Hyundai Engineering & Construction Signs 'Design Contract' for Phase 1 of Bulgaria Kozloduy Large Nuclear Power Plant

Opening the Door to a 20 Trillion Won Bulgarian Nuclear Power Plant Project

Phase 2 Main Contract to Be Signed by the End of Next Year, Completion Scheduled for 2035

Resuming Overseas Nuclear Power Market Entry After 15 Years

On the 4th (local time), during a meeting held prior to the signing of the design contract for the Kozloduy large nuclear power plant in Bulgaria, Hyundai Construction President Yoon Young-jun (left) and Prime Minister Dimitar Glavchev (right) are taking a commemorative photo.

Hyundai Engineering & Construction has signed a design contract for the first phase of the construction of a large nuclear power plant in Bulgaria, marking its re-entry into the overseas nuclear power market for the first time in 15 years since the Barakah Nuclear Power Plant in the United Arab Emirates (UAE) in 2009. This contract is expected to signal the resurgence of South Korea's nuclear industry, which had retreated due to the nuclear phase-out policy. Overseas nuclear power plant construction provides domestic nuclear companies with opportunities for joint overseas expansion and induces job creation across the nuclear industry, resulting in significant economic ripple effects.

On the 4th, Hyundai Engineering & Construction announced that it signed a 'design contract' for the new construction project of the Kozloduy Nuclear Power Plant with the Bulgarian Nuclear Power Corporation at the Council of Ministers building located in Sofia, Bulgaria. Hyundai Engineering & Construction is carrying out this project in a consortium with the U.S. company Westinghouse.

Hyundai Engineering & Construction will begin the first phase of design this year, and the main contract for the second phase, EPC (Engineering, Procurement, and Construction), is scheduled to be signed by the end of next year, with completion planned for 2035. In this first phase, Hyundai Engineering & Construction will be responsible for designing the energy transfer components and Balance of Plant (BOP) auxiliary systems of the nuclear power plant, project site infrastructure design, and licensing support. The construction period is 12 months from the project start date.

The new construction project of the Kozloduy Nuclear Power Plant is a mega project to add two large nuclear reactors to the Kozloduy nuclear power complex, located about 200 km north of Sofia, the capital of Bulgaria. The total project cost is approximately 20 trillion KRW. Kozloduy Nuclear Power Plant is Bulgaria's first nuclear power plant and accounts for one-third of Bulgaria's electricity production. Units 1 to 4 have been shut down due to aging issues. Currently, Units 5 and 6 are in operation. The newly confirmed Units 7 and 8 will apply Westinghouse's AP1000 reactor design.

The design contract signing ceremony was attended by Hyundai Engineering & Construction President Yoon Young-jun, Bulgarian Minister of Energy Vladimir Malinov, other Bulgarian government officials, clients, and partner company representatives. On the same day, a Hyundai Engineering & Construction Bulgaria office opening ceremony was held at Obcha Kupel in Sofia. The Hyundai Engineering & Construction Bulgaria office is expected to serve as a base operating both the Sofia branch and the site office.

In February this year, Hyundai Engineering & Construction was the only company among those bidding for the Kozloduy Nuclear Power Plant new construction project to meet all pre-qualification requirements and pass the bidder qualification review alone. Subsequently, President Yoon held a series of meetings with high-ranking officials, including Bulgarian President Rumen Radev and the leaders of the first and second largest parties. Hyundai Engineering & Construction also held the 'Hyundai Engineering & Construction Nuclear Roadshow 2024' targeting local nuclear and construction industries and related organizations. In September, Bulgarian Minister of Energy Vladimir Malinov visited Korea to strengthen trust as a cooperation partner with Hyundai Engineering & Construction.

A Hyundai Engineering & Construction official stated, "Hyundai Engineering & Construction, which has led South Korea's nuclear power for half a century, has been entrusted with its second mega project following the UAE Barakah Nuclear Power Plant. Based on the government's active nuclear support policy and Hyundai Engineering & Construction's nuclear business capabilities, we will build the Kozloduy large nuclear power plant and expand our influence in nuclear power plant construction throughout Europe."