- First-ever Korean Independent Power Producer (IPP) in Chile to win 517MW

gas-fired power plant project

- Successful project execution to solidify Korean presence in Latin America power plant market

Trading & Investment Group of Samsung C&T Corporation and Korea Southern Power held groundbreaking ceremony on August 28 for the Kelar combined cycle power plant (CCPP) in Chile, in the presence of 100 distinguished guests, including Chilean Minister of Energy Maximo Pacheco Matte, Mayor of Mejillones Marcelino Carvajal, and South Korean Ambassador to Chile Yu Ji-eun.

Situated in Mejillones, Antofagasta Province in northern Chile, Kelar gas-fired CCPP is the first-ever IPP project in Chile awarded to a consortium of Korean companies.

Last November, Samsung C&T Corporation and Korea Southern Power signed BOOM (Build, Own, Operate and Maintain) contract with the Chilean subsidiary of BHP Billiton, an Australian multinational mining company, for the 517MW gas-fired CCPP.

The project holds significance in that its success was built on consolidating funding and technical capabilities from a consortium of Korean companies, with Samsung C&T and Korean Southern Power as the special purpose company, Samsung Engineering in charge of construction and Korean Export-Import Bank supporting Project Financing (PF).

With power purchasing guarantee from the customer expected to ensure stable profit, the project is also noteworthy in that Korean companies as a newcomer pioneered into the Chilean power market originally dominated by European players.

Adding to the series of projects successfully executed by Samsung C&T Corporation, including Manzanillo LNG Terminal and Norte II Gas-fired CCPP in Mexico, the Kelar project will undoubtedly boost Samsung C&T Corporation's standing in power and plant market in Latin America.

Samsung C&T Corporation aims to replicate its success in overseas project organizing in other parts of the world by fully utilizing its business experience and know-how, as well as the strong suits unique to a trading company, such as market intelligence, marketing and financing capabilities.

distributed by