[2023 Asia Construction Awards] Hyundai Engineering Wins First Major EU Petrochemical Plant Order in Poland

Overseas Construction Association President's Award

The '2023 Asia Construction Comprehensive Award' Overseas Construction Association President's Award was awarded to Hyundai Engineering's 'Polimery Police PDH/PP Plant Project' in Poland.

The Polimery Police PDH/PP Plant Project received high marks from the judges for achieving the first large-scale chemical plant contract in the European Union (EU), where advanced companies in the plant sector are concentrated. It was also regarded as a landmark contract in the history of Korean overseas construction.

This project involves constructing a polypropylene production facility with an annual capacity of 400,000 tons and associated infrastructure, with a total project cost of 1.54 trillion KRW. Covering an area of 120,000 pyeong, equivalent to about 55 soccer fields, it will become the largest petrochemical plant facility in Poland upon completion. Initial production began in June, and the project is nearing completion.

At this site, propylene is produced from propane gas, and the generated propylene is combined with ethylene to produce polypropylene. Polypropylene is a basic material widely used across various industries, from automotive interior and exterior parts, synthetic fibers, to daily necessities. It is expected to significantly contribute to Poland's economic development through domestic sales and exports in the future.

Panoramic view of the PDH/PP plant at Polimery Police in Poland. [Photo by Hyundai Engineering]

The Polimery Police PDH/PP Plant is regarded as a model case of 'Overseas Construction Team Korea' through public-private cooperation. The Korea Infrastructure & Urban Development Corporation (KIND), established in 2018, selected this project as its first investment project.

Through this project, Hyundai Engineering has solidified its position in the European Union (EU). Despite challenges such as workforce shortages and soaring material costs caused by the COVID-19 pandemic and the Russia-Ukraine war, close partnerships with the Polish government and major clients enabled the delivery of high-quality results on schedule without delays, proving the company's reliability and technical capabilities.

As a result, in June 2021, Hyundai Engineering secured the EPC contract for the 'PKN Olefin Expansion Project' worth approximately 4.1 trillion KRW from PKN Orlen, Poland's largest state-owned oil refining company.

Additionally, in June, at the 'Korea-Poland Business Forum' held in Warsaw, Poland, Hyundai Engineering signed two MOUs: the 'Hyundai Engineering-USNC-Grupa Azoty Police Tripartite MMR Business Cooperation MOU' and the 'Hyundai Engineering-PGZ Mutual Cooperation MOU for Polish Construction Business and Ukraine Reconstruction Projects,' achieving significant outcomes.