35 countries throughout Europe, Africa, Asia and the Americas.