[Let's Run Again K Construction] Leading with Basic Design Execution Capability for 'Global Stage Entry'

Hyundai Engineering Achieves Success Beyond Central Asia and Middle East, Expanding into the US and Europe

[Asia Economy Reporter Hwang Seoyul] Hyundai Engineering plans to expand its business globally based on its accumulated capabilities in Front-End Engineering Design (FEED). After successfully securing excellent completion records in Central Asia, including Uzbekistan, and the Middle East markets, the company is striving to enter markets worldwide such as Poland, the United States, and Indonesia.

While domestic plant EPC companies remain stuck in a bid-contract-simple construction structure, Hyundai Engineering has secured FEED capabilities comparable to those of global EPC companies. It is evaluated that Hyundai Engineering has successfully established a sales strategy that leads from 'plant feasibility analysis - FEED - EPC main construction contract' through these capabilities.

Hyundai Engineering has abundant FEED execution experience and has secured successful completion records in FEED-linked EPC projects. A representative example is the 'Uzbekistan Kandym Gas Processing Facility' project, where Hyundai Engineering won the FEED service contract in 2011 and subsequently secured the EPC main construction contract worth approximately 3 trillion KRW in 2015, completing it successfully.

A view of Hyundai Engineering's 'Kandim Gas Processing Facility Project' in Uzbekistan.
[Photo by Hyundai Engineering]

In line with changes in the business paradigm, Hyundai Engineering is expanding its strategy beyond Central Asia and the Middle East to various countries including Europe, Southeast Asia, and the United States. Recently, it has won FEED projects in the United States and Indonesia and is currently performing or has completed basic design. Many projects are proceeding through FEED&EPC bidding methods, making it highly likely that they will be linked to EPC contract awards in the future.

Notably, in June last year, Hyundai Engineering won the 'PKN Olefin Expansion Project,' the largest petrochemical plant construction project in Poland. This signifies that Hyundai Engineering's FEED capabilities have been recognized in Europe as well.

In 2020, the Hyundai Engineering and T?cnicas Reunidas (TR, Spain) consortium was selected as the Dual FEED contractor and performed the basic design. After competing in the EPC bidding, they were recognized by the client for their basic design and project execution capabilities, successfully winning the contract by outperforming competing consortia in the 'Dual FEED&EPC bidding' project. The Dual FEED&EPC bidding method selects the most suitable licensor by comparing basic design know-how, project execution capabilities, and advanced design skills.

Following the 'Polimery Police PDH/PP' plant project, which was the largest scale at the time, Hyundai Engineering mobilized its accumulated basic design technology and extensive project experience based on a long-standing cooperative relationship with the American engineering firm KBR to secure this new largest-scale project.

Additionally, Hyundai Engineering is showing substantial results in new markets with projects such as the 'Poland Polimery Police PDH/PP Plant,' 'Indonesia Balikpapan Refinery,' 'U.S. UrbanX Renewable Diesel Refinery,' 'U.S. Petrochemical Production Facility Using Recycled Plastics,' and 'Indonesia TPPI Olefin Petrochemical Complex.'

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