Images1. Shipment of submarine cables at Donghae Port near Donghae Business Site, Gangwon-do
■ Turnkey contract from KEPCO for 232.4 billion won of HVDC submarine cables
■ Largest submarine cable project in Korea since 2009
On December 17, LS Cable & System (President & CEO Roe-hyun Myung) announced that it had won the ‘Jeju 3-connection submarine cable construction project’ of Korea Electric Power Corporation (KEPCO) with a bid of 232.4 billion won.
This is the largest submarine cable project in Korea following the ‘Jeju 2-connection submarine cable construction project’ completed in 2009.
With this project, scheduled to be completed in 2023, LS Cable & System will be connecting the 90km distance between Wando in Jeollanam-do and Jeju-do with HVDC (high voltage direct current) cables. LS Cable & System will be fully responsible for the project from the production of submarine cables to construction of all ancillary facilities.
Submarine cables will be routed in two lines to respond to the increase in Jeju’s electricity demand for reliable power supply, and at the same time it can transmit renewable energy generated on Jeju-do to the shore.
Unlike AC cables, HVDC (high voltage direct current) cables do not generate electromagnetic waves, and can also minimize environmental damage.
An international competitive bidding was held to select the contractor with LS Cable & System being the final winner. After four failures in bidding, LS Cable & System was finally selected through technical evaluation and other factors. Currently, there are only five companies in the world that can build such a system on a turnkey basis, and LS Cable & System is the only company in Korea with such capability.
President & CEO Roe-hyun Myung said, “When participating in this project, we not only considered the business results, but our responsibility for building-out the national power grid infrastructure as well. We will complete this project successfully, with a strong sense of duty.”
As countries around the world strengthen their renewable energy policies, LS Cable & System will be expanding its investments in such technologies by, for example, constructing specialized HVDC factories in Donghae-si, Gangwon-do in 2021. The company also expects that it will contribute to the development of the regional economy and employment through expanding local investment.
During this past year, LS Cable & System has won significant projects in the United States, Middle East and Europe, and, significantly, has entered into a long-term supply agreement with Orsted, the world’s leading submarine cable operator. In 2009, LS Cable & System entered the submarine cable industry that previously was entirely dependent on imports. Within 10 years the company established itself as a global supplier by achieving technology independence.
Images2. Description of submarine cable construction project for Jeju connection