October 27—LS Cable & System has recently signed a contract to supply Siemens $4 million dollars worth of bus ducts for their Yamal Project in Russia. Bus ducts are long rectangular assemblies used for transmitting electricity in high-rise buildings, apartments and factories that require large power capacity.
For the exploration project for natural gas in the Yamal Peninsula in Siberia, about $200 billion dollars has been invested by the Russian gas company Novatek, the French refinery Total S.A. and the China National Petroleum Corporation. Last year, Siemens won the right to supply electrical products and invited tenders for bus ducts. LS Cable & System was able to defeat other competitors from the U.S.A. and Europe to supply the bus ducts for two years from 2015.
Ordinary bus ducts are resistant to temperatures down to -15ºC. LS Cable & System improved their performance to withstand temps as low as -55ºC in order to sell them for projects in bitterly cold regions such as the Yamal Peninsula of Northwest Siberia. In addition to the incredible temperature resistance the bus ducts can also resist humidity and oil making them ideal for oil and gas industry. LS Cable & System is the only company in South Korea that can produce these products.
"LS Cable & System has supplied this product with recognized quality to oil drilling sites in Australia since 2012. We are persevering to develop overseas markets for this high-value added product specialized for marine and offshore applications, wind power generators and general buildings," said Heon-Sang Lee, Director of the Overseas Business Division of LS Cable & System.
To supply electricity to each floor of high-rise buildings and apartments, several thousand strands of wires are needed, which are voluminous and inconvenient to install. However, these bus ducts manufactured by LS Cable & Systems can be installed in place of cables quite easily. The bus ducts can be likened to large pipes through which a large amount of electricity runs, so it is only necessary to connect the number of small pipes needed for the electricity required. In this way less space is needed and installation and maintenance is simpler compared to conventional cables.
For this reason, the use of bus ducts is increasing especially for high-rise buildings, apartments and factories. LS Cable & System is currently leading the domestic market estimated to be 150 billion Korean won per year with a share of over 50%. Notably, LS has supplied the products for Lotte World Tower, LG Display plant in Paju, Times Square, and Songdo International Business District. The global market is estimated to be around 2 trillion Korean won per year. Market leaders are GE (U.S.A.) and Schneider (France).