Hydro Shareholders Approve Merger

The proposal to merge Hydro's oil and gas activities with Statoil ASA were approved today at an Extraordinary General Meeting. The merger plan was signed by the board of directors of Hydro and Statoil on and March 12th and 13th, respectively. The merger is expected to be completed on October 1, 2007. Following the merger Hydro will continue as focused aluminum and power company with global reach.

The Extraordinary General Meeting also approved a capital reduction by cancellation of 21,627,000 treasury shares and the redemption and cancellation of 16,871,506 shares from the Norwegian State, leaving its 43.8 percent ownership interest unchanged. This capital reduction is related to the buyback authorization that the Annual General Meeting approved on May 9, 2006.

Furthermore, the Extraordinary General Meeting approved a new authorization for the Board of Directors to buy back 621,895 shares, from July 5, 2007 until September 30, 2007, in connection with the share purchase program available to all Norwegian Hydro employees.

Following the capital reduction and the repurchase of own shares in the market, Hydro will at the time of the completion of the merger have 1,247,956,949 issued shares of which 1,209,304,379 share will be outstanding and 38,652,570 will be treasury shares.