Norsk Hydro: Voluntary termination of power purchase agreement with Cloud Snurran AB
Norsk Hydro (OTC:NHYDY) has reached a settlement agreement for the voluntary termination of its power purchase agreement (PPA) with Cloud Snurran AB, which entitles Hydro to receive up to EUR 90 million in compensation.
The original PPA, signed in 2018, was for 300 GWh annual baseload supply during 2020-2030 and 550 GWh during 2031-2049. Cloud Snurran AB has faced financial difficulties and hasn't delivered power since November 2024. The settlement includes compensation for both non-delivered volumes and future power deliveries, with the final amount depending on realized values from a future sales process.
Hydro maintains a robust power sourcing position for its Norwegian smelters through 2030, with 9.4 TWh annual equity hydropower production and 8.5 TWh yearly contract portfolio. The settlement is expected to be effective in July 2025.
Norsk Hydro (OTC:NHYDY) ha raggiunto un accordo di transazione per la risoluzione volontaria del suo contratto di acquisto di energia (PPA) con Cloud Snurran AB, che garantisce a Hydro un indennizzo fino a 90 milioni di EUR.
Il PPA originale, firmato nel 2018, prevedeva una fornitura baseload annua di 300 GWh nel periodo 2020-2030 e 550 GWh nel periodo 2031-2049. Cloud Snurran AB ha incontrato difficolt脿 finanziarie e non ha fornito energia dal novembre 2024. L'accordo include un risarcimento sia per i volumi non consegnati sia per le forniture future, con l'importo finale che dipender脿 dai valori realizzati in un futuro processo di vendita.
Hydro mantiene una solida posizione di approvvigionamento energetico per i suoi stabilimenti norvegesi fino al 2030, con una produzione annuale di energia idroelettrica di 9,4 TWh di equity e un portafoglio contrattuale annuo di 8,5 TWh. La transazione dovrebbe entrare in vigore a luglio 2025.
Norsk Hydro (OTC:NHYDY) ha alcanzado un acuerdo de conciliaci贸n para la terminaci贸n voluntaria de su contrato de compra de energ铆a (PPA) con Cloud Snurran AB, lo que le otorga a Hydro una compensaci贸n de hasta 90 millones de euros.
El PPA original, firmado en 2018, establec铆a un suministro anual base de 300 GWh durante 2020-2030 y 550 GWh durante 2031-2049. Cloud Snurran AB ha enfrentado dificultades financieras y no ha entregado energ铆a desde noviembre de 2024. El acuerdo incluye compensaci贸n tanto por los vol煤menes no entregados como por las futuras entregas de energ铆a, con el monto final dependiendo de los valores realizados en un futuro proceso de venta.
Hydro mantiene una s贸lida posici贸n de abastecimiento energ茅tico para sus fundiciones noruegas hasta 2030, con una producci贸n anual de energ铆a hidroel茅ctrica de 9,4 TWh de participaci贸n propia y un portafolio contractual anual de 8,5 TWh. Se espera que el acuerdo entre en vigor en julio de 2025.
Norsk Hydro (OTC:NHYDY)電� Cloud Snurran AB鞕�鞚� 鞝勲牓 甑Г 瓿勳暯(PPA)鞚� 鞛愲皽鞝侅溂搿� 膦呺頃橁赴 鞙勴暅 頃╈潣鞐� 霃勲嫭頄堨溂氅�, 鞚措 鞚疙暣 Hydro電� 9,000毵� 鞙犽旯岇鞚� 氤挫儊鞚� 氚涥矊 霅橃棃鞀惦媹雼�.
2018雲勳棎 觳搓舶霅� 鞗愲灅鞚� PPA電� 2020雲勲秬韯� 2030雲勱箤歆� 鞐瓣皠 300 GWh 旮半掣 鞝勲牓 瓿店笁瓿� 2031雲勲秬韯� 2049雲勱箤歆� 鞐瓣皠 550 GWh毳� 攴滌爼頄堨姷雼堧嫟. Cloud Snurran AB電� 鞛爼鞝� 鞏措牑鞗�鞚� 瓴柎 2024雲� 11鞗� 鞚错泟 鞝勲牓鞚� 瓿店笁頃橃 氇豁枅鞀惦媹雼�. 鞚措矆 頃╈潣鞐愲姅 氙戈车旮� 氍茧焿瓿� 頄ロ泟 鞝勲牓 瓿店笁鞐� 雽�頃� 氤挫儊鞚� 韽暔霅橂┌, 斓滌 旮堨暋鞚� 頄ロ泟 韺愲Г 瓿检爼鞐愳劀 鞁ろ槃霅� 臧�旃橃棎 霐半澕 瓴办爼霅╇媹雼�.
Hydro電� 2030雲勱箤歆� 雲鸽ゴ鞗澊 鞝滊牗靻岆ゼ 鞙勴暅 臧曤牓頃� 鞝勲牓 臁半嫭 旮半皹鞚� 鞙犾頃橁碃 鞛堨溂氅�, 鞐瓣皠 9.4 TWh鞚� 鞛愳偓 靾橂牓 氚滌爠 靸濎偘瓿� 鞐瓣皠 8.5 TWh鞚� 瓿勳暯 韽姼韽措Μ鞓�毳� 氤挫湢頃橁碃 鞛堨姷雼堧嫟. 鞚措矆 頃╈潣電� 2025雲� 7鞗旍棎 氚滍毃霅� 鞓堨爼鞛呺媹雼�.
Norsk Hydro (OTC:NHYDY) a conclu un accord de r猫glement pour la r茅siliation volontaire de son contrat d'achat d'茅lectricit茅 (PPA) avec Cloud Snurran AB, ce qui donne droit 脿 Hydro 脿 une compensation pouvant atteindre 90 millions d'euros.
Le PPA initial, sign茅 en 2018, portait sur une fourniture annuelle de base de 300 GWh entre 2020 et 2030 et de 550 GWh entre 2031 et 2049. Cloud Snurran AB a rencontr茅 des difficult茅s financi猫res et n'a pas fourni d'茅lectricit茅 depuis novembre 2024. Le r猫glement inclut une compensation pour les volumes non livr茅s ainsi que pour les livraisons futures, le montant final d茅pendant des valeurs r茅alis茅es lors d'un futur processus de vente.
Hydro conserve une position solide d'approvisionnement en 茅lectricit茅 pour ses fonderies norv茅giennes jusqu'en 2030, avec une production annuelle d'hydro茅lectricit茅 en propre de 9,4 TWh et un portefeuille contractuel annuel de 8,5 TWh. Le r猫glement devrait prendre effet en juillet 2025.
Norsk Hydro (OTC:NHYDY) hat eine Vergleichsvereinbarung zur freiwilligen Beendigung seines Stromabnahmevertrags (PPA) mit Cloud Snurran AB erzielt, die Hydro eine Entsch盲digung von bis zu 90 Millionen Euro zusichert.
Der urspr眉ngliche PPA, der 2018 unterzeichnet wurde, sah eine j盲hrliche Grundlastversorgung von 300 GWh f眉r 2020-2030 und 550 GWh f眉r 2031-2049 vor. Cloud Snurran AB hatte finanzielle Schwierigkeiten und liefert seit November 2024 keinen Strom mehr. Die Einigung umfasst eine Entsch盲digung f眉r nicht gelieferte Mengen sowie f眉r zuk眉nftige Stromlieferungen, wobei der endg眉ltige Betrag von den erzielten Werten eines zuk眉nftigen Verkaufsprozesses abh盲ngt.
Hydro sichert seine Stromversorgung f眉r die norwegischen Schmelzen bis 2030 weiterhin robust mit einer j盲hrlichen Eigenproduktion von 9,4 TWh Wasserkraft und einem j盲hrlichen Vertragsportfolio von 8,5 TWh. Die Vereinbarung soll im Juli 2025 wirksam werden.
- Compensation of up to EUR 90 million from the PPA termination
- Resolution of non-performing power contract with defaulting supplier
- Robust power sourcing position maintained through 2030 with 17.9 TWh combined annual capacity
- Loss of long-term power supply agreement extending to 2049
- Need to secure new power sourcing options after 2030 when existing agreements expire
- Final compensation amount is uncertain and depends on future sales process
Hydro has agreed to a settlement for the long-term power purchase agreement (PPA) with Cloud Snurran AB. In the settlement, Hydro is entitled to compensation of up to EUR 90 million for its voluntary termination of the PPA.听
Hydro Energi AS signed a long-term PPA with Cloud Snurran AB in 2018 for an annual baseload supply of 300 GWh in the period 2020-2030, and 550 GWh in the period 2031-2049. Cloud Snurran AB has experienced financial challenges for the last few years and has as a result not delivered volumes to Hydro in accordance with the PPA since November 2024.听
On July 17, 2024, the Svea Court of Appeal approved Cloud Snurran AB鈥檚 application for reorganization under the Swedish Restructuring Act, overturning an earlier decision by the Stockholm District Court. The reorganization process has now been terminated, and as part of a final settlement, Hydro has agreed to a voluntary termination of the PPA against a compensation of up to EUR 90 million, which includes compensation for non-delivered volumes and future power deliveries. Hydro鈥檚 ultimate compensation will depend on the realized values from a future sales process and an agreed value sharing mechanism.听
The sourcing situation at Hydro鈥檚 Norwegian smelters remains robust through 2030, based on an average annual equity hydropower production of 9.4 TWh and a contract portfolio of around 8.5 TWh per year. As several existing long-term power agreements will begin to expire at the end of 2030, Hydro is actively pursuing a range of available sourcing options to meet the demand for cost-competitive renewable power to its operations.听听
Subject to fulfillment of certain closing requirements, the settlement is expected to become effective during July 2025.听
Investor contact:听
Mathias Gautier听
+47 94861597听
[email protected]听
Media contact:听
Anders Vindegg听
+47 93864271听
[email protected]听
FAQ
How much compensation will NHYDY receive for terminating the Cloud Snurran power agreement?
What was the original power supply volume in NHYDY's agreement with Cloud Snurran?
How much power capacity does NHYDY have for its Norwegian smelters through 2030?
When did Cloud Snurran stop delivering power to NHYDY under the agreement?
When will the NHYDY-Cloud Snurran settlement become effective?
