Prysmian reports that it has been awarded a contract worth over €100 million by Petrobras to provide 170 km of deep-water electro-hydraulic umbilicals and related specialized offshore and logistic services.

A press release said that the deal calls for deep-water steel tube and thermoplastic umbilicals. They will be engineered, produced, tested and delivered from 2024-2027 by Prysmian’s offshore specialties site in Vila Velha, Brazil.

“This award confirms the mutual trust and long-standing relationship between Petrobras and Prysmian Group, as it is the latest of several projects developed for the Brazilian energy company,” said Detlev Waimann, CCO Projects Business Unit, Prysmian Group.

The release said that the dedicated Offshore Specialties unit can deliver solutions for the most challenging subsea projects. In recent years, the Group has invested in further expanding its industrial assets in the Vila Velha plant and its logistic delivery options, as well its entire end-to-end value generation process, from the R&D modelling up to offshore services, to better meet customer needs offering technologically advanced cable solutions.

Per a company data sheet, the umbilicals are high pressure hydraulic control hoses made of a nylon extruded liner, reinforced with a polyaramid braid and sheathed with an extruded polyurethane layer. Electrical control cables are insulated and jacketed with SEVEREX high performance compounds. The electrical cable design and performance can meet the most demanding and specific system requirements. The umbilical components are assembled and sheathed with a polymeric extruded layer and then armored with a counter-helix double-layer flat steel wire armor, to virtually eliminate any torsional tendency due to installation/operation stresses and improve the umbilical hydrodynamic stability.

Prysmian wins contracts for 50Hertz project
Prysmian PowerLink Srl, part of the Prysmian Group, has been awarded new HVDC cable contracts worth some €1.1 billion by 50Hertz, a transmission grid operator in Germany.
A press release said that order is part of 50Hertz’s long-term EPCI (Engineering, Procurement, Construction and Installation) contracts for German projects. This one is for Lot2, which includes EPCI contracts for the NOR-11-1 submarine and DC31 land projects, along with Lot7. The projects are part of Germany’s overall goal to reach a cumulative installed capacity of 70 GW by 2045 for offshore wind and to transfer the energy generated in the North Sea to consumers in the eastern and southern regions of Germany.
Under Lot2, Prysmian will be responsible for the EPCI elements as well as testing and commissioning the two turnkey projects—NOR-11-1 and DC31—that will have an overall cable length of around 1,000 km. With a power transmission capacity of 2 GW, NOR-11-1 is a 525 kV HVDC submarine project utilizing submarine cable plus underground cable along the route that is planned to connect the offshore windfarm area N-11-1 to the German grid in the Heide/West area. The second project of Lot2, the DC31 is a 525 kV HVDC underground cable project and is planned to transmit power from the Heide/West area to Klein Rogahn.
Both the submarine and land HVDC cable systems will consist of two single-core copper cables with XLPE insulation plus a dedicated XLPE metallic return (DMR) cable and a fiber optic cable. The submarine power cables will be produced at Prysmian’s plants in Pikkala, Finland, and Arco Felice, Italy, and the submarine fiber cables will be manufactured in Nordenham, Germany. The underground power cables to be used will cover both the DC31 and the underground part of the NOR-11-1 project will be produced in France.
Prysmian was also deemed a primary supplier for Lot7, which consists of a framework provision allowing 50Hertz to contract future 525 kV offshore and/or onshore projects with a cable core length volume of up to 2,700 km within an agreed period, and burial of offshore cables.
“We are happy to collaborate and strengthen our partnership with 50Hertz on these important projects and contribute to the German ‘Energiewende’ with our solutions and experience, supporting the growth of green energy use in Germany and around the world,” said Hakan Ozmen, EVP Projects BU, Prysmian Group.

The Prysmian Group announced that it has agreed to reserve capacity to supply the cable to the Marinus Link Pty Ltd., a subsidiary of the Australian TSO TasNetworks, for a new power interconnector between Tasmania and Victoria, Australia.

A press release said that the contract for the project, valued at approximately €90 million, will be negotiated and is expected to be finalized within 2024. Prysmian Group has reserved the capacity to design, test, supply and install a HVDC Cable System, consisting of 320 kV single-core cables with XLPE insulation and single-wire armoring, covering both submarine and land sections.

The submarine connection will be approximately 255 km long, from Northwest Tasmania to Waratah Bay, Victoria, while the underground cable will run for approximately 90 km reaching the Latrobe Valley, Victoria. The link will include a submarine fiber optic cable of 255 km.

The submarine cable would be made at the Prysmian Group’s plant in Arco Felice, Italy, while the land cables has been reserved at its plant in either Delft, The Netherlands, or Gron, France. The laying would be done by the Prysmian Group’s Leonardo da Vinci.

Under the Marinus Link project, Prysmian Group is expected to also provide a fully integrated PRY-CAM permanent monitoring system. All cables will be constantly monitored using the PRY-CAM innovative solutions like Distributed Temperature (DTS) and Acoustic Sensing (DAS) to measure all key operating parameters of the whole cable system.

“This capacity reservation agreement has a strategic importance for Prysmian as it underlines our global leadership and strengthens our regional presence in Oceania as a major supplier of an extensive range of high-tech products to power utilities,” said Detlev Waimann, Chief Commercial Officer Projects BU, Prysmian Group.

Of note, the project originally called for two power cables. In 2017, the Marinus Link was designed to include two 750-megawatt cables at a total cost of about $3 billion. Fast forward through a period of global inflation, Covid and raw material cost increases and the projected cost was $5.4 billion. The cost for the project with a single cable was estimated at $1.9 to $2 billion. The single cable, it was said, would achieve about two-thirds of the project value.

The last acquisition by Prysmian, the world’s largest cable manufacturer, was its largest ever: a $3 billion deal for U.S.-based General Cable that was completed in 2018. Per a report in Reuters, the company may make another deal in the year or two.

The Reuters story said that during an analyst call, Chief Executive Valerio Battista said that “until recently M&A ‘was a suicide’ due to sky-high valuations.” That situation is changing, and Prysmian has a healthy balance sheet that allows it to pursue opportunities. “Frankly speaking, I believe that in the next 12-24 months ... some of our competitors may come to the door,” he said.

No potential acquisitions were cited in the article, which noted that Prysmian expects a cash flow of between €550-650 million this year, topping prior guidance.

The Prysmian Group has received the notification from SSEN Transmission and National Grid Electricity Transmission plc, the GB electricity transmission network owners, selecting them as the exclusive preferred bidder for the Eastern Green Link 2 (EGL2) cable connection.

A press release said that the Prysmian Group continues the contract negotiations with the aim of concluding the contract in a timely manner. Eastern Green Link 2 is a planned high voltage direct current (HVDC) submarine and underground cable link of around 500 km route length between Peterhead in Scotland and Drax in the North of England. With a power transmission capacity of 2 GW, it is expected to be one of the first cable systems in the U.K. to utilize 525 kV technology with extruded XLPE insulation.

EGL2 forms part of a series of planned system reinforcements required to increase the capability of the existing U.K. transmission network and facilitate renewable generation in the North to demand centers to the South, supporting the target of enabling 50 GW offshore wind generation by 2030 and achieving a Net Zero economy by 2050, the release said.

SSEN Transmission, operating under license held by Scottish Hydro Electric Transmission plc, owns, operates and develops the high-voltage electricity transmission system in the north of Scotland and remote islands. Its network includes 132 kV, 220 kV, 275 kV and 400 kV electricity transmission.

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.

The Prysmian Group reports that it has been chosen by National Grid Electricity Distribution (NGED) to help the upgrading process of the U.K.’s electricity grid.

A press release said that Prysmian has been awarded a medium-voltage cable framework agreement with NGED, the U.K.’s largest electricity distribution network, that is for a minimum of three years. The deal was reached through Prysmian’s U.K. subsidiary.

Prysmian will supply medium-voltage cables primarily made at the Group’s Wrexham plant in North Wales. The cable will enable NGED Grid to expand and modernize the network. Prysmian and NGED have built a strategic relationship over many years across all voltage levels for supply into the U.K. market. Such projects include the North Sea Link, the world’s longest submarine electricity interconnector, enabling the sharing of renewable energy between the U.K. and Norway; the Viking Link, the first submarine cable connection between the U.K. and Denmark; IFA2, the turn-key design, manufacture and installation of a submarine and land power cable link to connect Tourbe in France to Chilling in Hampshire, U.K.; and the Western HVDC Link, a new submarine High Voltage Direct Current (HVDC) interconnector between Scotland and England.

Hellenic Cables receives a 2nd contract to replace existing cable lines in Adriatic Sea

Hellenic Cables has signed a second contract with Croatia’s Končar Group to supply it approximately 30 km of 110 kV high-voltage submarine cables to replace outdated cable lines in the Adriatic Sea.

A press release said that Hellenic Cables will start production of the cable this year at its production facility in Corinth, Greece, and is expected to finish early in 2024. The company will also provide accessories and related services as part of the project for Končar Engineering Ltd., a regional supplier of engineering solutions, power transmission and distribution, rail vehicles and infrastructure.

The order marks repeat business. A prior order, in 2021, completed in 2022, saw the delivery of 12 km of 110 kV submarine cables, accessories and related services. “For the second time, we have chosen Hellenic Cables as a partner in a strategic project in Croatia which will connect Croatian islands Hvar, Korčula, Cres and Lošinj with new 110 kV HV cables,” said Gordan Planinić, MOB of Končar Engineering Ltd. “This enables, above all, to maintain the security of supply of customers on the Adriatic islands as well as a significant environmental contribution to the preservation of the cleanliness of the Adriatic Sea.”

The Prysmian Group announced that it has seen its “B” rating improve to an “A-” in terms of its CDP (carbon disclosure project) ranking for a covered period (2021 versus 2019) the company saw its Scope 1 & 2 emissions decrease by more than 22%.

A press release said that the improvements cited in its score for the Carbon Disclosure Project (CDP) stemmed from reduced consumption, electrification and the use of renewable energy. In 2021, Prysmian recorded a 3% reduction despite the acquisition of four new production sites through focused actions (e.g., LED lights, biomass boilers and replacement of old machinery versus more efficient ones). It also installed several solar farms in its factories and aims to expand the amount of self-generated energy with renewables significantly in the coming years.

“Climate is the most urgent pillar of sustainability and we must deliver results quickly in order to guarantee a better future for next generations,” said Maria Cristina Bifulco, who is the chief sustainability officer and investor relations vice president for the Prysmian Group. “The A- ranking in the CDP Questionnaire confirms that we are on the right path in the decarbonization process and that our commitments are solid and recognized. The recent confirmation of Prysmian in the DJ World Index and the excellent results achieved further confirms how sustainability represents a key priority for the group.”

In 2021, the Prysmian Group launched its Climate Change and Social Ambition in 2021, which aims “to make the Group one of the leading technological players in the transition to low carbon energy and decarbonize its operation by 2035 (Scope 1 and 2) and be net-zero across the whole value chain by 2050 (Scope 3).”

In related news, Prysmian Australia has been awarded NBN’s ‘Protected Environment’ Award for 2022. Prysmian has had a longstanding partnership with NBN Co., locally manufacturing and supplying the optical ribbon cable integral to NBN’s national network as well as being its exclusive supplier of copper cable. All NBN cables are manufactured in Prysmian’s Dee Why, Sydney plant.

Prysmian’s ability to innovate saw the optimization of the 12-fiber stranded feeder cable to NBN. The local team worked closely with NBN’s engineering design team to challenge the existing cable design and develop a smaller and lighter cable without compromise to the mechanical, environmental and optical performance. After several iterations of prototyping and testing, the final design was a reduction in weight of 21% (which is mostly plastic material), a 27% reduction in size and a doubling of cable length on the existing size drum, with no change to the cable performance characteristics or handling methods.

In 12 months, there were significant benefits to material usage and carbon emissions, namely, it reduced: use of plastics by 129 metric tons; use of timber by 87 metric tons (1400 wooden drums) due to ability to supply longer lengths of cable on the same drum; carbon emissions by 1,175 metric tons; and emissions from logistics as 1400+ drums were taken off the road.

“We are delighted that our long-term strategy to manufacture locally, with a commitment to innovation and sustainability, continues to be of significant value to our customers” said Prysmian Oceania CEO Hama Shroff.