Hyundai E&C-Led Consortium Wins $2.4 Billion Contract to Build Shin-Hanul Reactors in South Korea

A Hyundai E&C-led consortium has secured a whopping 3.1 trillion won ($2.4 billion) contract with Korea Hydro & Nuclear Power (KHNP) to construct Shin-Hanul reactors 3 and 4 in Uljin, North Gyeongsang Province. This significant achievement positions the consortium as the main contractor for this groundbreaking project.

According to the Korea Times, The ambitious endeavor aims to build two reactors, each with an impressive power generation capacity of 1,400 megawatts. The construction timeline is estimated to span approximately 115 months from the start date, reflecting the sheer magnitude and complexity of the project.

Collaboration of Industry Giants

Hyundai E&C, in collaboration with Doosan Enerbility and POSCO E&C, has formed a formidable consortium to partake in this momentous undertaking. As the leading member, Hyundai E&C will receive 1.7157 trillion won, accounting for 55 percent of the total contract value.

The Hyundai E&C-led consortium faced intense competition from other consortia formed by Samsung C&T and Daewoo E&C. However, after a comprehensive review, the Hyundai E&C consortium emerged victoriously, receiving the highest score and securing the coveted contract.

Defining Moment for the Industry

This pivotal achievement marks the resumption of construction of a new nuclear power plant in South Korea after an eight-year hiatus. With the previous administration's nuclear phase-out policy, no new construction orders have been placed since 2015 for the Shin-Kori reactors 5 and 6.

Building on a legacy of nuclear prowess, Hyundai E&C has been at the forefront of nuclear reactor construction in South Korea since completing the country's first nuclear reactor, Kori 1, in 1970. Their impressive track record includes milestones such as the highest number of nuclear reactors constructed domestically and the successful export of a nuclear reactor.

With a renewed focus on bolstering the status of the Korean nuclear power industry, Hyundai E&C aims to seize the opportunities presented by the era of carbon neutrality. The company is resolute in its commitment to expanding the global market and driving the advancement of nuclear power technology.

Business Korea reported that Hyundai E&C recently announced the award of a contract worth 3 trillion won by Hyundai Engineering for the Phase 2 expansion project of the Zafura Gas Field in Saudi Arabia.

Each company has a contract value of 1.5345 trillion won (US$1.1728 billion), accounting for 7.23% of Hyundai E&C's 2022 annual revenue. The project duration is set for 41 months from the commencement date.

Photo: Hyundai E7C Newsroom