Dutch-German Transmission System Operator (TSO) TenneT has selected Prysmian and NKT as suppliers for five 525 kV XLPE HVDC cable connections for Dutch 2 GW projects to be completed between 2028 and 2030.
A press release from TenneT said that Prysmian has been awarded a contract for the cable connections of IJmuiden Ver Alpha and Nederwiek 1, landing onshore at Sloegebied (Zeeland) while NKT will provide cable connections for IJmuiden Ver Beta, IJmuiden Ver Gamma and Nederwiek 2, landing onshore at Maasvlakte (Port of Rotterdam). Onshore cable laying activities starts in 2025, offshore cable laying activities are expected to start in 2026.
TenneT noted that “innovative cooperation” between it and the two cable suppliers led to a new global market standard for 525 kV XLPE HVDC offshore cables. “Our qualification program has shown that cable suppliers are on track for this new offshore connection standard,” said TenneT EOO Tim Meyerjürgens.
Prysmian reports that its contracts for the IJmuiden Ver Alpha and Nederwiek 1 offshore wind farms that represent a total of 4 GW capacity are worth approximately €1.8 billion. They call for it to supply two 525 kV HVDC submarine and land cable systems, including fiber optic cables and related accessories. IJmuiden Ver Alpha is an offshore grid connection system with 176 km of route length (164 km offshore), while Nederwiek 1 has a total route length of 217 km (208 km offshore). The delivery of the first connection is scheduled for 2029, and the second for 2030. The submarine cables will be made at Prysmian Group’s plants in Pikkala (Finland) and Arco Felice (Italy), while land cables will be produced in Gron (France).
NKT will supply some 1,700 km of 525 kV XLPE HVDC power cable for the three connections (Beta, Gamma and Nederwiek 2) that will have capacity of 6 GW. Cable production will start between 2024-27, with expected commissioning in 2028-30. NKT plans to use some recycled metal for the conductors and manufacture the cables at its high-voltage factory in Karlskrona, Sweden, which uses renewable electricity. Installation is to be done by NKT Victoria, its cable laying vessel.
The six wind farms in the IJmuiden Ver and Nederwiek Offshore Wind Zone have a total capacity of 12 GW. They are key in supporting the European transition to renewable energy and realizing the Dutch ambition of having 21 GW offshore wind installed around 2030. Meyerjürgens said that the plans to deploy the world’s first 525 kV XLPE HVDC offshore cable systems reflect their commitment “to deliver on the joint ambition to develop the North Sea into the green power plant of Europe.” In the next few months, TenneT expects to announce the partners for the Framework agreements of the 2 GW HVDC suppliers for Dutch and German 2GW projects and partners for the Framework agreement for cable connections of two other GW projects.
Industry News
Nexans has been awarded the cable contract for PacWave South, the first U.S. grid-connected, wave energy test facility that is being jointly developed by the U.S. Department of Energy, the state of Oregon, and Oregon State University to further the research of innovative renewable technologies.
A press release said that the project is a significant step in the American sustainable energy transition and will further solidify Nexans’ position as a pure player in sustainable electrification. PacWave South consists of four berths that capture the energy generated from the movement of waves and each berth will produce up to 5MW of energy.
RT Casey LLC has selected Nexans for the design, engineering and manufacturing of the 36 kV submarine and terrestrial cables that will run across the ocean floor; Nexans will provide the four medium voltage AC (MVAC) cables that bring the energy from the berths to shore. The cable lengths total 80 km or roughly 20 km per cable. This project serves as a pilot to test an alternative form of energy generation that is renewable and minimally invasive to the environment.
“Signing the contract for PacWave South shows Nexans’ commitment to innovation and sustainable energy solutions,” said Ragnhild Katteland, executive vice president of Nexan’s Generation and Transmission Business Group. “The future of energy generation will contain a large variety of renewable sources and PacWave’s wave energy facility will give us the knowledge necessary to further develop this new and exciting form of power generation.”
The project, scheduled to be energized by 2024, was described as a significant step in the American sustainable energy transition and an important milestone in Nexans’ strategy of becoming an organization dedicated to innovation and sustainable electrification.
NKT announced that it will sign a joint venture agreement with Taiwanese cable company, Walsin Lihwa, to provide technical support for the construction of the first subsea power cable factory in Taiwan.
A press release said that the factory will produce high- and medium-voltage AC offshore power cables mainly for the Taiwanese offshore wind market. This is expected to grow rapidly in the next decade to drive the green transition of the country. NKT will own a share of the joint venture and will act as the technical partner.
Aside from establishing a joint venture, the agreement includes a service agreement for building the factory, and another that will license NKT technology to the JV. When the factory is in operation, expectedly in 2027, NKT will generate revenue based on a royalty scheme and dividend from the joint venture. Final constitution of the joint venture is subject to customary regulatory procedures.
The partnership will see the establishment of the Walsin Energy Cable System Co. Ltd. (Walsin) with agreements that will result in the construction and operations of the Kaohsiung Submarine Cable plant. Walsin will own 90% of Walsin Cable, and NKT the remainder. The plant, which will primarily manufacture high-voltage export cables and medium-voltage AC cables to serve the offshore wind power market, is expected to undergo trial runs by the end of 2025, with full production by 2027.
“We expect high growth in the Asian market in the coming decades,” said NKT President and CEO Alexander Kara. “Taiwan is targeting to install additional 15 GW of offshore wind by 2035. The joint venture is ... an opportunity for us to participate in a new, growing market, which is otherwise challenging to serve. It is an important first step for NKT to establish presence in the Asian high- and medium-voltage market and a platform for future growth in the region.”
“Taiwan is blessed with an abundance of wind resources, presenting vast commercial opportunities in offshore wind power and submarine cable,” said Yu-Lon Chiao, chairman of Walsin Lihwa. “Walsin is honored to enter into a win-win partnership with NKT ... to further our clean energy strategy and contribute towards Taiwan’s green energy future”
Bekaert announced it has reached an agreement on the sale of its Steel Wire Solutions businesses in Chile and Peru to its current partners.
A press release said that the transaction—which has a total enterprise value of approximately $350 million, and will result in net proceeds for Bekaert’s stake of $136 million—is expected to close in 2023, subject to applicable regulatory approvals and customary closing conditions. The facilities manufacture, sell, and distribute steel wire products primarily for construction, agricultural fencing, mining, and industrial applications.
The agreement includes shares held by Bekaert in the following entities: Industrias Chilenas de Alambre-Inchalam SA in Talcahuano, Chile; and Prodalam SA in Santiago, Chile; along with their subsidiaries in Chile and Peru. Bekaert currently holds 52% of the shares in the Chilean entities and 38% of the shares in the Peruvian entities. The transaction excludes Bekaert’s wholly owned Bridon-Bekaert ropes entities in Chile and Peru.
The release said that the divestment decision relates to Bekaert’s strategy in recent years to improve its business portfolio by reducing exposure to more commoditized and volatile markets while increasing its presence in faster growing markets. Those include new mobility, green energy, and low-carbon concrete solutions that typically offer higher profit margins and higher returns on capital. “While the partnership has been successful for nearly 75 years, Bekaert believes it is now the right time to exit these businesses and focus on our target segments.”
The activities of the companies to be divested generated approximately €650 million in consolidated revenue in 2022, with a profit margin below the Bekaert target range. “The proceeds from the transaction will further strengthen our balance sheet and support our commitment to shareholder returns and investment plans for growth.”
“Bekaert was an early entrant into the Latin American market,” said Kenart CEO Oswald Schmid. “Our partnership ... in Chile dates back to 1948 and was extended with the establishment of our partnership in Peru in 1994. ... At the same time, it is another important strategic step in the ongoing transformation of Bekaert and its further positioning in new, fast-growing markets.”
Citing an “unprecedented rise” in running costs, inflation and the need to make its operations greener, British Steel reported proposals to close ovens and cut 260 jobs.
At its website, the company announced proposals to close its coke ovens as part of its drive to overcome global economic challenges and build a green and sustainable future. The company, which noted that its bills for energy and carbon increased by £190 million last year, said that decisive action is required “because of the unprecedented rise in operating costs, surging inflation and the need to improve environmental performance.” That response could include the loss of up to 260 jobs at the Scunthorpe plant.
Three years ago, the struggling British Steel operation was bought out of receivership by China’s Jingye Group. British Steel CEO Xifeng Han said that for the operation to continue its crucial role, the company has to undergo “the biggest transformation in our 130-year history” because of extreme conditions. “We have taken action to reduce costs within our control; however, steelmaking in the U.K. remains uncompetitive when compared to other international steelmakers. Our energy costs, carbon costs and labor costs are some of the highest across the world, which are factors that we cannot influence directly.”
The company’s coke oven at its British Steel’s integrated steelmaking site in Scunthorpe is reaching the end of its operational life and its closure would bring environmental benefits, including reductions in emissions to air and water. British Steel held talks with the U.K. government representatives last summer, and is hoping it can help the company continue making home-made steel Britain needs for generations to come. “We’re disappointed at having to make such proposals but are confident they will support a successful transformation.”
“We appreciate this may be an unsettling period for our people and we will give them our full support. We haven’t set any deadlines but aim to keep the period of uncertainty for our colleagues as short as we can. We’ll ensure this process is handled in a sensitive manner,” Han said. He noted that the company has taken positive steps. Those include the installations of a £54 million billet caster and a £26 million mast service center, both of which are scheduled to come online this year, while a near £50 million upgrade to its wire rod mill continues and is set to be completed next year. Other investments include £30 million for new unloaders for British Steel’s port facility, £14.6 million for improvements in energy operations, £9 million for a new rail stocking facility and £12 million to upgrade IT systems.
Italy’s Continuus-Properzi announced that it has been selected by Adani Group to supply a Properzi ETP TOP copper rod line for a subsidiary—Kutch Copper Ltd.—for its new copper complex project in Gujarat, India.
U.S.-based Fort Wayne Wire Die announced the opening of a new die service center in Querétaro, Mexico, where the business—Fort Wayne Wire Die de México—will service the fast-growing Mexican wire and cable market with locally produced single crystal diamond and polycrystalline diamond wire drawing dies and recutting service for the same. See p. 95 for more about the company.
“Having a local service center in the heart of Mexico will allow our company to provide a much higher level of service to our Mexican customers,” said FWWD President Eric Bieberich. “The ability to finish new dies from rough drilled inventory and to recut and repolish worn dies without their leaving the country will greatly improve our responsiveness to the demanding and growth oriented Mexican market.” The location will be a focus factory with a heavy concentration on new and recut diamond and PCD dies for rod breakdown, intermediate, and fine wire drawing operations, including matched die sets for high-speed, multi-wire drawing machines.
Tino Corral, a Spanish-speaking 30+ year FWWD sales veteran, along with his wife, have re-located to Querétaro, where he will head the office. A core team of Mexican nationals with a variety of experience have gone through extensive wire die specific training in Fort Wayne and another service center.
FWWD also has plants in Canada and the Philippines, and the Mexican addition is the first new one for the company in some 15 years. “Servicing the Mexican wire and cable market from the U.S. had been a challenge,” Bieberich said. “To really get serious about this market, the best solution for us was to do this. It can be intimidating to staff a new plant, but we have been impressed by the steep learning curve of our newest employees.”
Italy’s Continuus-Properzi announced that it has been selected by Adani Group to supply a Properzi ETP TOP copper rod line for a subsidiary—Kutch Copper Ltd.—for its new copper complex project in Gujarat, India.
A press release said that the deal represents a strategic milestone for the entire copper field, not only in India but also worldwide. “We are more than happy and proud to announce this strategic sale of a brand new Properzi CCR line designed to produce up to 250,000 tons of ETP copper rod per year and even more, with our mission to make this CCR line as the most efficient, easiest to operate, and highest quality in the sector. This new project, after several others during the last years, is further proof of our leading position in the copper and aluminum rod fields; Properzi is the benchmark and reference throughout the world.”
Company President Giulio Properzi said that the continuous casting and rolling ETP line to be delivered in 2023 to Adani will produce 38 t/h of copper rod. He noted that all such lines are developed in partnership with customers to meet their specific needs. “Every contract and every negotiation in our field requires considerable dedication and a lot of patience, as dialogues need very long times. But in this case, I could see the final achievement after an incredible long period of sixty years of sweat, efforts, hard work and engineering, since the first copper rod line my father provided, as a disruptive tool, to the industry in 1962.”
Per an on-line article in Business Today, Kutch Copper’s greenfield copper refinery project, in two stages, is designed to produce one million metric tons a year.
The Madem Reels Group announce that it has expanded in the Middle East with the Madem Gulf Ind. - Bahrain opening a new manufacturing, assembly and distribution plant in Jeddah, Saudi Arabia.
A press release said that the new site represents the company’s second manufacturing plant in the Middle East, following the initial plant located in Askar, Bahrain. The operations are scheduled to begin in 2023 with assembly and distribution beginning in the third/fourth quarter, while manufacturing is set for the first or second quarter of 2024.
The initial investment includes cutting-edge, fully automated wooden drum CNC lines. Annual capacity should reach over 1,000 truckloads of KD reel kits. The plant is expected to create more than a hundred new jobs.
“Aligned with our values and commitments to our customers, we are thrilled with the new plant in the Kingdom of Saudi Arabia,” said General Manager Alexandre Monte Mezzo. “It’s a great step in the continuous evolution of Madem Group to be part of KSA’s current developmental strategies and economic vision, which will further improve and maximize our production and delivery capacity within the kingdom itself as well as the GCC, Arab, and North Africa markets.”
“Opening a second branch within the GCC reiterates Madem Group’s strong commitment to cater to the growing requirements of customers in this region especially the booming KSA market in line with the Royal Vision 2030,” said Adel Abdulla Mohammed Janahi, general manager, sales. “This new plant incorporated with the latest automated technology will have increased capacity and productivity to meet all the requirements and demands of our customers in the region.”
Based in Brazil, the Madem Reels Group, has its own renewable forests, sawmill and manufacturing facilities in Brazil, USA, Bahrain, Colombia, Mexico and Spain that employ more than 700 associates world-wide. It ships to more than 200 wire and cable plants in 45 countries.
South Korea’s LS Cable & System (LS C&S) reports that its new high-strength aluminum material has been assigned an alloy number (AA8031) by the Aluminum Association (AA) of the U.S.
A press release said that LS C&S is expanding its new aluminum material business through its affiliated company, LS Alsco. AA8031 has better malleability and is more than 40% stronger than traditional aluminum materials that have been criticized for their weakness, and improved malleability. Another weakness of aluminum, where conductivity drops when strength is enhanced, has also been improved.
LS C&S projects that aluminum will replace copper in industries where lighter weight is important, such as the auto industry, since aluminum is lighter than copper and the market for aluminum will grow in the future.
Changing the conductor in automobile wiring from copper to aluminum reduces wire weight by more than 40%. The average wire weight of 25 kg per vehicle can be reduced to around 15 kg, resulting in improved fuel efficiency. The company plans to expand its supply of aluminum materials for electric cars and wind power generators through its high-strength aluminum material specialist company LS Alsco.
“Unlike patents, commercialization and the time required for commercialization serves as important review criteria for AA, which makes it difficult to obtain an alloy number,” said LS C&S Researcher Sang-gyeom Kim. “AA8031 has been commercialized for wires in vehicles manufactured by Hyundai and Kia since 2019 and its quality has been proven.”
AA provides global standards to corporations and policymakers. Over 500 alloy numbers have been assigned worldwide. Of those, 20 alloy numbers have been assigned in Asia, with Korea, Japan, and China having three, 14 and three, respectively. Those include all three for LS C&S, including Korea’s AA8031.
Hellenic Cables has signed a contract to provide the cable for a Greek project that will provide a new electrical interconnection for seven Greek islands.
A press release said that the order from Greece’s Independent Power Transmission Operator (IPTO), which oversees the country’s supply of electricity, calls for the design, manufacturing, and supply of 150 kV high-voltage onshore and offshore cables as well as their accessories, the installation, laying, and protection of the onshore and offshore cables, the implementation of necessary joints and terminations as well as the final tests after installation.
The project will integrate Milos and Serifos into the continental Electricity Transmission System, part of the fourth and final phase of the Cyclades interconnection. Scheduled to be in operation in a little more than two years, the new interconnection will significantly upgrade the quality of electricity supply to seven more directly and indirectly interconnected islands of the Cyclades (Folegandros, Milos, Serifos, Ios, Kimolos, Sifnos, and Kythnos). It will also allow the gradual withdrawal of polluting and aging power plants.
The cables will be manufactured at the Corinth plant of Hellenic Cables.
Xignux announced that it will invest $5.9 million to build a plant for Multipak, a manufacturer of reels and spools for the wire and cable industry that is part of Viakable and based in Durango, Mexico.
A press release said that the new plant will have a dimension of 12,000 sq meters in the Logistics and Industrial Center of Durango, which is located at Carretera Durango-Torreón. It is expected to be operational in late 2024.
The investment in the new plant will result in about three dozen new positions. The company currently has 295 employees in Durango, and others at its branches in Monterrey, Tlaxcala, Torreón and San Luis Potosí. At its website,
Multipak notes that it is one the main producers of wooden reels in Mexico, and recognized for its quality, flexibility and timely service. It also provides wooden, plastic and steel reels as well as auxiliary products such as pallets.
Multipak’s presence in Durango dates back to 1974. “We are excited about making an investment that will generate new jobs and allow us to grow our production capacity and optimize our processes to offer better solutions to our customers,” said Oscar de J. Martínez, director of Xignux Corporate Development. “We have a long-term commitment to the development of Durango and Mexico.”
The Prysmian Group announced that it has been selected as one of the preferred bidders for the Biscay Gulf interconnection project by INELFE, a joint venture between the Spanish grid operator, Red Eléctrica, and the French grid operator Réseau de Transport d’Électricité (RTE).
A press release said that Biscay Gulf will be the first fundamentally submarine interconnection between Spain (Gatika) and France (Cubnezais). It will have two high-voltage direct current (HVDC) links, each with a capacity of 1000 MW, and almost 800 km of HVDC submarine and land cables. The two links will increase in
2 GW the exchange capacity, improving the safety, stability and quality of electricity supply between the two countries and also with the rest of Europe.
Prysmian Group continues contract negotiations, with expectations of finalizing the contract in a few months.
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