Fortum's and Metso's joint development work on oxyfuel combustion technology makes headway

Fortum Oyj
Press release
16 May 2011

In a joint R&D project, Fortum and Metso have developed oxyfuel combustion
technology that aims to reduce the CO2 emissions of power plants. In 2010,
Metso's 4-MW test plant in Tampere, Finland, was modified for oxyfuel
combustion, resulting in the biggest known oxyfuel combustion process based on
circulating fluidized bed technology in the world. Circulating fluidized bed
boilers can be operated with a wide range of fuel types, such as coal, biomass
and a mixture of fuels. The pilot has come to an end and the results of the
project will be evaluated during 2011.

The joint project between Fortum and Metso involves research into switching
over from air combustion to oxygen combustion. In oxyfuel combustion, the flue
gas consists of almost clean water vapor and CO2, which can be captured. Adding
a carbon dioxide recovery system to a biomass-fired power plant creates a
carbon sink that abates climate change.

During the project, an international research cooperation network was
established. Without such a network, it would be impossible to realize a
project of this kind, which require extensive know-how. In addition to Fortum
and Metso, the project is partly funded by Tekes, the Finnish Funding Agency
for Technology and Innovation.

“Fortum has been very pleased with how the project has proceeded. By altering
Metso's test equipment for oxyfuel combustion, we have received a lot of new
information in terms of the future opportunities that the technology offers.
The tests provide both empirical data and new information concerning the
operation of the plant,” says Marja Englund, manager of the project at Fortum.

“We have carried out a comprehensive series of tests ranging from laboratory
measurements to continuous pilot-scale tests. In the pilot-scale testing, we
focused on developing both the actual boiler process and safe operation of the
boiler plant during oxyfuel combustion. Modifying Metso's 4-MW test plant for
oxyfuel combustion has been challenging and we are pleased with what we have
achieved. With circulating fluidized bed technology, coal and biomass can be
co-fired, thereby turning the power plant into a carbon sink,” explains Jussi
Mäntyniemi, General Manager, Technology at Metso's Power business line.

In oxyfuel combustion, process fuel is combusted with a mixture of pure oxygen
and recirculated flue gas instead of air. After cleaning, the flue gas consists
of water vapor and CO2. Oxyfuel combustion can be used in circulating
fluidized bed boilers that can be operated with a wide range of fuel types,
such as coal, biomass and a mixture of fuels.

Additional information:
Petra Lundström, Corporate Technology Officer, Fortum, tel. +358 50 4535 422
Marja Englund, Project Manager, Fortum, tel. +358 50 453 3811

Fortum's purpose is to create energy that improves life for present and future
generations. We provide sustainable solutions that fulfil the needs for low
emissions, resource efficiency and energy security, and deliver excellent value
to our shareholders. Our activities cover the generation, distribution and sale
of electricity and heat as well as related expert services.

Fortum's operations focus on the Nordic countries, Russia and Baltic Rim area.
In the future, the fast-growing, liberalizing Euro-Asian energy markets provide
additional growth opportunities. In 2009, Fortum's sales totalled EUR 5.4
billion and operating profit was EUR 1.8 billion. We employ approximately
11,000 people. Fortum's shares are quoted on NASDAQ OMX Helsinki. Further