BNP Paribas acted as the structuring bank, bookrunner, mandated lead arranger (MLA) and lender for both credit facilities. Euler Hermes was joined by HSBC Bank as bookrunner for the agent of the SACE export credit and by and by Natwest as bookrunner and MLA for the Euler Hermes export credit.
In-service date in late 2023
Viking Link – the UK’s first subsea power cable to Denmark – will stretch over 474 miles from the Lincolnshire coast to Revsing on the Danish west coast. It is being built by a joint venture between National Grid and the Danish TSO Energinet.
The interconnector will be formed by two parallel HVDC (High Voltage Direct Current) cables, manufactured and installed by Prysmian Powerlink and NKT HV Cables. The former will deliver four of the five cable lots, while NKT will supply the onshore cable lot in Denmark. Siemens, meanwhile, will supply and install equipment for two converter station in Lincolnshire and Revsing.
Due completed before the end of 2023, the interconnector is meant to 1400 MW cable will supply renewable energy (mostly wind power) to 1.4 million households in Britain.
Britain’s 6th interconnector to Europe
For Britain, Viking Link will be the sixth interconnector to Europe. National Grid already has three operational interconnectors to France (IFA), the Netherlands (BritNed) and Belgium (Nemo Link). Two further projects are under construction to France (IFA2, operational 2020) and Norway (North Sea Link, operational 2021).
Following the completion of Viking Link, National Grid will have 7.8 GW of interconnector capacity – enough to power 8 million homes. The TSO aspires to source 90% of its electricity imports from ‘zero carbon sources’ by 2030.
“Britain’s energy system is in the midst of a rapid and complex transformation. We know we have a critical role in the acceleration towards a cleaner future,” Katerina Tsirimpa, Head of Corporate Finance for National Grid commented. “This green loan represents an important contribution towards our net zero commitment.”