09 Sep 2005

The Corporate Assembly approves acquisition of PanAsia

Norske Skog's Corporate Assembly has today unanimously approved the acquisition of the 50 % of shares in PanAsia currently being owned by Canada's Abitibi Consolidated. The Corporate Assembly consists of 12 members elected among the shareholders, and 6 members elected among employees in Norway.

Approval by the competition and regulatory authorities in relevant countries and regions are also required to complete the transaction. In addition, the acquisition depends on the completion of a share issue which is subject to approval by an extraordinary general meeting of Norske Skog's shareholders on 22 September. Norske Skog will consolidate PanAsia as a wholly-owned subsidiary with effect from the date of the closing of the acquisition, which is expected to occur before the end of 2005.

This acquisition will make Norske Skog the sole owner of PanAsia, which ranks as the largest newsprint manufacturer in Asia and has leading market positions in China, Korea and Thailand. The Norske Skog group will become the world's largest manufacturer of newsprint through the acquisition, with 30% of its newsprint capacity located in Asia.

Oxen°en, September 9, 2005


Corporate Communication

Not for release, publication or distribution in Australia, France, the Hong Kong Special Administrative Region of the People's Republic of China, Japan, South Africa, Spain and the United States of America.

The information contained herein is not for publication or distribution in or into the United States of America. The materials do not constitute an offer of securities for sale in the United States, nor may the securities be offered or sold in the United States absent registration or an exemption from registration as provided in the Securities Act of 1933, as amended, and the rules and regulations thereunder. There is no intention to register any portion of the offering in the United States of America or to conduct a public offering of Securities in the United States of America.
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