Sumitomo Electric Industries Signs Agreement for Second HVDC Cable Link

Sumitomo Electric Industries, in partnership with Van Oord, has recently finalized a Capacity Reservation Agreement (CRA) with SSEN Transmission for the supply and installation of a second 525kV HVDC cable link connecting Shetland to the Scottish mainland.

This agreement comes after SSEN Transmission selected Sumitomo and Van Oord as the preferred bidder for the Shetland 2 project back in May 2024.

The high voltage direct current (HVDC) cables required for the project will be produced at Sumitomo’s new manufacturing facility in Nigg, northeast Scotland. This facility marks the first time such cables of this type and technology will be manufactured in the U.K., making it a flagship location for offshore cabling in the region.

Construction of the 150,000m2 site is progressing on schedule, with piling works almost complete and factory foundations well underway.

Yasuyuki Shibata, Chair of Sumitomo Electric UK and Europe, expressed his enthusiasm for the agreement, stating, “We are delighted to have penned this Capacity Reservation Agreement with SSEN Transmission. This is a significant milestone for Sumitomo’s subsea cable factory investment in Scotland, and we are committed to the successful construction of the HVDC link in a safe and timely manner.”

Arnoud Kuis, Managing Director Offshore Energy at Van Oord, also shared his excitement about the agreement, saying, “We take pride in contributing to this initiative with our extensive expertise in cable installation. This agreement underscores our shared commitment to delivering energy infrastructure and enhancing the energy transition.”

Rob McDonald, Managing Director of SSEN Transmission, added, “We are delighted to reach this major milestone with Sumitomo and Van Oord for the Shetland 2 project. It’s great to see the progress being made at Sumitomo’s new cable manufacturing facility, and we are extremely proud to be supporting their investment and the major boost to the Highland economy this will unlock.”

This agreement marks a significant step forward in the development of the Shetland 2 project, showcasing the collaboration between industry leaders to enhance energy infrastructure and drive the energy transition forward.