Yoon's State Visit to Turk... Signing 8 Cooperation Documents Including Gas Field Development Between Companies of Both Countries

Hyundai Engineering-Turk Gas and Chemical Corporation Agreement Signing

President Yoon Suk-yeol and his wife Kim Keon-hee are boarding Air Force One at Seoul Airport in Seongnam, Gyeonggi Province on the 10th, greeting as they depart for visits to three Central Asian countries: Turkmenistan, Uzbekistan, and Kazakhstan.
[Image source=Yonhap News]

On the 10th (local time), during President Yoon Suk-yeol's state visit to Turkmenistan, a total of eight cooperation documents were signed, including agreements for cooperation between companies of the two countries on gas fields and chemical plant facilities.

Through this visit, President Yoon actively supported Korean companies' orders in energy and plant projects in Turkmenistan, the world's fourth-largest natural gas holder, and strengthened economic and livelihood diplomacy. In particular, it is evaluated that the foundation for the participation of Korean companies in Turkmenistan's large-scale energy and plant projects has been expanded.

According to the Presidential Office, on this day, Hyundai Engineering signed the "Basic Agreement on the 4th Desulfurization Facility of the Galkynysh Gas Field" and the "Phase 2 Cooperation Agreement for the Normalization of the Kiyanly Polymer Plant" with Turkmenistan's Gas Corporation and Chemical Corporation.

Hyundai Engineering had secured the first desulfurization facility project of the Galkynysh Gas Field in 2009, and through this visit, it secured the second large-scale gas desulfurization facility project.

The Kiyanly Polymer Plant was ordered by Hyundai Engineering in 2013, and when its operation was suspended last year, the Turkmenistan government has been promoting a three-phase normalization project. Hyundai Engineering secured the first phase "Technical Audit Project," and with the signing of the "Phase 2 Cooperation Agreement for the Normalization of the Kiyanly Plant" between the two countries, the possibility of Korean companies securing orders for the second phase "Reconstruction Project" and the third phase "Operation and Maintenance Project" has increased.

Additionally, the Turkmenistan government is planning to build urea and ammonia fertilizer plants in Kiyanly, and it is evaluated that favorable conditions for related orders have been created for Korean companies. Since 2022, Daewoo E&C has signed an MOU for a fertilizer plant construction project worth about 3 trillion won and is targeting the Turkmenistan market.

Taking this state visit as an opportunity, the governments of the two countries also signed a Trade and Investment Promotion Framework (TIPF). The TIPF with Turkmenistan is the third in Central Asia following Uzbekistan and Kazakhstan last year. Through the TIPF, the two countries agreed to enhance economic cooperation at a future-oriented and comprehensive level in the fields of energy and industry, trade and economy, and green and digital economy.

Furthermore, the two countries signed MOUs for ▲activation of the intergovernmental joint cooperation committee ▲infrastructure and new city cooperation ▲cooperation between financial institutions, and Chilgok Kyungpook National University Hospital signed cooperation MOUs with Turkmenistan's Emergency Medical Support Center and Oncology Center, respectively.