Sangji Kyleum, GS Construction, and Others Sign Joint Business Agreement for 'Ulsan Mipo Waste Landfill Facility Expansion Project'

[Asia Economy Reporter Jang Hyowon] Sangji Kyleum (CEO Choi Gibo) announced on the 12th that it has signed a joint business agreement with GS Construction, Ashin Networks, and JND to promote the expansion project of the existing waste landfill facility within the Ulsan Mipo Industrial Complex.

Sangji Kyleum and GS Construction plan to proceed by jointly investing in JND, the company holding the business rights for the project site and existing landfill facility, acquiring shares and management rights.

A representative from Sangji Kyleum stated, "The total project area for the Ulsan Mipo waste landfill facility expansion is approximately 116,881㎥, and the landfill capacity will be additionally expanded from the original 766,000㎥," adding, "If the expansion project proceeds as planned, significant joint business profits are expected over the next 10 years starting from the commencement of operations in 2023."

They also explained that the project will proceed by expanding the existing landfill facility, and by collaborating with GS Construction, which has extensive experience in related projects, risks can be reduced and stable profit generation is possible.

Furthermore, they said, "Sangji Kyleum plans to add waste and incineration plant-related business objectives to its articles of incorporation at the extraordinary general meeting scheduled for August this year. Additionally, projects related to incineration plants and power plants targeting local governments are currently under review, and the company plans to actively promote environmental-related businesses in the future."

Currently, environmental businesses are attracting significant global interest and investment, with waste treatment and resource renewable energy businesses accounting for the largest share within the environmental sector.

In fact, the waste treatment market is showing rapid growth. According to Shin Young Securities, the domestic waste market size increased from 13.5 trillion KRW in 2015 to 17.4 trillion KRW in 2019, and is projected to reach 23.7 trillion KRW by 2025.

As the related market rapidly grows, many companies are actively entering the waste treatment market. Recently, SK Ecoplant (formerly SK Construction) acquired the environmental waste treatment company EMC Holdings for 1 trillion KRW, and entering new businesses that can create synergy with their core construction business has become a key survival strategy for major construction companies.

This content was produced with the assistance of AI translation services.