Daewoo Engineering wins 413 billion won Yongin semiconductor cluster contract

Daewoo Engineering & Construction said Tuesday it has won a 413 billion won ($309 million) contract to build the first section of the Yongin advanced system semiconductor national industrial complex.

The contract covers site and structure works on about 3.45 million square meters of land in Idong and Namsa in Yongin, Gyeonggi Province, or roughly 44 percent of the entire semiconductor complex. Construction is scheduled to be completed by July 28, 2032.

The order was awarded under LH's construction management-at-risk method, in which the builder takes responsibility for the design and construction. The Daewoo Engineering-led consortium was selected after scoring 310.8 points in the evaluation of its project plan. Daewoo Engineering will act as lead contractor with a 48 percent stake worth 417 billion won ($312 million). Namkwang Engineering & Construction holds 40 percent, Jungheung Construction 7 percent and Samho 5 percent. The total bid value of 869 billion won ($650 million) makes it the largest project LH has commissioned this year.

The company attributed the award to its accumulated experience working with LH and its track record on large national projects, which it said placed it first in the project plan evaluation in the competitive bidding.

The contract is equivalent to 5.1 percent of Daewoo Engineering's most recent annual revenue of 8.05 trillion won ($6.03 billion).

"This win for section one of the Yongin semiconductor national industrial complex is a result of broad recognition of Daewoo Engineering's outstanding civil engineering capabilities, its ability to work with LH and its track record on major national projects," the company said.

"We will concentrate our full resources to ensure the Yongin semiconductor national industrial complex is built without delay in close cooperation with LH and other relevant agencies," it said.