Wednesday, October 23, 2019
SK E&C Lands US$420 Mil. Etihad Railway Project from the UAE
In Partnership with a Chinese Builder
SK E&C Lands US$420 Mil. Etihad Railway Project from the UAE
  • By Jung Min-hee
  • March 14, 2019, 10:02
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Nam Hyun-tae (left), an executive director of SK E&C, and Shadi Malak (center), CEO of Etihad Rail, and Yu Tao, CEO of CSCEC, pose for a photo after signing a contract.

SK E&C has won a railway construction project in the United Arab Emerates (UAE), following a project to build the world's largest underground crude oil stockpile base in the Middle East country.

SK E&C announced on March 13 that it concluded a construction contract for the Ghweifat-Ruwais section of the second-phase Railway Construction Project with the UAE's Etihad Rail.

As a result, the global builder became the first Korean construction company to participate in railway projects of Gulf Cooperation Council (GCC) member countries such as Saudi Arabia and Kuwait.

SK E&C made the achievement by forging a consortium with China National Construction Corp. (CSCEC), a Chinese state-run construction company. The Korean contractor has been in a strategic alliance with CSCEC since 2015 as part of its globalization strategy.

The total construction cost of the railway project is US$420 million, and SK E&C will take a 42.5 percent share. SK E&C will conduct design, procurement and construction (EPC) work in a package. The construction project will run 46 months and be completed in 2023.

Currently, SK E&C is successfully carrying out infrastructure projects in the Middle East including the Al Mandos Oil Stockpile Base in the UAE, the Subway Red Line in Doha, Qatar and Al Jur Port in Kuwait.