KT Submarine Wins Subsea Construction Contract Worth 20.2 Billion KRW with LS Cable

'Jeju 3-Phase Subsea PJT' Installation Work
"Expecting Sales Increase and Operating Profit Surplus"

KT Submarine (KTS) announced on the 16th that it has signed a submarine cable laying contract with LS Cable & System for the 'Jeju 3-Connection Submarine Cable Construction Project.' The contract amount is 20.2 billion KRW, which corresponds to about 47% of KTS's sales of 42.8 billion KRW last year.

KTS will deploy the specialized laying vessel "Miraero" and an unmanned remotely operated vehicle (ROV) to lay approximately 90 km of cable to Wando, Jeollanam-do, and carry out cable protection work. The contract period is until September 1 of this year.

KT Submarine's submarine cable laying ship 'Miraero'.
[Photo by KT Submarine]

Following last month's laying contract worth 5.95 billion KRW, KTS has secured the contract for the laying work as well, gaining experience in one of the largest submarine power grid projects in South Korea's history.

The company expects that this project will strengthen cooperation with LS Cable & System and LS Cable Asia, and expand participation in offshore wind farm construction and submarine connection projects in island areas, mainly in ASEAN countries.

Lee Seung-yong, CEO of KTS, said, "We will continue significant sales growth this year through cooperation with LS Cable & System," adding, "We also expect operating profit to turn positive through asset efficiency improvement."

Industry insiders anticipate that if LS Cable & System exercises its call option in the first half of this year to become the largest shareholder, the synergy between the two companies will further expand. LS Cable & System accelerated market expansion last year by securing submarine cable supply contracts worth over 1.2 trillion KRW in the UK, the US, Taiwan, and other countries.