Hyundai Engineering has signed a final investment cooperation agreement (ICA) for a $1.12 billion polypropylene production plant in Poland, the ChosunBiz reported on Monday.
The project, which Hyundai Engineering won in May last year, is for the construction of the plant, port and subsidiary facilities in Police, Poland. It is the largest project ever won by a Korean construction company in the European Union (EU) region.
Hyundai Engineering, Korea Overseas Infrastructure and Urban Development Corporation (KIND), Grupa Azoti, Poland’s largest petrochemical group, and LOTOS, Poland’s large oil refinery, will invest a total of $733.3 million in the Polish Polymer Police PDH/PPP plant project in the form of equity and shareholder loans. Hyundai Engineering and KIND invested $130 million (about 156 billion won).
The plant will produce 400,000 tons of polypropylene annually. Polypropylene is used in a wide range of industrial fields, including auto parts, artificial fibers and various daily necessities.
“Through cooperation with KIND, we have won orders for Polish Polymer Police PDH/PP Plant engineering, procurement and construction (EPC) last year and succeeded in signing final contract this year,” an official from Hyundai Engineering said. “As an EPC contractor and equity investor, Hyundai Engineering will make this project go smooth.” (Reporting by Hyewon Chang)