Daewoo International Corp., a leading South Korean trading company, said Sunday a consortium led by the company has clinched a $1.06 billion contract to build a cogeneration power plant in Algeria.

The turnkey contract calls for Daewoo International, Hyundai Engineering & Construction Co. and Hyundai Engineering Co. to build the 1,200-megawatt power plant in an area some 230 kilometers southeast of Algiers, the capital of the African country.

It will take 39 months to complete the cogeneration power plant, Daewoo International said. Cogeneration refers to the simultaneous production of heat and power.

Daewoo International did not say when ground will be broken for the power plant.

The trading company said its vast overseas network, combined with the excellent construction technology of its two consortium partners, has led to the winning of the deal to build the plant that is expected to ease Algeria’s power shortage and contribute to laying the groundwork for the country’s economic growth. (Yonhap News)