Photo: Aireal view of our Borealis production facility in Stenungsund, Sweden
© Borealis
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. These investments build on the Stenungsund site’s long-standing expertise, where decades of research, advanced laboratories, and a skilled team have established it as a global center of excellence for XLPE materials.
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.
“We’re continuously investing in innovation and optimizing our product portfolio to meet the evolving needs of the energy industry,” says 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.”
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. It follows the upgrade of Borealis’ semiconductive compounding facilities in Antwerp, Belgium, which was completed earlier this year. Together with ongoing investments in Ruwais, UAE, these projects will double Borealis and Borouge’s ability to serve the most demanding power cable applications by 2027—helping customers deliver the grids essential to a decarbonized energy system.
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This media release is also available in German and Swedish language.
About Borealis
Borealis is one of the world’s leading providers of advanced and sustainable polyolefin solutions. In Europe, Borealis is also an innovative leader in polyolefins recycling and a major producer of base chemicals. We leverage our polymer expertise and decades of experience to offer value-adding, innovative and circular material solutions for key industries such as consumer products, energy, healthcare, infrastructure and mobility.
With customers in over 120 countries and head office in Vienna, Austria, Borealis employs around 6,200 people. In 2024, we generated a net profit of EUR 566 million. OMV, the sustainable chemicals, fuels and energy company with a focus on circular economy solutions, headquartered in Vienna, Austria, owns 75% of our shares. The Abu Dhabi National Oil Company (ADNOC), based in the United Arab Emirates (UAE), owns the remaining 25%.
In re-inventing essentials for sustainable living, we build on our commitment to safety, our people, innovation and technology, and performance excellence. We are accelerating the transformation to a circular economy of polyolefins and expanding our geographical footprint to better serve our customers around the globe. Our operations are augmented by two important joint ventures: Borouge (with ADNOC, headquartered in the UAE); and Baystar™ (with TotalEnergies, based in the US).
www.borealisgroup.com | www.borealiseverminds.com
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