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LS Cable & System wins order from Ørsted for Taiwan for a renewable energy project

South Korea’s LS Cable & System (LS C&S) reported that it has signed an agreement to supply high-voltage submarine cable to Ørsted for renewable energy projects in Taiwan, where it notes that it has done extremely well.

A press release said that LS C&S will supply the cable for Denmark’s Ørsted—which it has partnered successfully with—for use in its Greater Changhua 2b and 4 offshore wind projects in Taiwan. Located 35 to 60 km from the Changhua coast in western Taiwan, it will be among the largest offshore wind farms in the Asia-Pacific region when it is completed at the end of 2025, able to generate 920 MW of renewable energy.

With the latest order, LS C&S has supplier rights for all eight projects of the Taiwan’s Phase 1 Offshore Windfarm Construction Projects. The accumulated amount of orders since 2019 are worth approximately 1 trillion won (about $776 million).

Taiwan is planning to complete the construction of offshore wind farms with total output of 5.5 GW through the first phase of the project by 2025 and will build additional offshore wind farms for an additional output of 15 GW by 2035. “We expect additional orders to be placed from Taiwan and estimate that the submarine cable market will be worth around 3 trillion won (about $2.328 billion),” an LS C&S spokesperson said.

The release said that LS C&S expects to see further positive results from its relationship with South Korea’s KT Submarine. Last December, LS C&S paid about $19.3 million to acquire 16% of the share of KT Submarine, an underwater construction firm that provides installation and repair services for submarine cable.

LS C&S notes it also has a call option that it can exercise that would enable it to be the largest shareholder in the company. Further, there are only about five companies in the world capable of both submarine cable manufacturing and construction, and LS C&S is the only company in Korea to be capable of such services.

Read 314 times Last modified on June 30, 2023