Daewoo E&C Eyes Participation in Karakum Canal Modernization
South Korean construction and engineering giant Daewoo E&C has announced plans to expand its operations in the Turkmen market by offering solutions in water resource management and environmental infrastructure. On the sidelines of the Turkmenistan-Korea Business Forum held in Seoul, Daewoo E&C CEO Lee Kang-seok and Durdy Genjiyev, Chairman of the State Committee for Water Management of Turkmenistan, signed a Memorandum of Understanding regarding cooperation on the Karakum Canal (Karakum River) modernization project.
The signing took place against the backdrop of strengthening intergovernmental ties—cemented during President Serdar Berdimuhamedov’s state visit to the Republic of Korea, when the parties agreed on a memorandum to implement advanced Korean water-saving technologies. As part of this new initiative, Daewoo E&C is considering participating in the reconstruction and engineering development of a canal section spanning approximately 250 kilometers. The Karakum Canal is a major irrigation artery stretching about 1,100 kilometers from east to west across Turkmenistan, originating at the Amu Darya River and supplying water to the country's agricultural sector, industry, and population centers.
The company’s systematic entry into the Turkmen market is the result of a long-term strategy devised by Jung Won-ju, Chairman of Daewoo E&C, who views the country as a key hub for business expansion in Central Asia. Since 2023, the head of the Korean conglomerate has made multiple visits to Ashgabat, holding a series of negotiations with the country’s top leadership and heads of government ministries. This strategic approach has already yielded tangible results: last May, Daewoo E&C signed a $784 million contract with the state-owned concern Turkmenhimiya to build an integrated mineral fertilizer plant in Turkmenabat, designed with an annual capacity of 350,000 tons of phosphate fertilizers and 100,000 tons of ammonium sulfate.
Having established a foothold in the chemical industry, the Korean developer plans to leverage its experience in water infrastructure renovation to participate in future projects involving petrochemical complexes, gas field development, railway network expansion, and urban planning initiatives, according to the South Korean outlet Insight.co.kr. Daewoo E&C representatives emphasize that these agreements lay a solid foundation for implementing high-tech environmental initiatives and ensuring the company’s long-term involvement in Turkmenistan’s infrastructure modernization.
