Mon April 7 02:15 pm 2008 in category Stock exchange releases
Nokian Tyres plc
Press release 07.04.2008

Contract agreement signed for the expansion
of Nokian Tyres’ Vsevolozhsk plant

Nokian Tyres plc and Lemcon Oy of the Lemminkäinen Group have concluded a contract agreement for the expansion of the mixing facilities and administrative offices at Nokian Tyres’ Vsevolozhsk plant. The agreement was signed in Vsevolozhsk on 21.3.2008.

The expansion work will begin immediately, and the aim is to complete the mixing department by March 2009. Completion of the administrative offices is targeted for November 2008. Installation of production machinery at the mixing plant will begin in early November 2008.

The excavation work for the expansion project was begun as a separate contract in November last year. Heating, water, electricity, ventilation and automation work will be performed later under a contract to be separately agreed.

The total surface area of the expansion now being commenced is about 29,000 m², of which the mixing facilities occupy about 24,500 m² and the office space 4,500 m².

The expansion of the mixing plant will increase the production capacity of rubber compounds to meet the planned volume of tyre production. Machinery and equipment purchasing will be carried out to meet a capacity of about 10 million tyres per year by 2011. The plant’s machinery is new and, as far as possible, automated.

The foundation stone of Nokian Tyres’ St. Petersburg plant was laid in June 2004 and the plant was started up in September 2005. Lemcon was also in charge of construction work for the first stage. The plant currently employs about 500 people.

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Nokian Tyres plc