Hyundai’s US$ 5 billion deal for Russian factory

A consortium led by Hyundai Engineering has won a KRW 5.6 trillion (US$ 5.16 billion) contract to build fertilizer plants in Kozmino in Nakhodka, Russia.

Along with Hyundai E&C and the Japanese engineering firm Toyo, Hyundai Engineering will build two ammonia production plants with a combined daily capacity of 6,700 tonnes, two urea plants with combined daily capacity of 6,100 tonnes, and a methanol plant with a daily capacity of 3,000 tonnes.

The deal was signed following a meeting of the Korean president Park Geun-hye and her Russian counterpart Vladimir Putin in Vladivostok.

The consortium, which was selected as a preferred bidder for the plants in September 2014, was awarded the contract by Russia’s Nakhodka Mineral Fertilizers Factory, a subsidiary of the National Chemical Group.

The construction of the plants is set to be completed in 62 months.