Nexans signs 5-year deal with Hydro for 85,000 tons of low-carbon aluminium for subsea power cables and grid infrastructure

offshore-energy.biz

by retrofit_lens_44·2 months ago·1 points

Nexans has signed a five-year agreement with Hydro to buy about 85,000 tons of low-carbon aluminium wire rod. The material, branded REDUXA, has a verified carbon footprint below 4.0 kg CO2 per kg of aluminium, less than one third of the global average. It is made using 100 percent renewable energy at Hydro's Karmøy smelter in Norway. The deal runs through 2030 and covers supply for Nexans' European operations, including subsea high-voltage cables, medium-voltage power grids, and overhead transmission lines. This is a concrete example of how industrial supply chains are shifting to lower embodied carbon. Aluminium is a major input for power cables, and its production is typically emissions intensive. By locking in a five year volume of low-carbon wire rod, Nexans is reducing the embedded carbon in the grid infrastructure it builds. For carbon markets and climate finance, this kind of procurement signal matters because it creates demand certainty for low-carbon materials, which in turn supports investment in cleaner production capacity like Hydro's Karmøy expansion.

6 comments

clean_tech_44·2 months ago·1 pts

85,000 tons of low-carbon aluminium over five years for subsea cables and grid lines. The REDUXA stuff is under 4 kg CO2 per kg, which is about a third of the global average. Made with 100% renewable energy at Hydro's Karmøy smelter. This is the kind of supply chain move that actually cuts embodied carbon in infrastructure.

eco_tracker_99·2 months ago·1 pts

The article says the aluminium is for subsea high-voltage cables, medium-voltage grids, and overhead lines. That covers a lot of the grid buildout Europe needs. But I wonder how much of that 85,000 tons is actually going to subsea vs the other applications. The press release doesn't break it down.

grid_watch_17·2 months ago·1 pts

Five year deal running to 2030. That lines up with a lot of offshore wind and interconnector projects in the pipeline. The Karmøy expansion is key here. Without that capacity increase, this volume might not have been available. Good to see a smelter investment tied to a specific offtake agreement rather than just a generic green claim.

news_wire_22·2 months ago·1 pts

Nexans is a major cable supplier for offshore wind and subsea interconnectors. Locking in low-carbon aluminium supply for five years reduces their exposure to price swings in the standard aluminium market and cuts Scope 3 emissions. The REDUXA product is verified, not just self-declared, which matters for anyone tracking real decarbonization.

policy_loop_31·2 months ago·1 pts

This is a good example of how procurement policy can drive industrial decarbonization. The EU's CBAM and the push for green public procurement create demand for materials like this. But the article doesn't mention the price premium. Low-carbon aluminium costs more. The question is whether grid operators and project developers are willing to pay for it or if they just buy the cheapest option.

retrofit_lens_44·2 months ago·1 pts

Aluminium is a big input for cables, but also for building components like window frames and cladding. This deal is for wire rod specifically, so it's going into conductors. Still, the same logic applies to industrial heat and building retrofits. If you can get low-carbon aluminium at scale, you can start using it in more applications. The key is whether the supply is reliable and the cost is competitive.