Hyundai, South Koreas Engineering & Construction Company has received a large contract accumulating to a sum of $5 billion for the planned Amiral petrochemicals complex in Jubail, Saudi Arabia. The Saudi Arabian Oil Co. and TotalEnergies are building the project together in a joint partnership. The engineering, procurement and construction contract has been granted to Hyundai for a mixed feed cracker and utility system with an installed capacity of 1,650 kilotons per annum of ethylene and related industrial gases.
The partnership is part of the Engineering Procurement and Construction contract for the $11 billion Amiral project that they plan to construct on the East Coast of Saudi Arabia. Won Hee-ryong (South Korean Land Minister) attended the contract signing ceremony in the Kingdom and stated that the deal would expand energy cooperation between both nations. The partnerships between the two nations appear to be significantly growing as earlier in the year in March 2023 Saudi Aramco signed a deal with Hyundai E&C for $7 billion to construct the Shaheen project located in Uslan, South Korea.
The scheduled operational date is expected to be in 2027, however, the initial construction of the project is expected to begin in 2023, making it an approximated total period of four years. This project has been noted as the largest plant construction order that a South Korean firm has been able to receive in the Kingdom.
Yoon Suk Yeol (South Korean President) praised the Amiral project stating that it would enrich the relations between the nations, building and enhancing the bilateral relationship between South Korea and Saudi Arabia. The two nations solidified their bond even further when Saudi Minister of Municipal, Rural Affairs and Housing (Majid Al-Hogai) met with South Korea’s Hee-ryong in Riyadh on the 22nd of June to collaborate on smart city planning and housing. The potential partnerships between the two nations were noted by the Saudi Minister, as he mentioned the opportunities for South Korea in the Riyadh Cityscape Global exhibition from September 10th-13th.