The Scottish National Investment Bank announced on Wednesday it would invest the money towards XLCC’s £1.4 billion Hunterston port development.
The energy firm’s high-voltage direct current (HVDC) cables will be capable of transporting electricity over long distances as the site aims to produce thousands of kilometers of cables every year once the facility is operational.
When the redevelopment of the Hunterston facility was announced it was expected to create around 900 jobs, including approximately 200 apprenticeships, once completed.
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The £20m of funding is part of the Scottish Government’s commitment to invest up to £500m over five years to develop Scotland’s offshore wind supply chain.
Acting Cabinet Secretary for Net Zero and Energy, Gillian Martin (below), said the development in North Ayrshire will help to harness Scotland’s “enormous potential” in the energy industry.
(Image: PA)
She said: “XLCC’s manufacturing facility at Hunterston will not just help increase Scotland’s offshore wind manufacturing capability but support hundreds of high-quality green jobs and drive new growth across the local, regional and national economies as part of our net zero transformation.
“The investment in XLCC is the first in a series of strategic, commercial investments being delivered to harness the enormous potential of our offshore wind industry over five years – including £150 million in the 2025-26 Budget.”
The National Wealth Fund (NWF) is also supporting the manufacturing facility at Hunterston. The NWF announced an initial investment of £20m in September 2024, with the option to invest a further £67m upon XLCC completing certain milestones.
Lewis McIntyre, managing director of Port Services for Peel Ports who own the port, said the investment is “another vote of confidence” in Hunterston’s potential to support the UK’s transition to Net Zero.
He said: “The Scottish National Investment Bank’s £20m investment in XLCC is very welcome.
“It is yet another vote of confidence in Hunterston’s vast potential to support the UK’s energy transition and, in so doing, create quality green jobs in Ayrshire, as well as in the wider supply chain – we expect the overall redevelopment of Hunterston to attract c£3bn in inward investment and create over 5000 jobs.
“XLCC is a hugely valued tenant at Hunterston, and the HVDC cable manufacturing facility is set to play a major role in meeting electricity demand, something we are extremely proud to facilitate.”