NKT, Denmark’s largest power cable manufacturer, has recently won a multi-million dollar contract with their nation’s transmission system operator, Energinet. Overall, this deal is valued at approximately €650 million, or $758 million. Under this agreement, Prysmian will design, manufacture and install a HV DC cable system. This cable will connect the Bornholm Energy Island with Denmark’s national power grid in Zealand. This audacious project aims to massively expand electricity exchange between Denmark and Germany. It will power the equivalent of 3.8 million homes with offshore wind energy, generated by as many as 10 new offshore wind farms.
The contract marks the continuation of NKT’s joint efforts with Energinet. It further follows a February agreement this year between TenneT and the German transmission system operator 50Hertz. As part of the new framework agreement, NKT will produce the power cables from its Karlskrona facility. This facility is proud to be operated on 100% renewable energy.
Project Details and Logistics
The proposed cable system would include a 200-kilometer offshore route. It will feature a 16.8-kilometer onshore route, providing a powerful new link between the two countries. NKT has recently announced that they are ready to mobilise the vessel NKT Eleonora for offshore cable installation. Operations are planned to start in 2027! Her specialized capabilities are adapting to the requirements of advanced, large-scale projects so that installation processes have the efficiency and effectiveness that large, developing projects require.
NKT’s Karlskrona facility holds great importance to the project. It’s where big ideas meet advanced manufacturing and we’re powered by 100% renewable energy. This commitment to sustainability aligns with global efforts to transition to greener energy solutions and underscores NKT’s dedication to environmental responsibility.
Commitment to Sustainable Infrastructure
Claes Westerlind, President and CEO of NKT, expressed enthusiasm about the project and its implications for energy infrastructure in Europe.
“We are delighted and proud to continue the long-term collaboration with Energinet on this innovative and ambitious project strengthening the interconnection between Denmark and Germany.” – Claes Westerlind
Westerlind reiterated NKT’s contribution to helping Europe achieve its sustainable energy targets with this contract. The sub-sea interconnector is designed to increase overall energy transfer between the two countries. It is an essential driver to help us become more dependent on renewable energy sources.
NKT’s role in this major project continues a trend that has helped earn it a reputation as the leader in high-voltage power cable solutions. With its deep commitment to innovation and sustainability, the company is moving smartly inside the rapidly changing landscape of energy infrastructure.
Financial Outlook
Considering the size of this new contract, NKT does not expect any impact on its 2025 financial outlook. This is a testament to the organization’s ability to strategically and logistically manage big-dollar projects. It’s a testament to their commitment to ensuring a consistent financial path.