GS E&C, one of South Korea’s leading builders, has made inroads into the Tunisian market for the first time by winning a 69.4 million euro ($93.9 million) deal to build a desalination plant at a resort in southern Tunisia, company officials said on Thursday.
GS E&C said its water desalination subsidiary GS Inima Environment, S.A. secured the Djerba plant deal through a consortium with Aqualia S.A., a Spanish water management company.
The South Korean builder, which saw an earnings shock last year on low-price orders from the Middle East, has turned to North Africa and Europe. It has also been focusing on water treatment as a fresh driver for growth since it acquired Inima in 2012.
|An aerial view of the desalination plant built by GS Inima Environment S.A. in Mostaganem, Algeria. (GS E&C)|
“GS E&C will continue to expand its desalination and concession businesses in order to improve its performance,” an official at the parent company said. “So far the Middle East and Asia have been our core construction markets but we plan to expand it to Europe and Africa.”
The Tunisian plant is expected to process 50,000 tons of sea water into drinkable fresh water per day in southern Tunisia and to be completed in the first half of 2016.
With its partner Aqualia, GS Inima will take charge of designing and constructing the water management facility.
GS Inima also has experience in construction and concession of two desalination plants in Algeria ― in Mostaganem and Cap Djinet. The Spanish subsidiary expects some $44 million in sales from the two plants over the next 25 years.
By Park Han-na (firstname.lastname@example.org)