Stora Enso starts pre-feasibility study for a world-class pulp andpaper mill in Russia

Stora Enso Oyj Stock Exchange Release 17 July 2007 at 06.30 GMT Stora Enso has decided to start a pre-feasibility study for a pulp and paper mill complex in Nizhny Novgorod, Russia which will be undertaken in close co-operation with the Russian government. The objective is to manufacture paper for Russian consumers from Russian wood - in Russia. "Russia is a key growth market for Stora Enso. We have already invested over EUR 300 million in establishing sawmills, corrugated packaging board mills and forest assets in the country. Now we are actively looking into taking the next step, encouraged by good experience with our existing operations in Russia and our unique expertise in all areas from forest management and wood harvesting to chemical pulping and paper manufacturing - many of these capabilities already existing in Russia. We will work closely with the federal ministerial levels and Nizhny Novgorod regional government to establish right investment conditions as regards infrastructure for logistics, forest rights and taxation in relation to the project," says CEO Jouko Karvinen. If the results of pre-feasibility and complete feasibility studies are favourable, the Stora Enso Board of Directors will then consider any proposed investment decision. For further information, please contact: Jouko Karvinen, CEO, tel. +44 20 7016 3120 Hannu Ryöppönen, Deputy CEO, tel. +44 207 016 3114 Markku Pentikäinen, EVP, Corporate Technology, Asia Pacific and Russia, tel. +358 400 498531 Kari Vainio, EVP, Corporate Communications, tel. +44 7799 348 197 Keith B. Russell, SVP, Investor Relations, tel. +44 7775 788 659 Previous press releases concerning Stora Enso's recent major projects in Russia are available at www.storaenso.com/press - 7 March 2007: Stora Enso expands its corrugated packaging business in Eastern Europe and Russia - 24 May 2006: Stora Enso expands its corrugated packaging business in Russia www.storaenso.com www.storaenso.com/investors STORA ENSO OYJ p.p. Jussi Siitonen Jukka Marttila