Prysmian awarded $140m submarine cable contract

Prysmian Group has been awarded a contract by Hainan Second Cross-Sea Interconnection Tie Project Management Co. worth more than $140 million for the design, supply, installation, and commissioning of a submarine power cable link for the second interconnection between Hainan island and China mainland.

The new submarine cable link will side the existing 500 kV cable circuit connecting Guangdong power grid and Hainan power grid effectively improving the quality of electricity supply between the two provinces. One of the island’s key customers to benefit from the extra power will be a 1300 MW nuclear power plant being built in Changjiang County. The combined capacity of the submarine power cables and the nuclear power will help boost Hainan’s efforts of being an international tourism island.

The new Hainan interconnection comprises four HVAC (High Voltage Alternating Current) 500 kV single core SCFF (self-contained fluid filled) cables to be laid under the Qiongzhou Strait in southern China, along a 32-kilometer route. The cable system will link the Gangcheng transformer substation in Guangdong’s Zhanjiang to the Fushan transformer substation in Hainan’s Chengmai County, and have a transmission capacity of 600,000 kW. Cables will be operated in AC configuration, but are designed to work in DC configuration as well. Delivery and commissioning is scheduled for the first quarter 2019.

Commenting on the news, Massimo Battaini, Prysmian Group’s senior vice president of Energy Projects, said: “We are particularly proud of this new award as this is the first Extra High Voltage submarine cable project that Prysmian will execute in the People’s Republic of China. This contract has strategic value, due to being awarded in China, a market with high growth potential, which is investing RMB 11.1 trillion (1.8 trillion US$) in its power industry in the period from 2011 to 2020.”

In other news, the Group has also won a bankruptcy auction for certain assets of a HV cables factory in China previously operated by Shen Huan Cable Technologies for around €42 million.

 

Once the acquisition is completed, Prysmian Technology Jiangsu will be able to count on manufacturing and logistics facilities consisting of an area of more than 190,000 sqm and 5 production lines with a production capacity of over 20,000 tons per year. Prysmian Technology Jiangsu will offer a wide range of cable technologies and products, including Extra High Voltage and High Voltage cable systems as well as Medium Voltage and Fire Protection cables, from 6 kV to 500 kV. Located in the city of Yixing, Wuxi municipality, Jiangsu province, the new facility will be capable of producing all the main designs available in the HV systems sector.

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