Abu Dhabi-based energy company Taqa has entered advanced talks to provide financial backing to startup Xlinks, which is building the world's longest submarine cable.

Taqa's business covers oil, gas and carbon capture and storage. The $22 billion project aims to build a 3,800km cable linking Morocco and the UK with a capacity of 3.6GW. Xlinks hopes the cable will be operating at full capacity by 2030. A deal could be struck within weeks. Xlinks expects to raise $37 million in its latest funding round. Utility company Octopus Energy is also expected to participate.

The UK government has selected the Xlinks project as a potential investment opportunity for its Powering Up Britain campaign. Xlinks claims the project will provide 8% of the UK's electricity needs. The project will involve a large onshore wind, solar and battery generation site in Morocco that will exclusively feed the UK grid. The cable will only be powered using renewable energy.

Simon Morrish, chief executive of Xlinks, said the UK's energy security was of vital national interest. However, there is also an urgent need to stick to the government's 2035 target for a net-zero electricity system and avoid short-term thinking that could undermine the transition to clean, abundant energy.

Connecting UK to African Energy

The UK government says it seeks to expand affordable, clean, indigenous electricity and build a thriving green industry in the UK. A government paper released said the government should secure energy supplies by securing where the UK relies on imports built on diversified supply sources and relationships with strong, trusted partners and allies.Editor/XingWentao