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Metso to supply a bio oil production plant to Fortum power plant in Joensuu, Finland

March 7, 2012 - HELSINKI, FINLAND

Metso Corporation's press release on March 7, 2012 at 3:30 p.m. local time

A demonstration plant enables bio oil production from forest residue

Metso and Fortum Power and Heat have signed a contract regarding a deliveryof abio-oil production plant and a related automation system to the Fortumpowerplant in Joensuu, Finland. The delivery involves a demonstration plant, inwhichbio-oil is produced from forest residue and other biomasses. The bio-oilproduced in the plant can be used instead of heavy fuel oil, and it may beusedas raw material in the chemical industry and biodiesel production in thefuture.

The nominal output of the plant will be 30 MW oil production and theplannedannual production will be 50,000 tons. The annual production will equal to210GWh of energy, which corresponds to the yearly heating consumption of morethan10,000 private houses. In its process, the production plant will utilize225,000 solid cubic meters of forest residue and sawdust a year. Theintegrationof bio-oil production into the power plant process enables the utilizationofthe side product from the production process in the generation ofelectricityand district heating. The utilization of bio-oil produced at the Joensuuplanthelps reduce carbon dioxide emissions by 59,000 tons a year.

"Metso actively researches and develops new technologies, which supportsustainable development in power generation. Demonstration ventures of thistypeare important for the commercialization of new products. In this delivery,abio-oil production plant is integrated profitably to a fluidized bedboiler, inwhich the uncondensed gases and coke generated in the pyrolysis can becombusted", says Kai Mäenpää, Vice President, Metso Powerbusiness line.

Bio-oil will be produced by means of pyrolysis. In this process, wood-basedbiomass is quickly heated up to approximately 500°C, a temperature atwhich thebiomass is vaporized to gases, which are condensed to bio-oil when cooled.Metsohas developed the pyrolysis technology in collaboration with VTT (TechnicalResearch Centre of Finland), Fortum and UPM since 2007. The developmentwork isbased on the basic research and patents of VTT.

Metso will deliver the plant to Fortum as a turnkey delivery. The scopeincludesfoundations and building work, necessary production equipment, a Metso DNAautomation system, and electrification. This demonstration venture willtest andfurther develop integrated pyrolysis technology and the control solutionsof theMetso DNA system, which will be utilized in the pyrolysis processes oflarger-scale power plants in the future.

The new bio-oil production plant is scheduled for start-up in the autumn of2013. The value of the order has not been disclosed, and the order isincludedin Pulp, Paper and Power's first quarter orders received.

Fortum's activities cover the generation, distribution and sales ofelectricityand heat as well as related expert services. The group employsapproximately10,800 people.

Metso is a global supplier of technology and services to customers in theprocess industries, including mining, construction, pulp and paper, power,andoil and gas. Our 30,000 professionals based in over 50 countries deliversustainability and profitability to customers worldwide. Expect results. ,

This announcement is distributed by Thomson Reuters on behalf ofThomson Reuters clients. The owner of this announcement warrants that:(i) the releases contained herein are protected by copyright and other applicable laws; and(ii) they are solely responsible for the content, accuracy and originality of the information contained therein.

Source: Metso Corporation via Thomson Reuters ONE


For further information, please contact:

Kai Maenpaa
Vice President, EMEA, Power business line, Metso
tel. +358 40 556 5666


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