Fortum settles with contractor on Nyagan power plant in Russia

Fortum and its project contractor E4 Group have reached a final settlement regarding claims and other matters in Fortum's Nyagan power plant construction project on 31 October 2013. Outstanding receivables and payables resulting from the relationship will be offset. As a result, Fortum will book a positive effect of RUB 1.7 billion (approximately EUR 38 million) in its Russia Division's comparable operating profit in the last quarter of 2013.

The gas-fired thermal power plant, which is under construction in Nyagan, Western Siberia, represents the largest part of Fortum's extensive investment programme in Russia. Once completed, the Nyagan power plant will comprise three 418-megawatt units each. The first of these units, Nyagan 1, was commissioned on 1 April 2013 and is among the most energy-efficient power plant units in Russia. Nyagan 2 is currently undergoing final stages of testing  and is expected to be commissioned by the end of 2013. The last unit, Nyagan 3, is planned to be finalised at the end of 2014.