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About Global InterConnection Group (GIG)

Integrated platform projects Overview of Atlantic SuperConnection (ASC) Our team of experts & advisors

GIG is building an integrated platform in the interconnector cable sector

Market commentators are convinced the HVDC interconnector cable sector will experience sustained growth in the years to come owing to the increased penetration of renewable energy, growing electricity consumption, and a greater emphasis on energy security in national and international policy. This accelerated demand for HVDC cables, comes along with a severe shortage in the supply of HVDC cable manufactured to the required high standards.

In light of this, GIG is building an integrated platform to service, supply and invest in interconnector cables, data cables and wider energy  transmission and data infrastructure projects.

Integrated platform projects

Atlantic SuperConnection (ASC)

ASC Energy plc is developing Atlantic SuperConnection, a 1,794 MW 1,708 km interconnector between Iceland and the UK.

The first technical feasibility studies and conceptual design has been carried out by Owners’ Engineers RTEi (the international arm of the French National Grid operator); a seabed survey mapping to determine the optimal cable route; and the crucial connection agreement with National Grid has been secured near Hull, England.

In December 2024, ASC Energy plc signed a framework agreement with LS Cable and System. Under this framework agreement, LS Cable and System would be the sole supplier for the HVDC cable in connection with the Atlantic SuperConnection, the interconnector between Iceland and the UK.

  • Framework Agreement for ASC Energy plc to secure 3,500 kms of HVDC Cable from LS Cables and Systems.
  • A 1,800 MW UK Connection Agreement for ASC Energy plc at a proposed nationally critical energy hub, combining wind, geothermal and hydro pumped storage.
  • Full technical and financial feasibility analysis for the Interconnector

 SwissASC and ASC

Atlantic SuperConnection has secured the following key components for success, as detailed below:

  • Framework Agreement for ASC Energy plc to secure 3,500 kms of HVDC Cable from LS Cables and Systems.
  • A 1,800 MW UK Connection Agreement for ASC Energy plc at a proposed nationally critical energy hub, combining wind, geothermal and hydro pumped storage.
  • Full technical and financial feasibility analysis for the Interconnector

Connection Agreement and Birkhill Wood Substation

The National Grid report stated: “This investment is part of National Grid’s broader strategy to facilitate the UK’s net-zero electricity goals by 2030, ensuring a reliable and efficient transmission network capable of supporting increased renewable energy generation and electrification demands.

The new Birkhill Wood Substation also needs to connect Dogger Bank, a group of proposed new offshore wind farm, two interconnector proposals, including the ASC Agreement and the proposed North Humber to High Marnham grid upgrade. To do that a separate 400 kV substation is needed, approximately 700 metres to the north of the existing Creyke Beck Substation.”

Several interconnector projects have established or proposed connection agreements at the Creyke Beck substation near Hull:

  1. Continental Link Multi-Purpose Interconnector: This proposed high-voltage direct current (HVDC) link aims to connect the UK to other European markets via the Creyke Beck substation. Additionally, National Grid plans to integrate offshore wind farms into the National Transmission System (NTS) through this interconnector.
  2. Atlantic SuperConnection: This project involves a subsea HVDC cable intended to transmit up to 1.8 GW of renewable energy from Iceland to the UK. The developers have secured a bilateral connection agreement with National Grid for integration at the Creyke Beck substation.
  3. Dogger Bank Offshore Wind Farm: Developed by Forewind, this offshore wind project has multiple phases, with initial grid connection agreements established for up to 2 GW at Creyke Beck. The first phase, known as Dogger Bank Creyke Beck, connects to this substation.
  4. Hornsea Project Four Offshore Wind Farm: This offshore wind project has a grid connection agreement in place to connect to the Creyke Beck substation, with the projected connection anticipated in 2027 and 2028.
  5. NESO Charges: In the UK’s electricity market, operational charges imposed by the National Electricity System Operator (NESO) differ between interconnectors and wind farms.

Interconnectors explained

Interconnectors, as they are transmission links allowing electricity to flow between different countries, are exempt from certain operational charges. Specifically, they do not incur Transmission Network Use of System (TNUoS) charges, as they are considered part of the transmission network under European regulations. This exemption facilitates cross-border electricity trade without additional network charges.

Wind Farms explained

Wind farms, as electricity generators within the UK, are subject to several operational charges levied by NESO:

  1. Transmission Network Use of System (TNUoS) Charges: These charges cover the cost of building and maintaining the transmission network. Generators, including wind farms, pay TNUoS charges based on their location and the amount of electricity they generate. Tariffs are set annually, with higher charges typically applied to generators in the north due to the general north-to-south flow of electricity.
  2. Balancing Services Use of System (BSUoS) Charges: These charges recover the costs NESO incurs in balancing supply and demand on a real-time basis. All users of the transmission system, including generators like wind farms, share these costs. BSUoS charges are calculated daily and applied as a flat tariff across all network users.
  3. Connection Charges: When connecting to the National Electricity Transmission System (NETS), wind farms incur connection charges. These cover the costs associated with designing and building the necessary connection assets, such as transformers, switchgear, and cabling. The charges are calculated annually and consist of capital and non-capital components.

Overview of ASC

The first technical feasibility studies and conceptual design has been carried out by Owners’ Engineers RTEi (the international arm of the French National Grid operator); a seabed survey mapping to determine the optimal cable route; and the crucial connection agreement with National Grid has been secured near Hull, England.

The 1,794 MW Atlantic SuperConnection interconnector will provide Iceland with a greater security of energy supply. The cable will bring geothermal and hydroelectric electricity to the UK; and take offshore wind power to the existing Icelandic hydro dams, with pumped storage ‘refuelling’ the dams to create a 1,500 MW ‘clean battery’. On 14th August 2024, the Icelandic government’s energy regulator, Orkustofnun, awarded the first ever onshore wind farm license to Landsvirkjun.

The Atlantic SuperConnection interconnector will generate a substantial positive impact both environmentally and socially, with an estimated ISK 200 billion of annual benefits to Iceland and over 660 skilled jobs in the longer term. Some ISK 100 billion will be invested into strengthening the Icelandic grid.1

By providing the UK with dependable zero carbon energy, the Atlantic SuperConnection interconnector will help address the supply volatility from growing dependence on wind and solar; reduce the UK’s dependence on fossil fuels for peaking power; enhance energy security and reduce energy prices for UK consumers and businesses alike. It is expected that this interconnector will reduce the UK’s CO2 emissions from energy usage by more than 3% (i.e. 1.1 million tonnes of CO2 per year).2

  1. September 2021- AFRY: An assessment of the impacts of the Iceland-Great Britain cable on the Icelandic power sector and wider economy, p13
  2. September 2021- AFRY: An assessment of the impacts of the Iceland-Great Britain cable on the Icelandic power sector and wider economy, p13

Financing for ASC

Having secured an upgrade of the connection agreement to 1,800MW; the substantial technical resources and credibility of RTEi (the international arm of the French National Grid operator); and, we expect, another major strategic partner, ASC Energy is now planning to invest requisite development capital to move to Final Investment Decision (FID), the point at which construction can begin.

Backed by a £3.5 billion ‘highly interested’ letter of support already provided by a leading investment bank, if and when the necessary milestones are achieved, ASC plans to raise a minimum of £1.2 billion of equity funding towards the construction budget, with the balance to be funded with long-term debt.

Green Convertible Loan Notes (CLN’s)

In connection with the issue of ASC Energy plc 2056 Senior unsecured inflation linked green convertible loan notes (2056 CLN’s) and of Advanced Cables plc 2028 Senior unsecured inflation linked green convertible notes (2028 CLN’s), both companies are registered as Public Limited Companies with the UK Companies House.

Both ASC Energy Limited 2056 GreenBonds (ISIN: NL0015001FM1) and Advanced Cables Limited 2028 CLN’s (ISIN: NL0015001FN9) are listed on The International Stock Exchange.

The obligations which were guaranteed by Global InterConnection Group, will, subject to Noteholders’ approval, now be guaranteed by Global Interconnection Group Services SA.

ASC Energy plc has already listed index-linked Convertible CLN’s, due to mature in 2056, which issuance is intended to be increased under the planned Right of First Refusal Offer.

GIG has an assembled team of experts in the sector, supported by recognised advisors

Matthew Truell

Head of Power at Red Penguin, a leading undersea cable consultant, with experience working on most of the UK’s interconnectors.

Michael Ridley

Former senior adviser to governments of Iceland and Georgia. Former Vice Chairman of Investment Banking at JP Morgan and Co-Head of Debt Capital Markets.

The team is supported by a suite of leading advisors in the sector, including:

Owner’s Engineer

  • Consultancy arm of RTE (Europe’s largest grid operator)
  • RTE is a major subsea interconnector owner-operator, with five in its portfolio
  • Global advisor on grid upgrades and interconnector projects

Consultant Engineers & Energy Market Analysis

  • World-leading energy consultant and engineer
  • ASC feasibility & impact studies
  • Ongoing power price modelling and projections for major grid operators

Interconnector Specialists

  • Market leader in support for the submarine cable sector
  • Services cover all stages from project strategy to construction and asset management
  • Have completed work on 10 interconnectors including National Grid/RTE’s IFA-2 and National Grid/Stattkraft’s Viking Link

Press and investor information

For more information, please contact:

Company enquiries to:
Chrissie.boyle@globalinterconnectiongroup.com
or gig@admina.gg

Registered office:
First Floor, 10 Lefebvre Street St Peter Port Guernsey GY1 2PE

Media inquiries to:
James Culverhouse EQ
James.culverhouse@eqcorp.co
+44 20 7223 1100 / +44 7912 508 322