The agreement secures the delivery of energy to Norske Skog's paper mill Pisa in Brazil through to the end of 2014 and gives the buyer, the Brazilian subsidiary of Norwegian energy company SN Power Invest AS, an annual supply of 1.2 TWh electric power from 2015 and up to 31 December 2025."We have had excess energy in Brazil over a period of time. Through this sale, we secure energy at competitive terms for the Pisa mill, while we at the same time realize the real value of the long-term energy contracts," said Sven Ombudstvedt, CEO of Norske Skog. "We are very satisfied with this, and the sale is an important step in our efforts to strengthen Norske Skog's financial position."The cash effect after transaction costs is in the order of 400 million Norwegian Kroner and reduces the gearing ratio from 0.90 at the end of the first quarter 2011, to pro forma 0.85 after the sale. A minor gain is expected.