South Korea’s Daewoo Engineering & Construction has been picked to build an 8.5-km stretch of multi-lane highway in Qatar in a contract estimated to be worth $730m.
Daewoo says the high price of the work is explained by the need to build three multi-level interchanges.
The company said yesterday it had received an awarding letter from Ashghal, the public works authority of Qatar, which is developing infrastructure ahead of the 2022 World Cup.
An existing highway located 15km south of Doha will be extended by 4.5km and a new, 4-km road of between eight and 14 lanes, in both directions, will be built.
Daewoo will finish the job in 42 months after work starts, reports Business Korea.
Since entering Qatar’s booming construction market in 2005 Daewoo has won five projects there, together worth $3bn, it said.
With the latest deal, Daewoo believes it is better placed to win more infrastructure work in the run-up to the World Cup.
Business Korea quotes a Daewoo official as saying: "As the global construction market has been depressed from last year due to low oil prices, we have been making an effort to diversify our overseas business portfolio by winning infrastructure construction, including roads and bridges.
"This year, we have obtained projects such as highway construction in Ethiopia, bridge construction in India and highway construction in Qatar. We also expect to win more lucrative projects abroad in the second half of the year."
Image: Artist’s render of the multi-lane highway (Daewoo)