Daewoo E&C Consortium Designated as Negotiation Partner for GTX-B Private Investment Section

[Asia Economy Reporter Cha Wanyong] Daewoo Engineering & Construction Consortium has been designated as the negotiation candidate for the Metropolitan Area Express Train (GTX)-B line project.

On the 12th, the Ministry of Land, Infrastructure and Transport announced that based on the evaluation of the project application for the GTX-B line private section (Incheon National University Entrance~Yongsan, Sangbong~Maseok), the Daewoo Engineering & Construction Consortium (tentatively named Metropolitan Area Express Train B Line Corporation) will be designated as the negotiation candidate.

The Daewoo Engineering & Construction Consortium will proceed with negotiations with the Ministry of Land, Infrastructure and Transport to conclude the implementation agreement.

The GTX-B line is a project to establish a new line crossing the metropolitan area east to west, from Incheon Incheon National University Entrance Station to Gyeonggi Namyangju Maseok, allowing transfers at major stations such as Seoul Station and Cheongnyangni Station.

Among the entire route, the Seoul Yongsan Station~Sangbong Station section will be a publicly funded project, while the remaining sections will be promoted as private investment projects. The goal is to start construction in 2024 and open in 2030.

The Ministry of Land, Infrastructure and Transport estimates the scale of the GTX-B line private project at 3.8421 trillion KRW as of 2020. The project operator will hold the operating rights for the private section for 40 years.

The Daewoo Engineering & Construction Consortium includes leading domestic construction companies, engineering firms, and financial institutions. Daewoo Engineering & Construction is the representative company, and POSCO Engineering & Construction, Hyundai Engineering & Construction, DL E&C, Lotte Engineering & Construction, Kumho Engineering & Construction, Dongbu Engineering & Construction, KCC Engineering & Construction, Hoban Industry, and Namkwang Construction participate as construction investors (CI).

Engineering firms include Dohwa Engineering, Yushin, Taejo Engineering, and Sambo Technology Group. Financial investors (FI) are Shinhan Bank and Hana Securities, among others.

Meanwhile, the publicly funded section of the GTX-B line (Yongsan~Sangbong) will also begin full-scale design work to start construction in the first half of 2024, with plans to complete the selection of the project operator within the first quarter.

Sections 1 to 3 will begin basic and detailed design from the 16th, while section 4, which is currently undergoing basic design, will accelerate the project by advancing the selection of the qualified detailed design contractor from March to the end of February.