The Korea Herald


Hyundai E&C share jumps on potential Bulgarian deal

By Shim Woo-hyun

Published : Feb. 26, 2024 - 17:25

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Hyundai Engineering & Construction logo (Hyundai E&C) Hyundai Engineering & Construction logo (Hyundai E&C)

Hyundai Engineering & Construction shares jumped Monday as the company has been tapped as the preferred bidder for a $14 billion worth nuclear plant project in Bulgaria.

The builder's shares ended at some 34,000 won ($25.5) on Monday, around 2 percent higher than last week.

On Sunday, the company said that it has been selected as the preferred bidder for a nuclear plant project to build two nuclear reactors, with a combined capacity of 2,300 megawatts (MW), in Kozloduy, located around 200 kilometers north of Sofia.

Currently, Hyundai E&C is the sole preferred bidder that received the designation after being approved by the Bulgarian parliament.

Kozloduy is Bulgaria's only nuclear power plant and dates back to the 1970s. The plant currently has two 1,000 MW reactors in operation, while four others were closed by 2007.

According to news reports, the project is expected to be worth $14 billion, and the final winner is anticipated to be announced in April after negotiations with Kozloduy NPP New Builds PLC. “Details of the contract are still to be discussed between the company and the Bulgarian government. The company expects to disclose the details in April, including the size of the contract,” an official from Hyundai E&C said.

If selected, Hyundai E&C will be responsible for the engineering, construction and commissioning of units 7 and 8 using Westinghouse’s AP 1000 technology. “The company will be able to start the construction by the end of next year,” the official added.

It will be the first time in 15 years for Hyundai E&C to participate in a major overseas nuclear plant project since 2009, when the company secured a contract for building four nuclear reactors in Barakah, the United Arab Emirates.