Kim Yi-chul, Head of Hyundai Engineering & Construction’s Al Khobar branch (third from left),

poses for a commemorative photo at the partnership event during the “Energy Localization Forum” 

held at the Ritz-Carlton Hotel in Riyadh on October 23. (Hyundai E&C)

According to Pulse by Maeil Business News Korea,

Hyundai Engineering & Construction Co. (Hyundai E&C) won a major contract to build an ultra-high voltage transmission line in Saudi Arabia, the largest overseas transmission project awarded to a Korean construction firm to date.

Hyundai E&C announced Tuesday that it signed a deal with the Saudi Electricity Company (SEC) in Riyadh for the Riyadh-Khudmi 500kV high voltage direct current (HVDC) transmission line project. Valued at just over 1 trillion won ($710 million) and equivalent to about 3.38 percent of Hyundai E&C’s revenue for 2023, the contract also represents the company’s largest project in Saudi Arabia’s power transmission sector.

The project entails constructing a 1,089-kilometer HVDC line from the PP14 power plant in Riyadh to the coastal Khudmi region in southern Saudi Arabia. Hyundai E&C will oversee the first 369-kilometer section near Khudmi, with completion targeted for January 2027. Awarded on a turnkey basis, Hyundai E&C will handle all project phases, including design, procurement, and construction.

HVDC technology enables conversion of alternating current (AC) power into high-voltage direct current for long-distance transmission, minimizing energy loss and offering enhanced stability and efficiency. This project, the first HVDC double-line transmission in Saudi Arabia, will have a capacity of 4,000 MW.

Hyundai E&C’s contract is an outcome of partnerships formed at the Energy Localization Forum in October 2024, led by the Saudi Ministry of Energy.

Since entering the Saudi construction market in 1975, Hyundai E&C has completed 35 transmission line projects with a combined order value of 4.9 trillion won. Including ongoing projects, the company has built about 20,000 kilometers of transmission networks. Hyundai E&C has expanded its role in Saudi Arabia’s HVDC network, securing contracts for the Medina-Tabuk-Aqaba 500kV line in 2021 and the NEOM-Yanbu 525kV line in 2023.

The company affirmed its commitment to successfully completing the HVDC project, a key part of Saudi Arabia’s renewable energy grid expansion. Hyundai E&C is also expanding its presence in global markets, including the nuclear sector. It recently resumed overseas nuclear projects after 15 years by winning a contract to design Bulgaria’s Kozloduy nuclear power plant, valued at 20 trillion won.


By Wee Ji-hae and Chang Iou-chung

Copyrights Pulse by Maeil Business News Korea. All Rights Reserved.

Source: Pulse by Maeil Business News Korea (November 13, 2024)