Hyundai E&C is about to top US$80 Billion in the cumulative value of overseas orders by obtaining a series of large-scale projects
Hyundai E&C recently concluded a contract with PT PLN, the state-owned electricity company of Indonesia, to establish hydroelectric power plant facilities to be built in Peusangan.
According to the agreement, Hyundai E&C is to take charge of the waterway tunnels, irrigation pools and so forth of the stepped power plant in the Takengon region in Aceh, Sumatra. Construction costs are set to total approximately US$132.7 million. The project was launched using financial aid from the Japan International Cooperation Agency. Hyundai E&C formed a consortium with PT PP, a local construction company, and effectively publicized its technological strength to win the deal. The project is scheduled to take 57 months to complete. Up until now, Hyundai E&C has been engaged in 26 construction projects worth US$2.1 billion in total in the Southeast Asian nation. The most recent one for gas treatment was completed in Suban back in 2007, with the constructor about to enter into the Indonesian market again after a four-year hiatus. Building on the accomplishment, it is preparing to become more aggressive in upcoming projects for ports, plants, power stations and the like in Indonesia.
Hyundai E&C has won overseas contracts worth US$950 million between January and March of this year, including those for a combined cycle power plant in Bangladesh and the Asia Square Tower II in Singapore. It is planning to increase this figure to US$14 billion through market diversification in the future.
Its gross overseas construction sales exceeded US$79.2 billion in March 2011, with the Korean constructor hoping to break the US$80 billion mark, some 46 years after its first overseas project to pave the Narathiwat Highway in Pattani, Thailand.
In the meantime, it recently secured another deal with the Abu Dhabi Polymers Company to participate in the Borouge 3-XLPE (cross-linked polyethylene) Project. It is planning to erect petrochemical labs and facilities in the 38 month-long project, which is costing US$169.15 million. The site is located in the Ruwais Complex in Abu Dhabi. In addition to the Borouge 3-U&O (Utilities & Off-sites) deal Hyundai won in June 2010, it is seen as a boon for the company, which is striving for an increased presence in the petrochemical plant market in the United Arab Emirates.
“By obtaining a series of large-scale orders in the Middle East, we succeeded in further brightening the future prospect of our business there,” said the constructor, adding, “We will continue trying in the local plant and power supply markets, and not be content with the achievements already made.”