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FLSmidth wins cement contracts in Uruguay

21.07.2009
Company Announcement to the Danish Financial Supervisory Authority No. 12-2009, 21 July 2009

FLSmidth has signed contracts with the state-owned Uruguayan company Administración Nacional de Combustibles, Alcohol y Portland (ANCAP) to provide equipment and supervision for upgrade of two cement plants in Uruguay. The total value of the contracts is approximately 30m euros (DKK 225m). The equipment is for the Minas plant situated in the Lavalleja province 120 km northeast of the capital Montevideo and for the Paysandú plant located in the Paysandú province 400 km northwest of Montevideo near the Argentinean border.
For the Minas plant FLSmidth is to supply a complete coal grinding system comprising raw coal feeding equipment, an ATOX coal mill and a coal fines silo including feeders and burners. In addition, FLSmidth is to supply a complete pyroprocessing line comprising a slurry drier, a two-stage preheater, an SF Cross-bar cooler and a clinker belt conveyor plus a complete electrical and control equipment package.
 
The Minas plant will be prepared for possible subsequent conversion to the dry process, which is more energy efficient and substantially reduces the plant's NOx emission.
 
For the Paysandú plant FLSmidth is also to supply a complete coal grinding system comprising a raw coal feeding system, an ATOX coal mill and a coal fines silo including feeders and burners. The coal grinding system is to process coal for the plant's two cement kilns. The Paysandú contract also includes a complete electrical and control equipment package.
 
In addition, FLSmidth has signed supervision contracts for both plants. The contracts run until 2012 and cover supervision of the construction, installation and commissioning of the two production plants.
 
"These orders mark a continuation of FLSmidth's very close relations with the customer which started back in 1956 when FLSmidth supplied the first pyroprocessing line for the then newly established Minas cement plant. We are proud and happy to continue the relationship with ANCAP, now contributing to the quality assurance and modernisation of their cement production," Group Chief Executive Officer Jørgen Huno Rasmussen says.
 
The orders will contribute beneficially to FLSmidth's earnings until mid 2010 when the equipment comes on stream and for the entire duration of the supervision contracts.
 
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Please address any questions regarding this announcement to Group Executive Vice President Bjarne Moltke Hansen, FLSmidth & Co. A/S at +45 36 18 18 00.
 
For further information about FLSmidth, please visit www.flsmidth.com.
 
 
Yours faithfully

Pernille Friis Andersen
Corporate Communications & Investor Relations