Borregaard — Regulatory Filings 2017

Oct 25, 2017

Borregaard: LignoTech Ibérica

Borregaard: LignoTech Ibérica

Since operations were resumed in the 4(th) quarter of 2016, the market

conditions for LignoTech Ibérica have been challenging. The board of LignoTech

Ibérica S.A., a company owned 60% by Borregaard and 40% by the Spanish Sniace

Group, has today given notice of termination of the cooperation agreement

between LignoTech Ibérica and the Sniace Group. The cooperation agreement

governs the Sniace Group's obligation to deliver, and LignoTech Ibérica's

obligation to receive, lignin raw material. The termination may take effect from

25 October 2019, and gives LignoTech Ibérica the option to discontinue

operations at the end of the notice period if the business proves to be

unsustainable.

Sarpsborg, 25 October 2017

Contacts:

Jørn Syvertsen, Director Investor Relations, +47 958 36 335

This information is subject to the disclosure requirements pursuant to Section

5-12 of the Norwegian Securities Trading Act.