South Korea’s GS Engineering & Construction Corp. (GS E&C) will fund nearly half of a $1.4 billion project to install a petrochemical plant in Turkey.

The company announced Tuesday it has signed a contract to acquire a 49 percent stake in Ceyhan Petrokimya Endustriyel Yatrim (CPEY), a subsidiary of Turkish conglomerate Ronesans Holding, which is aiming to build a propylene and polypropylene plant capable of 450,000 tons per year.

It is the first building of the Ceyhan Propane De-Hydrogenation-PolyPropylene (PDH-PP) project, approved by the Turkish government, to build a large petrochemical complex commanding a space of 13 million square meters in Ceyhan, Adana Province in southern Turkey.

Separately from the investment, GS E&C also will be in charge of engineering, procurement and construction, as well as the front-end engineering design (FEED) work. It aims to make the production facilities fully operational in 2024.

By Park In-hye and Lee Ha-yeon

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