FORTUM SELLS ITS OMANI ASSETS FOR 180 MILLION EURO

Fortum has signed an agreement to sell its 35% interest in the Suneinah concession, Block 9, and associated gas exploration and production rights in Oman to Mitsui & Co. Ltd. (MITSUI) and its associated company Mitsui Oil Exploration Co. Ltd. (MOECO). The sale is a result of Fortum´s decision to focus on the Nordic energy market and to divest non-core assets.

 

Fortum expects to realize sales proceeds from the transaction exceeding 180 million euro (including net working capital) and to gain a net book profit of about 70 million euro.

 

Mitsui and Moeco are acquiring all of the shares of Fortum (E&P) B.V., a wholly owned subsidiary of Fortum Oil and Gas Oy, effective 31 December 2001. The transaction establishes Mitsui and Moeco with a strategic interest in a long term Omani oil producing property.

 

The transaction is expected to be completed during the second quarter, pursuant to Omani government approval.

 

Fortum Corporation

 

 

Carola Teir-Lehtinen

Senior Vice President, Corporate Communications

 

Distribution:

Helsinki Exchanges

Key media

 

 

For further information, please contact:

Mr Hans Kristian Röd, President, Exploration and Production Unit,

tel. +47 67 118 955 or +47 90 118 612
Mr Veli-Matti Ropponen, President, Oil Sector, tel. +358 10 452 4115 or +358 50 452 4115