Daewoo E&C wins Turkmen mineral fertilizer plant project

South Korea's Daewoo Engineering & Construction Co. (Daewoo E&C) said on Monday that it was selected as the winning bidder for a Mineral Fertilizer Plant" project worth 1 trillion won ($728 million) from a state-run chemical company in Turkmenistan.

The mineral fertilizer plant project, for which Daewoo E&C was selected as the winning bidder on October 18, will be built in Turkmenabat, the second-largest city of Turkmenistan, located about 450 km east of the capital, Ashgabat.

The project involves the construction of facilities capable of producing 350,000 tons of phosphate fertilizer and 100,000 tons of ammonium sulfate annually, along with auxiliary facilities.

Daewoo E&C stated that the construction cost and duration will be announced after the formal contract is signed.

By winning this project, Daewoo E&C has entered the Central Asian market for the first time, securing a foothold in Turkmenistan, a country recognized for its abundant resources and significant growth potential.

Through this project, Daewoo E&C plans to explore additional opportunities in the petrochemical and fertilizer sectors and expand its business in infrastructure and new city development projects.

The company also aims to propose various eco-friendly solutions to foster further collaboration with Turkmenistan.

Daewoo E&C Chairman Jung Won-ju also met with Turkmen President Serdar Berdimuhamedow during his visit to Korea in November 2022, signing a memorandum of understanding (MOU) and promising close cooperation.

Jung visited Turkmenistan three times afterward and secured the project through direct communication with the Turkmen government.

Write to Jung-Rak An at jran@hankyung.com