Valmet to supply a multifuel power boiler and flue gas cleaning system to Japan

Valmet Oyj's press release on October 18, 2016 at 10:00 a.m. EET

Valmet will supply a multifuel power boiler and flue gas cleaning system to the Japanese company JFE Engineering (JFEE). This is Valmet's first multifuel boiler delivery to the Japanese market.

The order is included in Valmet's fourth quarter orders received in 2016. The value of the order is about EUR 40 million. Installation work is scheduled to start in 2017, and the plant will start up during the first half of 2019.

In 2015, Valmet and JFE Engineering signed a long term cooperation agreement to enable joint growth in Japanese energy market. The agreement combines Valmet's high efficiency technology solutions with JFEE's strong market presence and capability to supply EPC power plants.

This is JFEE's first EPC (engineering, procurement and construction) project based on the cooperation agreement. The boiler will be installed for MPM Oji Eco Energy Corporation (MOE) at the Mitsubishi Paper Mills Limited plant in Hachinohe city, Aomori prefecture in Japan. The new boiler plant will enable MOE to achieve a stable power supply at extremely high thermal efficiency while significantly reducing CO2 emissions. All the electricity generated will be supplied to the grid companies based on Feed-In-Tariff scheme in Japan.

Information about the delivery

Valmet's delivery includes a biomass-fired 75 MWe CYMIC boiler and flue gas cleaning system. The annual output of the Hachinohe power plant will be approximately 5.3 billion kWh and the main fuels to be used include wood chips, palm kernel shell and coal.

"The circulating fluidized bed (CFB) boilers help power generators to achieve a very high thermal efficiency whilst supporting renewable power generation. This contract marks the first delivery in a co-operation agreement according to which JFE Engineering supplies Valmet boilers to the Japanese market," says Keiichi Nagaya, Head of Marketing and Sales, Biomass Energy Development Division at JFE Engineering.

"We are pleased to have JFE Engineering as our partner to enter to Japanese energy market. This first joint delivery is expected to pave the way for future projects of environmentally benign  energy production," says Kai Janhunen, Vice President, Heat and Power Generation at Valmet.

Illustration of the future MPM Oji Eco Energy Corporation's power plant in Hachinohe city in Japan (copyright JFE Engineering Corp.)

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 in Tokyo Stock Exchange.

Corporate Communications

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

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 2015 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.

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