Opening New Era in Construction

SK Construction launches construction of undersea tunnel under Bosporus Sea connecting Europe and Asia

(clockwise) Vice Chairman Yoon Suk-kyong of SK E&C; A map of where the projected Eurasia Undersea Tunnel is to be built across Bosporus Sea; A drawing of an inside of the tunnel beneath Bosporus Sea, which will be built by a consortium of builders led by SK Construction.

SK Engineering and Construction Co. kicked of its construction of an Eurasian undersea tunnel stretching for 14.6 km from Istanbul, Turkey, connecting Europe and Asia in a ceremony held on April 26.
The Eurasia Tunnel is the first undersea tunnel in such a magnitude overseas undertaken by a Korean construction firm and such notables as Prime Minister Recep T. Erdogan of Turkey leading local officials and Korean Consul-General Hong Jong-kyong in Istanbul and Vice Chairman Yoon Suk-kyong of SK Construction attended the event.
The consortium le by SK Construction won the rights to build the tunnel in 2008, but it took over 2 years to prepare for the start of the project such as financial matters, and preservation of cultural assets recognized by UNESCO in the areas where the projected tunnel is built, the company said. SK Construction expects to finalize the financial matters in the first half of this year with both domestic and foreign financial institutions so that the project can be kicked off, officials of the company said. Members of the consortium include Kukdong Construction, Samhwan Enterprise, Hanshin Construction and a Turkish construction company with SK Construction sharing 32 percent interest, the largest among the members.
The Eurasia Tunnel Project will be built 5.4 km under Bosporus Sea with a total length of 14.6 km including connected highways at the cost of some $1.1 billion, the company said. The project is the largest one ever undertaken overseas by Korean builders after the Libya's Great Man-made Canal and is to be completed in 55 months. The builders should take care of maintenance and operation of the tunnel for 311 months or 25 years and 11 months after the completion of the tunnel. SK Construction attracted a special attention in the construction industry as it has the experience of having entered the TBM undersea tunnel projects for the first time for a Korean builder, although the construction firms in advanced countries such as Japan and France undertook the projects in the past.
The tunnel project is unique one in that it is not a simple EPC type, but based on BOT type including project financing, design, construction, maintenance and operation for the first time by a Korean builder, a brand new paradigm in the Korean construction industry, construction industry sources said.
Managing Director Suh Seok-jae said the ground-breaking ceremony is significant because the consortium had to a lot of work to prepare for it in such areas as financing, traffic flow improvement and preservation of cultural assets, overcoming many difficulties in the process. Through the project, SK Construction is said to have gained its top-rated competitive edge in the area of the construction of tunnels, designing in underground space and others.
Founded in 1977, SK Engineering & Construction has accomplished continuous growth and development by diligently completing outstanding projects to meet the trust of customers in overall areas of civil engineering, architecture, plant and construction.
Technology and construction capability of SKEC has been recognized in Korea as well as in the world. SKEC has laid a strong foundation by participating in the construction of the national infrastructure such as civil engineering, road, railroad and harbor, creating diverse residential spaces in the construction industry and executing project of large-scale development.
In the plant industry, SKEC, as a leading Global Player that competes with international enterprises, has accepted construction orders of large-scale petrochemical facilities and power plants throughout the world and successfully completed its construction. Now, SKEC is steadily preparing for the bigger future, rather than being satisfied with the current growth and development accomplished until now. With the goal of becoming the best construction company in Korea, SKEC is committed to continue the current project of overseas market expansion, secure the drive for the future growth by launching the new product, and establish the developed enterprise structure by improving the internal system and process as well as the system of performance assessment, thereby building a solid foundation for taking off SKEC to the world-class company with global competitiveness.
SKEC has constantly promoted the activity for the neglected class. SKEC will provide more systematic contribution of social service such as improvement of residential culture and volunteer activity of the home for the aged, and expand the activity to the green theme and overseas social contribution, thereby making an utmost effort to being a reliable company that realizes happiness and better world for human beings. nw

Photo on Courtesy of SK E&C