Volvo Group to launch electric hybrid technology for energy-efficient forestry machinery


Volvo Group to launch electric hybrid technology for energy-efficient forestry
machinery 

Sveaskog, a publicly owned Swedish forest company, has started using the first
example of the El-forest F14 forestry machine, the world's first forwarder to
utilize electric-hybrid technology. The forwarder was developed by El-forest AB
with assistance from the Volvo Technology Transfer venture-capital company. It
will be on demonstration at the Elmia Wood trade fair in Jönköping, Sweden on
June 3-6, along with a wide range of other forestry machinery from Volvo
Construction Equipment, as well as other products from the Volvo Group for the
forest industry.

The electric hybrid technology in the El-forest F14 has attracted great interest
among forest companies due, among other features, to the possibility of reducing
fuel consumption by 20-50%, which sharply reduces carbon-dioxide emissions. 

“In addition to the significant fuel reduction, productivity and operator
environment were prioritized, and consequently, profitability for our
customers,” says Per Wassén, Chairman of El-forest and Investment Director at
Volvo Technology Transfer, which is owned by AB Volvo.

The El-forest F14 is a series hybrid involving a smaller diesel engine that
drives a generator that, via batteries, provides electric energy to electric
motors in the forwarder's six wheels. 

“The drive technology developed has great potential, since, for example, the
diesel engine could be replaced by alternative biofuel engines or even with fuel
cells in the future,” says Per Wassén.

The El-forest F14 is lighter than a conventional forwarder of the same size, but
can cope with the same load. There is less impact on the forest environment due
to a patented frame structure that enables all electric-driven wheels to follow
the same track with adapted speed. 

Volvo Technology Transfer AB focuses on developing and supporting new businesses
relevant to the Volvo Group. Part of the effort is to invest in companies and
projects that are technologically and commercially attractive.

For more information:
El-forest AB - www.el-forest.se
Volvo Technology Transfer - www.volvo.com/venturetech

2009-05-27
For additional information, contact 

Per Wassén, Chairman of El-forest and Investment Director, Volvo Technology
Transfer, tel +46 708- 960055
Jukka Moisander, Director Global Forestry Solutions, Volvo Construction
Equipment, tel +358 400 336 420
Gunnar Bäck, President, El-forest AB, +46 703-044805

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AB Volvo (publ) may be required to disclose the information provided herein
pursuant to the Securities Markets Act. The information was submitted for
publication at 11.00 a.m. CET, 27 May, 2009.

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