Building Baghdad

Hanwha E&C CEO Lee Keun-po (front left) and NIC chair Dr. Sami R. al Araji (front right) sign a contract for infrastructure work in Bismayah, Iraq.
Hanwha E&C CEO Lee Keun-po (front left) and NIC chair Dr. Sami R. al Araji (front right) sign a contract for infrastructure work in Bismayah, Iraq.

 

Hanwha Engineering & Construction announced on April 6 that it obtained a contract for infrastructure development for the Bismayah New City Project. The contract amount is US$2.12 billion. The signing ceremony took place on April 5 (KST) at the National Investment Committee (NIC) building in Iraq.

Ten percent of the contract amount is to be paid within 60 days. Hanwha E&C’s accumulated income regarding the Bismayah New City Project has broken the US$10 billion mark thanks to the new deal.

The project is to build approximately 300 structures, including hospitals, police stations, fire stations, water supply systems, and road networks, as parts of Bismayah New City scheduled to accommodate 100,000 households.

Back in May 2012, Hanwha E&C signed its first contract, worth US$8 billion, for the new town in Iraq. It was the largest international contract in the history of the construction industry of Korea, and the first overseas new town contract signed by a Korean construction firm. According to the contract, Hanwha E&C will build the new town on a design build basis in a 1,830 ha region 10 km to the southeast of Baghdad over a construction period of seven years.

At present, approximately 100 Korean companies are participating in the project with 550,000 man-days of work invested. The new contract is expected to increase the numbers by approximately 10 and 30,000, respectively.

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