Nexans NEX

Nexans signs a strategic investment agreement in France to increase its copper production and recycling capacity across Europe

PRESS RELEASE_

• Nexans is to invest over €90 million in the development of an innovative plant at its Lens site by 2026.
• Nexans’ strategic supplier for this investment is Continuus Properzi, a specialist in continuous casting, rolling and smelting technologies for copper and aluminum.
• With a production capacity increased by over 50%, the future Lens plant will be able to recycle up to 80,000 metric tons of copper per year.
• Nexans is reaffirming its capacity to plan for any shortages of copper, a metal essential to global sustainable electrification, while also consolidating its industrial base in France.

Paris, October 22, 2024 – Nexans, a global leader in electrification, has announced a major industrial partnership agreement with Continuus Properzi, a specialist in continuous casting technologies, to build an innovative copper production and recycling plant at the Nexans site in Lens, northern France, for 2026.

Global demand for copper is continuing to increase and recycling is emerging as a key solution to possible shortages of this metal, which is essential to electrification. Nexans is taking steps to address this major challenge with a project on a unique scale. 

This strategic decision is based on the operational expertise of the Nexans site, founded in 1971 in the industrial center of Lens, and the technological expertise of Continuus Properzi, a supplier of complete installations for the production of ETP (Electrolytic Tough Pitch) and FRHC (Fire Refined High Conductivity) wire rod. The objective is to continuously produce wire rod from recycled copper, through a state-of-the-art refining method using up to 100% of recycled metal, while optimizing water and energy consumption.

The Lens plant is the only copper rod foundry in France. With this investment of over €90 million, it will increase its wire rod production capacity by over 50%, and boost its copper scrap recycling capacity to manage up to 80,000 metric tons per year. Nexans is already actively involved in cable recycling through Recycâbles, a joint venture set up with Suez in 2008. With this new initiative, the Group has become a key player in the circular economy of the European copper industry. Implemented for the first time in France, this process will help to create a circular model by collecting waste from different sectors of industry across France and reusing it virtuously for new finished products.

As the leading global player in this sector with its own copper foundries¹, Nexans is vertically integrated. The Group is entirely self-sufficient in terms of the copper supplies required for its entire cable production value chain. This key strategic advantage will be consolidated by the new plant, which will allow the Group to recycle more cables from construction sites or “urban mines”.

Nexans' ambition is to adapt the life cycle of its products, reducing their carbon content, while also decreasing the carbon footprint of the cable industry as a whole. This investment is also part of the Group’s efforts to raise the proportion of recycled copper in its cables to 30% by 2030.

The new site further consolidates Nexans’ presence in Lens, increasing the number of jobs while creating a new working environment for staff. This project is part of France 2030, the investment plan for France. It is also in line with the company’s E3 performance model, bringing together Economic performance, the Environment and employee Engagement.

Christopher Guérin, CEO of Nexans said: “Recycling preserves biodiversity. By choosing to increase its recycling capacity, Nexans is proving that it is possible to reconcile industrial performance with the preservation of biodiversity. Through this investment in its historic Lens plant, Nexans is ensuring its strategic independence and staying ahead of the raw materials crisis, serving its customers and partners. By supporting employment and investment at our metallurgical site, we are also proving that an innovative industry can be a local industry. I am particularly proud of this partnership, which strengthens our supply chain and enables us to better anticipate a fundamental trend for the Group and our customers, where today's waste will become tomorrow's growth.”

Giulio Properzi, President of Continuus-Properzi, adds: ‘I feel extremely proud to have signed this strategic agreement with Nexans, a highly prestigious name in cable manufacturing. Our collaboration is based on the recycling of copper scrap, a subject we have been working on for many years, dating back to the pioneering days when my father first developed the technology for the continuous casting of copper rod. In compliance with the exacting requirements of Nexans engineering and the Lens site in particular, we have configured an installation that will meet the highest standards in years to come in terms of industrial performance, energy savings and environmental footprint. It gives me immense satisfaction to witness the beginnings of such a fundamental project. For me, it is the crowning achievement of a personal journey that began over fifty years ago and whose purpose has always been to improve the technology used in wire rod production, this being the first step in the industrial value chain of all power cables."

About Nexans

For over a century, Nexans has played a crucial role in the electrification of the planet. Today, it is committed to electrifying the future. With approximately 28,500 people in 41 countries, the Group is paving the way towards a new world of safe, sustainable and decarbonized electricity, accessible to everyone. In 2023, Nexans generated 6.5 billion euros in standard sales. The Group is a leader in the design and manufacture of cable systems and services across four main business areas: Power Generation & Transmission, Distribution, Usage and Industry & Solutions. Nexans was the first player in its industry to set up a Foundation supporting sustainable initiatives, bringing access to energy to disadvantaged communities worldwide. The Group is recognized on the CDP Climate Change A List as a global leader on climate action and has committed to Net-Zero emissions by 2050 aligned with the Science Based Targets initiative (SBTi).

Nexans. Electrify the future.

Nexans is listed on Euronext Paris, compartment A.

For more information, see our website www.nexans.com

Contacts:

1 Cathodes and copper scrap are processed at four foundries, in France (Lens site), Canada, Peru and Chile.

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• 2024_10_22-pr_Nexans signs a strategic investment agreement in France