Outokumpu Oyj - Company Announcement

Outokumpu to invest in utilizing liquefied natural gas in Finland

OUTOKUMPU OYJ
STOCK EXCHANGE RELEASE
December 19, 2014 at 10.10 am EET



Outokumpu invests approximately 30 million euro into using liquefied natural
gas (LNG) at Tornio mill instead of propane. The vast majority of the
investment, phased over 2015-2018, is used to make the required equipment
modifications at the Tornio mill. The transfer to LNG is made possible by the
construction of a liquefied natural gas (LNG) terminal at Tornio harbor,
Northern Finland. Manga LNG Oy, a joint venture of Outokumpu Group, SSAB,
Skangass and EPV Energy Ltd, will build and operate the terminal, and procure
LNG for its owners. Outokumpu's share of Manga LNG Oy is 45%. 

Outokumpu and its stainless steel mill in Tornio will be the main user of the
natural gas imported through the terminal. “Replacing the use of propane with
liquefied natural gas sourced directly from the global market will reduce
production cost through lower and more stable energy prices, and thereby
increase the competitiveness of our Tornio mill. It will also positively
contribute in our continuous drive to further decrease our carbon dioxide
emissions,” says Pekka Erkkilä, Outokumpu Chief Technology Officer, and
responsible for energy strategy. 

As being more sustainable, LNG is replacing oil and other fuels worldwide as an
energy source. The environmental benefits are significant. For instance, in
power generation, natural gas produces about 30 percent fewer carbon emissions
than oil. 

For more information:

Investors: Johanna Henttonen, tel. +358 9 421 3804, mobile +358 40 530 0778

Media: Johanna Kaunisto, tel. +358 40 574 9210

Outokumpu Group


Outokumpu is a global leader in stainless steel. We create advanced materials
that are efficient, long lasting and recyclable - thus building a world that
lasts forever. Stainless steel, invented a century ago, is an ideal material to
create lasting solutions in demanding applications from cutlery to bridges,
energy and medical equipment: it is 100% recyclable, corrosion-resistant,
maintenance-free, durable and hygienic. Outokumpu employs more than 12 000
professionals in more than 30 countries, with headquarters in Espoo, Finland
and shares listed in the Nasdaq Helsinki. www.outokumpu.com

Attachments:

SER_Manga_191214_ENG.pdf