Daewoo Engineering & Construction (E&C) Co., Ltd. announced on December 23 that the builder will collect the total 387.1 billion won (US$348 million) for construction of Safi Combined Cycle Power Plant in Morocco at the power plant in Morocco from October to December.
According to Daewoo E&C, the Korean contractor received 66 billion won (US$59 million) in October, 159.3 billion won (US$143 million) in November and will receive 161.8 billion won (US$145 million) in December so a total of 387.1 billion won (US$348 million) will be paid to Daewoo E&C in accordance with shipments of various materials, the completion of deliveries and progress in construction work.
The Moroccan Safi Combined Cycle Power Plant’s full-fledged progress this year led to a sharp increase in sales of Daewoo E&C. But unrequested construction cost amounted to 290.5 billion won (US$261 million) until the third quarter due to the unarrival of the time of the request in the agreement.
As a result, the project has been perceived as a major concern for overseas losses of Daewoo E&C.
According to Daewoo E&C, a small amount of cost of Safi Combined-Cycle Power Plant is expected to remain at the end of the year and will be paid in full early next year.