Valmet to supply a biomass-fired boiler and a flue gas cleaning system to Buzen New Energy LLC. in Japan

Valmet Oyj's press release on March 28, 2017 at 11:00 a.m.EET

Valmet will deliver a biomass-fired CYMIC power boiler and a flue gas cleaning system to Buzen New Energy LLC. located in the city of Buzen in Fukuoka Prefecture, Japan. With Valmet's boiler technology, the plant will be able to supply power in a stable way with high thermal efficiency and a low carbon footprint.

The order is included in Valmet's first quarter 2017 orders received. The value of the order will not be disclosed. This kind of a boiler delivery is typically valued at EUR 30-45 million, depending on the scope of delivery.

"The new order continues Valmet's multifuel boiler deliveries to the Japanese market in close cooperation with our local partner JFE Engineering. Our boiler and flue gas cleaning system will be part of the biomass power plant to be delivered by JFEE to the customer. The plant will be the biggest one in Japan using solely biomass as fuel," says Kai Janhunen, Vice President, Energy Business Unit, Pulp and Energy Business Line, Valmet.

"By offering multifuel solutions JFEE and Valmet contribute to stable power supply and global warming countermeasures. Biomass power plants are carbon neutral and provide important base load power at the same time," says Keiichi Nagaya, Head of Sales and Marketing, JFE Engineering.

Installation work onsite will begin in 2018. Commissioning and start-up of the power plant is scheduled for the second half of 2019.

Illustration of the future Buzen New Energy LLC's power plant in Japan (copyright JFE Engineering Corp.)

Information about Valmet's delivery

Valmet's delivery includes a CYMIC circulating fluidized bed (CFB) boiler for firing biomass. Main fuels to be used in the boiler are crushed palm kernel shells and wood pellets. Thermal power capacity of the boiler is 174 MW_,and electricity capacity of the whole power plant will be 75 MW_. Effective removal of dust particles from combustion flue gases will be ensured by Valmet's bag house filter.

Information about the end customer Buzen New Energy LLC.

Founded in 2016 and based in Buzen, Fukuoka, Japan, Buzen New Energy LLC engages in the generation and supply of power primarily through a biomass boiler plant. Owners are eREX Co., Ltd. 65%, Kyuden Mirai Energy Co., INC. 27% and Kyudenko Corporation 8%. This plant will be constructed in Kyushu Kouatsu Concrete Industries Co., Ltd. Buzen works.

Information about JFE Engineering

JFE Engineering is part of the JFE Group. The company has its roots in steelmaking and shipbuilding businesses and has expanded its engineering business in the fields of energy and the environment, urban infrastructure and industrial machinery by blending and evolving its technologies. JFE Engineering Corporation is a 100% subsidiary of JFE Holdings Inc. that is listed on the Tokyo Stock Exchange.

VALMET
Corporate Communications

For further information, please contact:
Setsuo Suzuki, President, Japan, Asia Pacific Area, Valmet, tel. +81 90 4579 9858
Kai Janhunen, Vice President, Energy Business Unit, Valmet, tel. +358 10 676 2602

Valmet is the leading global developer and supplier of process technologies, automation and services for the pulp, paper and energy industries. We aim to become the global champion in serving our customers.

Valmet's strong technology offering includes pulp mills, tissue, board and paper production lines, as well as power plants for bioenergy production. Our advanced services and automation solutions improve the reliability and performance of our customers' processes and enhance the effective utilization of raw materials and energy.

Valmet's net sales in 2016 were approximately EUR 2.9 billion. Our 12,000 professionals around the world work close to our customers and are committed to moving our customers' performance forward - every day. Valmet's head office is in Espoo, Finland and its shares are listed on the Nasdaq Helsinki.