SSEN Transmission, the transmission owner in the north of Scotland, has appointed NKT as the preferred bidder
for the supply of power cable systems for two HVDC transmission links offshore Scotland.

If confirmed, NKT will provide 525 kV XLPE HVDC power cable systems for the Western Isles and Spittal-
Peterhead offshore HVDC transmission links.

“Reaching preferred bidder status with NKT for the Western Isles and Spittal-Peterhead HVDC cable systems is
a hugely important step to support the timely delivery of these projects. We look forward to building on our long-
established and strong working relationship with NKT,” said SSEN Transmission Managing Director Rob
McDonald.

The parties are now proceeding with the negotiations with the intention of entering into a capacity reservation
agreement providing NKT with the securities needed to reserve capacity for the projects.

Subsequently, contracts are expected to be awarded, as well as an intended framework agreement for future
projects, NKT said.

“We are very excited to be selected as the preferred bidder by SSEN Transmission for these two Scottish HVDC
transmission links. This appointment is an opportunity to further strengthen the excellent collaboration that has
been cultivated between the parties with the Caithness-Moray HVDC Link, and the ongoing Shetland HVDC
Link,” said NKT President and CEO Claes Westerlind.

The Western Isles and Spittal-Peterhead offshore HVDC transmission links are part of The Pathway to 2030
Holistic Network Design (HND) which is a major upgrade of the electricity transmission network across Great
Britain that is required to help meet UK and Scottish Governments 2030 renewable energy and climate change
targets.

HND is said to set out a single, integrated design that supports the large-scale delivery of electricity generated
from offshore wind.

At the end of 2022, Ofgem approved the strategic electricity transmission reinforcements required to deliver the
UK Government's 50 GW offshore wind by 2030 target – a decision confirming that all SSEN Transmission
projects identified by the Electricity System Operator (ESO) as required to meet 2030 offshore wind targets will
be taken forward.

Speaking about recent news coming from NKT, the company revealed a couple of months ago that it was
planning to boost its high-voltage power cable business with a €1 billion investment in a new factory in Sweden
and a power cable vessel.