Daewoo Engineering & Construction Co Signs Deal to Construct Fertilizer Plant in Turkmenistan

Daewoo Engineering & Construction Co. has entered into a framework agreement worth US$700 million to construct a fertilizer plant in Turkmenistan, according to a statement released Friday by South Korea's industry ministry.

The agreement was signed in Seoul with Turkmenistan's state-owned chemical firm, Turkmenhimiya, according to the Ministry of Trade, Industry and Energy, noting the South Korean firm was named the preferred bidder for the project in October, The Caspian Post reports citing foreign media.

The project aims to construct a fertilizer plant that will extract phosphoric acid from phosphate rocks and process the substance into 300,000 tons of fertilizers annually in eastern Turkmenistan by 2029.

After the agreement signing ceremony, South Korean Industry Minister Ahn Duk-geun met with his Turkmen counterpart, Baymyrat Annamammedov, and discussed expanding bilateral cooperation in other industrial plant projects, the ministry said.

"Turkmenistan is a key region that we expect to serve as a strategic hub for the construction market in Central Asia," a company official said. "We will do our best to explore new markets and diversify our business portfolio."