LS Cable inks $159 mn Taiwan submarine cable supply contract

LS Cable & System Ltd., South Korea’s top wire and cable producer, signed a formal contract worth 150 million euros ($159 million) to supply submarine cables for an offshore wind farm in Taiwan, enhancing its presence in the global market.

The company has won all the cable supply deals, which totaled some 800 billion won ($615 million), for the first phase of Taiwan’s offshore wind farms so far.

LS Cable said on Friday it is set to provide the cables for the Hai Long offshore wind farm project, one of the largest offshore wind farms in the Taiwan Strait. The South Korean company was selected as a preferred supplier for the project in October last year.

Canada’s Northland Power Inc. and Singapore’s Yushan Energy Pte. Ltd. participated in the development of the Hai Long offshore wind farm, which is set to generate about 1 gigawatt (GW) of electricity a year once completed in 2026, similar to the capacity of a nuclear power plant.

LS Cable has recently acquired a stake in undersea cable construction firm KT Submarine Co. to enhance its building capabilities and meet the sharp growth in the world’s submarine cables.

LS Cable expects KT Submarine’s undersea construction technology and vessel operation capabilities to help secure more orders worldwide.

In Taiwan, LS Cable seeks to win more deals for the second and third phases of offshore wind farm projects whose values are predicted to be at as much as 2 trillion won.

Write to Sungsu Bae at baebae@hankyung.com
Jongwoo Cheon edited this article.