Hyundai Construction Signs Private Investment Project Agreement for Seunghak Tunnel with Busan City

Total length 7.69 km, 4-lane dual carriageway
Tunnel scheduled to open in 2029

Hyundai Construction is set to actively promote the Seunghak Tunnel private investment project, a key arterial road connecting Busan's old downtown and western Busan.

On the 1st, Hyundai Construction announced that it signed the 'Seunghak Tunnel Private Investment Project Implementation Agreement' with Busan City. According to the agreement, both parties agreed on the implementation and execution conditions of the Seunghak Tunnel project and decided to open the tunnel by 2029, ahead of the 2030 Busan World Expo.

On the 1st, at the 7th floor International Protocol Office of Busan Metropolitan City Hall, Yoon Young-jun, President of Hyundai Construction (left), and Park Hyung-joon, Mayor of Busan, took a commemorative photo after signing the implementation agreement for the Seunghak Tunnel private investment project.
[Photo by Hyundai Construction]

The Seunghak Tunnel is a tunnel with a total length of 7.69 km and four lanes (two lanes each way), connecting Eomgung-dong (Eomgung Bridge) in Sasang-gu, Busan, and Jungang-dong (Chungjang-daero) in Jung-gu. The total project cost is 500 billion KRW.

Hyundai Construction first proposed the project in 2016 by forming a consortium under the BTO (Build-Transfer-Operate) private investment model. In March, it passed the Ministry of Strategy and Finance review and signed the implementation agreement.

The BTO model involves a private business entity constructing the facility, transferring ownership to the government or local authorities, and holding the operation rights for a certain period. Hyundai Construction will invest a portion of the total project cost and participate as the main contractor. The target opening year is 2029. The Hyundai Construction consortium will be responsible for maintenance and operation for 30 years.

Once the Seunghak Tunnel opens, it is expected to boost development projects in western Busan, such as the North Port redevelopment and the Eco Delta City project, which Busan City is promoting. It is also anticipated to become a key road network connecting Gadeok New Airport and Busan North Port, the scheduled site for the 2030 Busan World Expo.

Yoon Young-jun, President of Hyundai Construction, said, “Hyundai Construction has taken the lead in expanding various social infrastructure facilities in Busan, including ports, passenger facilities, and landmarks. We will fully utilize our advanced technology and construction capabilities to complete the fastest and safest arterial road in western Busan, linking the Busan Expo and Gadeok New Airport.”

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