Siemens Energy to supply converter stations for Italian power link

Illustration shows Siemens Energy logo
Miniatures of windmill, solar panel and electric pole are seen in front of Siemens Energy logo in this illustration taken January 17, 2023. REUTERS/Dado Ruvic/Illustration

BERLIN, March 28 (Reuters) - Siemens Energy (ENR1n.DE) and Italy's FATA have been awarded a contract worth nearly 1 billion euros ($1.08 billion) to supply transmission technology for a 970-kilometre power link connecting Sardinia and Sicily to the Italian mainland, the German company said on Tuesday.

The two companies are to supply four converter stations as part of the deal, which "will enable more efficient use of renewable energy, increase stability of the power grids, and enable the close down of coal-fired power plants on the two islands to reduce CO2 emissions", Siemens Energy said.

The German company will manufacture the main components for the stations, while FATA, part of Danieli group (DANI.MI), will be responsible for civil works, electromechanical installation, construction of ancillary facilities and pre-commissioning support.

The converter stations are scheduled to be completed by the end of 2028.

($1 = 0.9239 euros)

Reporting by Chris Steitz, Writing by Friederike Heine, Editing by Rachel More

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