On a roll: US offshore wind supply chain up and running with $200m Nexans cable plant

French giant's South Carolina facility is largest investment yet to support massive growth of sector

Nexans' refurbished cable making plant in Charleston, South Carolina.
Nexans' refurbished cable making plant in Charleston, South Carolina.Foto: Nexans

Nexans' new $200m subsea cable plant in Charleston, South Carolina has been hailed as the start of what is expected to be a massive industrial ramp-up to support the offshore wind sector, after the French manufacturer completed the largest US supply chain investment by a private firm so far.

The 44,000-square-metre Nexans plant was converted from manufacturing high voltage transmission lines to cables for offshore wind farms, and already counts as customers Eversource and Orsted, which are allied for several projects on the northeast Atlantic coast, as well as Equinor, which is developing the Empire Wind projects with BP off Long Island, New York.

“It’s an exciting time for the wind industry in the US,” said Christopher Guérin, CEO of Nexans. “We believe that offshore wind will be key to create a clean energy economy; helping to add jobs, stimulate the economy, all while cutting greenhouse gas emissions."

The Biden administration has set a national goal of 30GW by 2030, with individual state targets expected to further fuel a rapid expansion of the offshore wind supply chain to support the sector's steep growth.

Export and array cables are set to form part of what sector body the Special Initiative on Offshore Wind (SIOW) expects to be a a $109bn market for supply chain companies in the coming decade, with major opportunities also present in key areas such as towers and foundations, as well as the turbines themselves.

Nexans is a major supplier for the industry in Europe, with over 33% of the export cable market in the European offshore wind sector, and expects 250% growth in the global market as demand for power links booms.

The Nexans US plant will also supply the international market, with the first customer an undisclosed wind farm in the UK.

The plant, located in Goose Creek, was built in 2014 to serve the high-voltage transmission market, but shifted to subsea cable making and can supply 525kV HVDC and 400kV HVAC systems.

By the end of 2021, Nexans will have created 210 new jobs to support the industry's development in South Carolina. The group owns two other manufacturing facilities through its American subsidiary AmerCable, in El Dorado, Arkansas, and Houston, Texas, and produces cable systems for oil and gas as well as onshore wind.

Orsted is also pledging to invest in a $140m inter-array manufacturing facility with Greek cable manufacturer Hellenic Cables at its Tradepoint Atlantic site in Maryland as part of its Skipjack 2.1 bid in the round two Maryland auction. The inter-array cable maker will supply the entire US market.

The bipartisan infrastructure bill just signed into law by Biden offers $65bn for transmission grid upgrades to enhance grid reliance and enable the integration of offshore wind power into the network, one of several key bottlenecks facing the industry.
(Copyright)
Published 17 November 2021, 23:58Updated 18 November 2021, 00:16
AmericasUSTechnologyNexans