[Photo provided by SK Engineering & Construction Co.]
South Korea’s SK Engineering & Construction Co. (SK E&C) will make its first foray into Pakistan with a hydropower project worth $1.44 billion.
The Korean builder said on Monday it struck a deal with Associated Technologies Private Limited (ATL) to acquire an 89 percent stake in Kandiah Hydropower - a special purpose company set up for the construction of a hydropower plant on Kandiah River, Khyber Pakhtunkhwa, 340 kilometers north of the capital Islamabad. ATL will own the remaining 11 percent stake.
Under a build-operate-transfer contract, SK E&C will construct the 545-megawatt hydropower plant and operate it for 30 years before handing it over to the Pakistani government. The company aims to complete the project over the next 60 months and start commercial operation in 2025.
This is the largest hydropower deal to be won by a Korean construction firm, according to the company.
In March, SK E&C secured a 4.1 trillion won ($3.77 billion) private power development project from Iran and a 3.5 trillion won deal to build the Çanakkale Bridge in Turkey.
By Kim Gang-rae and Kim Hyo-jin
[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]