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FLSmidth Company Announcements

FLSmidth wins first cement project in Siberia

Company Announcement to the Danish Financial Supervisory Authority No. 41-2008, 30 September 2008

FLSmidth has signed a contract for its first cement project in the Siberian region of Russia. Equipment for a complete greenfield cement plant is to be supplied to Russian LLC SGMK Group's (SGMK) "Uchulensky Cement Plant" close to Novokuznetsk some 450 kilometres southeast of Novosibirsk. This will be the first cement plant project undertaken by SGMK Group, a mining and metals extraction company.
Valued at 78.5m euros (DKK 585m) the contract includes all machinery for the 3,500 tonnes per day cement plant which is specially designed to withstand the low temperatures in the region. Some of the equipment will be manufactured in Russia based on specifications from FLSmidth.
FLSmidth is to supply raw material stores, ATOX raw and coal mills, fuel dosing equipment, a CF silo, a complete kiln system with 5-stage preheater, a 3-support kiln and SF Cross Bar cooler, clinker silos, an OK cement mill, three cement silos, a complete packing plant and a complete quality control and laboratory system.
This cement project is one of several currently in progress or in the pipeline in this region as part of a major development programme including infrastructural improvements.
"This contract confirms FLSmidth's expectations to the potential of the Russian market. In addition to the ongoing development programme the region in which the plant will be erected is seeing a modernisation of its cement production capacity and the transition to more environmentally friendly technology. We are proud that SGMK has chosen FLSmidth as its partner in this process", Group CEO Jørgen Huno Rasmussen comments.
The order will contribute beneficially to FLSmidth's earnings until the equipment is delivered in mid 2010.
Please address any questions regarding this announcement to Group Chief Executive Officer Jørgen Huno Rasmussen, FLSmidth & Co. A/S at +45 36 18 18 00.
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Yours faithfully

Pernille Friis Andersen
Corporate Communications & Investor Relations