Borealis is making two major investments in cross-linked polyethene (XLPE) production facilities at its site in Sweden. These projects will increase capacity for insulation materials used in medium, high, and extra-high voltage (MV, HV, EHV) power cables. Said cables are required when expanding transmission and distribution networks to integrate more renewable energy sources, support electrification, and deliver energy transition.
Borealis
Borealis expands XLPE production in Sweden
These investments are part of the company and Borouge’s “Building for the Future” commitment, which includes a EUR 200 million initiative to upgrade and expand XLPE and semicon assets at European sites.
“We’re continuously investing in innovation and optimising our product portfolio to meet the evolving needs of the energy industry,” said Craig Arnold, EVP Polyolefins, Circular Economy Solutions and Base Chemicals, Borealis. “This expansion at our Stenungsund site strengthens our ability to keep pace with growing demand for advanced insulation materials and enables our customers to deliver the power cables that make the energy transition possible.”
Project One: Expanding capacity for MV XLPE
The first project involves constructing a new production unit for insulation grades used in medium-voltage power distribution cables. This unit will help produce the next generation of homopolymer XLPE grade, matching the performance of Borealis’ existing MV portfolio, while delivering a lower carbon footprint with optimised production. The expansion will improve the EU’s local material availability, ensuring the MV market’s supply. Commercial availability is expected in Q1 of 2027.
Project Two: Expanding capacity for high-end XLPE for HV and EHV applications
Meanwhile, the second project will add capacity for advanced XLPE grades used in high- and extra-high voltage alternating current (AC) and direct current (DC) cable systems. These systems reinforce national grids and enable large-scale power transmission.
Additionally, Borealis will further expand its closed and controlled loop (from monomer to final packaging) system, ensuring enhanced cleanliness standards and reliability. Construction is scheduled for completion in 2026, with commercial availability expected in 2027.
