Press Releases

NORECO (OSL:NOR) Stavanger, 3 November October 2008: Norwegian Energy Company ASA (Noreco - OSE:NOR), Noreco has received approval from the NOK 2,800 million bondholders to redeem NOK 560 million of bonds at par value and remove the covenant related to the market adjusted equity ratio in the loan agreement.

- This is another important step in the company's strategy to reduce financial leverage and interest cost, says CEO Scott Kerr.

The vote in the bondholders meeting held today entails that bondholders of the Senior Secured Callable Bond Issue NOR01 and NOR02 get early redemption of 20% of outstanding bonds at par value plus accrued interest, and that the Market Adjusted Equity Ratio I in the Loan Agreement is removed.

Pareto Securities AS has been the financial advisor in connection with the transaction.

For further information, please contact: Einar Gjelsvik, VP Investor Relations (+47 992 83 856) Jan Nagell, CFO (+47 994 97 271)

This announcement was originally distributed by Hugin. The issuer is solely responsible for the content of this announcement.

NORECO

http://www.noreco.com

ISIN: NO0010379266

Stock Identifier: XOSL.NOR