Kim Heng and Heungwoo Industrial have entered into an agreement to establish Heungwoo Thaitan, a joint venture company in South Korea.
Thaitan International (TTI), a 50%-owned subsidiary of Kim Heng, will subscribe for shares in the new company.
The board of Heungwoo Thaitan will have two directors, with each joint venture partner entitled to appoint one. The director appointed by TTI will serve as chief operating and financial officer, while the director appointed by Heungwoo Industrial will serve as chief executive officer.
Under the agreement, Heungwoo Industrial will provide construction support as well as administrative, legal and finance services. Its responsibilities will include certain project personnel, site and access preparation, local procurement of materials, consumables and support equipment, marine support and diving services, logistics, transportation and safety control.
TTI will provide administrative, legal and finance services alongside feasibility studies, front-end engineering design (FEED), detailed engineering and project management. It will also supply specialist trenchless construction equipment and personnel, undertake construction execution and provide safety control.
The investment in Heungwoo Thaitan is expected to support Kim Heng’s business potential in horizontal directional drilling (HDD), pipe jacking and direct pipe works for onshore and offshore activities in South Korea.
