Landsvirkjun - Company Announcement

Landsvirkjun secures ECA financing for Budarhalsvirkjun

Landsvirkjun has signed an ECA (Export Credit Agency) financing in relation to
a supply contract for the 95 MW Budarhalsvirkjun hydroelectric power project in
Iceland. SEB AG in Germany was mandated as arranger for the financing and the
Swedish Export Credit Corporation, SEK, will provide the funding. 

The loan matures in 21 years and is approximately USD 45 million. The loan has
a favourable fixed rate with equal semi-annual instalments starting after the
project completion in 2014. 



Reykjavik, October 5, 2011





For further information please contact Rafnar Larusson, CFO
at +354 515 9010 or by email: rafnar@lv.is