Samsung C&T CEO Oh Se-chul (left) and Rönesans Holding President Erman Ilıcak pose for a photo after signing a highway project deal on Oct. 18, 2024, in Istanbul (Courtesy of Samsung C&T)
A consortium of Samsung C&T Corp., South Korean state-run firms and a Turkish builder won a $1.6 billion project to build and operate a highway in the country located in Southeastern Europe and Southwestern Asia.
Samsung C&T said on Monday its alliance with Korea Expressway Corp., Korea Overseas Infrastructure & Urban Development Corp. (KIND), the Plant, Infrastructure and Smart City Fund, as well as Turkey’s Rönesans Holding bagged the deal to build a 4-8 lane highway of 31.3 kilometers (19.4 miles) by 2027.
South Korean partners are responsible for the construction and operation of the road worth 580 billion won ($420.8 million) with 260 billion won for Samsung C&T, according to the company and Korea Expressway.
“We aim to succeed in the business with Rönesans and expand the partnership into Turkey, CIS and Eastern Europe,” said a Samsung C&T official, referring to the Commonwealth of Independent States.
Samsung C&T, which will manage the design and procurements for the highway, expects additional earnings from the project as the Turkish government agreed to give the South Korean partners the right to operate the highway for 15 years after its completion.
The expressway is predicted to generate more than $4.4 billion in tolls during the period, according to the company.
By Jin-Woo Park
jwp@hankyung.com
Jongwoo Cheon edited this article.
