Borealis Expands XLPE Production in Sweden to Meet Rising Demand for Cable Insulation Materials

• A major investment at Borealis’ site in Stenungsund, Sweden, will expand production of cross-linked polyethylene (XLPE) for power cable insulation materials
• Delivered through two projects, the expansion adds new capacity for medium-, high- and extra-high voltage (MV, HV, and EHV) applications; it also expands Borealis’ closed and controlled loop (from monomer to final packaging) system to ensure the highest cleanliness standards in HV and EHV production
• The investment is part of Borealis and Borouge’s EUR 200 million “Building for the Future” commitment to provide customers with the advanced materials they need to deliver the power cables essential for the energy transition

Vienna, Austria, October 9, 2025 - Borealis is pleased to announce two major investments in cross-linked polyethylene (XLPE) production facilities at its site in Stenungsund, Sweden. Together, these projects will significantly increase capacity for insulation materials used in medium-, high- and extra-high voltage (MV, HV, and EHV) power cables. These cables are essential for expanding transmission and distribution networks so they can integrate more renewable energy sources, support electrification, and ultimately deliver the energy transition.

The first project is the construction of a new production unit for insulation grades used in medium-voltage power distribution cables. The asset will produce a new-generation homopolymer XLPE grade that matches the proven performance of Borealis’ existing MV portfolio, including processing and productivity advantages, while delivering a lower carbon footprint through optimized production.

The expansion will improve local material availability within the EU, ensuring continuity of supply to meet MV market demand. It will also enable bulk deliveries, further reducing the cradle-to-gate carbon footprint of the product. Commercial availability is expected in Q1 of 2027.

The second project adds capacity for advanced XLPE grades used in high- and extra-high voltage alternating current (AC) and direct current (DC) cable systems. These systems are essential for reinforcing national grids and enabling large-scale power transmission. HVDC technology, in particular, is needed to bring offshore renewable power to shore and integrate it into national grids.

As part of this expansion, Borealis will further expand its closed and controlled loop (from monomer to final packaging) system to ensure best-in-class cleanliness standards and the reliability required for critical energy infrastructure. Construction is scheduled for completion in 2026, with commercial availability expected during the course of 2027.

This investment is part of Borealis and Borouge’s “Building for the Future” commitment, a EUR 200 million initiative to upgrade and expand XLPE and semicon assets at key European sites.