The Hoganas Borgestad Group, which operates the refractory business of Borgestad ASA has entered into three maintenance contracts with a total estimated contract value of SEK 140 - 185 million. The contracts will be delivered within the installation business of the Hoganas Borgestad Group and comprise supply of both products and installation services. The contracts are structured as "time and material" contracts, and the counterparties are deemed to be financially robust.

One of the contracts, entered into with a Nordic steel group, represents a renewal of a historical recurring contract for the Hoganas Borgestad group, but the agreed value of the maintenance to be delivered under the contract in 2024 is doubled compared to the maintenance delivered in 2023. The contract is estimated to have a contract value of SEK 35 million and will be fully be delivered in 2024, with estimated delivery time in the third quarter of 2024. The two other contracts, entered into with a Nordics, and are estimated to have a total contract value of SEK 105 - 150 million, depending on the level of maintenance required.

One of the contracts will be fully operational through 2024, and the other will enter into force on 1 September 2024. The main delivery will be completed during planned maintenance shutdowns. Total estimated turnover from the two contracts to the Nordic iron ore group is SEK 15 - 20 million in 2024.