New € 20 million investment to increase the production capacity in the high and extra high voltage cables manufacturing unit of Baoying

With the purpose of a further strengthening in China in the growing sector of Extra High Voltage cable systems, Prysmian has also planned a further € 20 million investment to increase the production capacity in the Baoying manufacturing unit. The plant will be enlarged with the building of a new vertical tower for the production of extruded cables through VCV (Vertical Continuous Vulcanization) process, one of the ultimate technologies. The Baoying plant had already been enhanced in 2008 with an investment of approximately € 10 million and will become one of the most advanced cable factories in the country, when the second phase is completed.

To witness the commitment to strengthen the Italian presence in China in sectors with the most advanced level of technology and added value, the Italy-China Association chaired by Cesare Romiti has entrusted Prysmian with the China Award 2009 as “best Italian technology example in China.” The award ceremony will take place tonight in Milan during an official event with the presence of the People’s Chinese Republic Ambassador in Italy, Sun Yuxi.

More specifically the new contract includes the supply and installation of a cable system consisting of 2,370 meters of extruded insulation (XLPE) 500 kV cables and 12 sets of GIS (Gas Insulated Switchgear) sealing-ends. The system will link the underground and ground Gas Insulated Switchgears in the Xiangshuijian hydroelectric power plant, located in the Anhui Province, between Nanjing and Shanghai, which has a total capacity of 1,000 MW.

“The value of this contract is for several million dollar but it is very strategic also because it opens the top end of the market characterized by a higher content of technology and we are investing in this field” says Paolo Bazzoni, CEO of Prysmian China. “China represents approximately 20% of the worldwide cable market, with growth expectations higher than the average. Recently, the Chinese Government has announced the construction of approximately 26,000 kilometers of new power lines and Prysmian is ready to seize these opportunities of development, thanks to the local investments made in recent years in terms of both technology and products as well as production capacity and human resources development.”