General – CRA
Sumitomo Electric Industries, together with consortium partner Van Oord and in collaboration with client SSEN Transmission, announced the signing of a Capacity Reservation Agreement (CRA) encompassing the supply and installation of a second 525kV HVDC cable link between Shetland and the Scottish mainland.
The signing of the CRA marks a significant new chapter in not only Scotland but the UK, with planned cable for the project to be delivered from Sumitomo Electric’s state-of-the-art manufacturing facility, currently under construction in Nigg, northeast Scotland. Cables of this type and technology have never previously been manufactured in the UK and the announcement is a significant step towards realizing substantial benefit for the local area and the country as a whole.
It follows the announcement in May 2024 that SSEN Transmission had selected Sumitomo Electric and Van Oord as preferred bidder for the Shetland 2 project, a crucial milestone underpinning Sumitomo Electric’s investment in its new cable manufacturing facility.
The Scotland factory is set to become Sumitomo Electric’s flagship for offshore cabling in the UK and Europe, with construction of the £350million facility now well under way after ground was officially broken on May 15, 2024.
The approximately 150,000m2 site build is progressing in accordance with the anticipated program with piling works nearing completion and factory foundations now well under way. Following the completion of the foundation work, the steelworks and factory fit-out are scheduled to take place in 12 to 15 months.
Yasuyuki Shibata, Chair of Sumitomo Electric UK and Europe, said: “We are delighted to have penned this Capacity Reservation Agreement with SSEN Transmission. This is a significant milestone for Sumitomo Electric’s subsea cable factory investment in Scotland. Sumitomo Electric UK & Europe and Van Oord 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, said: “We are pleased to announce the signing of the Capacity Reservation Agreement with SSEN, representing a significant milestone for the Shetland2 project. At Van Oord, 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.”