Veidekke

Earnings Release • Sep 9, 2019

Veidekke ASA: To renovate Himmerfjärdsverket treatment plant for Syvab

Veidekke ASA: To renovate Himmerfjärdsverket treatment plant for Syvab

Veidekke has signed an agreement with Syvab for comprehensive renovation and

extensions to the Himmerfjärdsverket wastewater treatment plant in Grödinge,

Sweden. The project has a potential order value of at least SEK 700 million, and

work is planned to continue until 2025.

"The renovation and extensions to Himmerfjärdsverket have long been under

planning. As we are now finally ready to start implementation, we are very

pleased and confident in the knowledge that we have Veidekke Entreprenad AB's

entire competence on hand in doing the job. This bodes well for a very good

result," says Carl-Olof Zetterman, CEO of Syvab.

"We are extremely pleased to have won Syvab's confidence to assist in the

development of Himmerfjärdsverket. The project is in line with our strategy of

selectivity with regards to customers, and we are able to start collaboration at

an early phase, as is our preference. The project is also well aligned with

Veidekke's values, which ultimately are about creating added value by working in

close interaction with customers and suppliers," says Marcus Andersson, regional

director of Veidekke Anläggning Öst in Sweden.

The renovation of the Himmerfjärdsverket treatment plant is a necessary

consequence of population increases and new water treatment requirements. A new

membrane bioreactor (MBR) plant will increase capacity, while retaining energy

consumption at current levels and reducing the use of added chemicals.

The project comprises an execution contract for the renovation of the existing

plants, and a design and build contract for the extensions. The first of two

phases includes the assessment and planning for system documents, to which

Veidekke will provide production solutions and specific technical consultations.

This phase also includes calculation of target costs for the total project. Once

target costs have been calculated, the project enters phase 2, with planning and

production. The order value for phase 1 is estimated to be approx. SEK 10

million, and an agreement for phase 2 is scheduled to be signed during the first

quarter of 2020.

Activities in 2019 will primarily comprise the first phase, including the

completion of system documents and calculations for the new plant. Construction

starts will take place on an ongoing basis through 2020, and according to plans,

the new Himmerfjärdsverket will be ready for operation in 2025.

Read more about the project here: www.syvab.se/nyheter/ombyggnad-nkh

For press photos, see www.flickr.com/photos/veidekke, for more information,

contact:

Marcus Andersson, regional director Veidekke Anläggning Öst, ph. +46 703 34 88

00

Jenny Johansson, department manager Veidekke Anläggning Öst, ph. +46 768 40 07

70

Mats Nyström, CEO Veidekke Sweden, ph. +46 705 37 12 60

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Veidekke is one of Scandinavia's largest construction and property development

companies. The company undertakes all types of building construction and civil

engineering contracts, develops residential projects, maintains roads, and

produces asphalt and aggregates. The company is known for its involvement and

local knowledge. Its annual turnover is NOK 36 billion, and half of its 8,600

employees own shares in the company. Veidekke is listed on the Oslo Stock

Exchange and has always posted a profit since it was founded in 1936.