쌍용건설

On July 12, Ssangyong E&C signed a KRW115 billion financing agreement for the three-berth Incheon North Port project, which will be carried out with private capital.

Under the agreement, a consortium of Kookmin Bank (the lead-managing bank), IBK (Industrial Bank of Korea), NFFC (National Federation of Fisheries Cooperatives), and KCFC (Korea Contractor Financial Cooperative) will provide the construction and operation funds (i.e. KRW140.1 billion)except the State subsidy of KRW30 billion.

Comprised of a wharf with three berths for 20,000 ton-class ships and ancillary facilities, the work will be done by a builder consortium consisting of Ssangyong E&C (38%), Bando (27%), and Kumgwang (5%) and by an operation consortium consisting of Sunkwang (10%), Yeongjin (10%), and Wooryeon (10%).

The work, which is carried out based on the BTO (Build-Transfer-Operate) method, has progressed 22 percent since the project commenced last November. Upon completion of the work, (scheduled for May 2009) its ownership will revert to the Government, and Incheon North Port Operation Co. will take charge of the operation of the port for the next 50 years under the agreement.

The newly built port is expected to have infinite growth potential as a core logistics point for the Greater Seoul area and trade with China through positive marketing, utilizing its ultra-modern facilities and differentiated service.

Ssangyong E&C became the nation’s first contractor to win the Gold Industrial Medal from the Government for its part in the Sinseondae Wharf Project in Busan Port. It also participated in the work to build Asan Port and Bukpyeong Port.

Currently, it is carrying out the development project for Daepo Port, the first multi-purpose (tourism/fishing) port in Korea built with private capital.

In 2004, the Company submitted a proposal for the Busan New Port Phases 2-4 to the Ministry of Construction and Transportation. In 2005, it was selected as the contractor for the Incheon North Port Project and as a preferential bidder for the Gunsan-Janghang Port. In March this year, it signed a financing agreement with Pusan Bank for KRW110 billion concerning the work reclaiming Yongho Bay in Busan.