Re Contract

RNS Number:7592H
Kvaerner PLC
31 July 2001

Kvaerner secures US$50 million pulp mill expansion contract in Brazil

LONDON, 31 JULY 2001: Kvaerner, the Anglo-Norwegian engineering and
construction Group, today announced that it has secured a US$50 million
engineering, procurement and construction contract from Ripasa in Brazil. 
Kvaerner is to undertake a major expansion of the existing mill for Ripasa, a
large paper producer in Brazil.  The work includes a new bleach plant, a new
evaporation plant - together with an upgrade of the recausticizing plant - to
handle 750 tons per day of bleached pulp.

Per-Ake Farnstrand, President of Kvaerner Pulping, Fiberline Division,
commented: "With this significant order we have further consolidated our
position as the largest EPC supplier for the Brazilian Pulp & Paper Industry. 
Kvaerner's state-of-the-art technology, combined with its competence and
competitive solutions have been the key factors for our success in Brazil." 
The project will be undertaken by Kvaerner in Brazil - with Kvaerner Pulping
in Sweden responsible for the supply of core machinery and engineering
support.  

The Brazilian market has been very active in the pulp and paper sector and
Kvaerner has secured contracts worth more than US$200 million since November
2000 in the country. 


For further information : 

Per-Ake Farnstrand, President, Kvaerner Pulping AB, Fiberline Division: +46 
54 - 19 46 14  or Aristides Labigalini, President, Kvaerner do Brasil Ltda.: 
+55 41 - 341 4501, [e-mail] or Paul Emberley, Vice
President, Group Communications, Kvaerner PLC: [phone] or +44
(0)7768 813090 or [e-mail] or click on the Group web-site at
http://www.kvaerner.com 

Note to editors: Kvaerner is a world-class Anglo-Norwegian engineering and
construction group with the capability and resources to undertake the world's
most challenging projects.  Today's Kvaerner is an industrial technology
provider.  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 organised in two core business areas: E&C (Engineering and
Construction), and Oil & Gas.  Other activities currently also include
shipbuilding and pulping equipment.  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, Asia and the Americas.