Andrian Budi Utama, managing director of the MNC Group,; POSCO E&C President Lee Young-hoon,; KEB Hana Bank Executive Vice President Bae Ki-joo,; and IBK Securities President Kim Young-gyu attend a ceremony to sign an MOA to the first phase of the Lido new town project and financing on Sept. 10.

A view of an artist conception on the “Lido New City” project. (Photos: POSCO E&C)

POSCO E&C signed an MOA for the first phase of the Lido new town project and financing with the project owner Media Nusantara Citra (MNC) Group, KEB Hana Bank and IBK Securities on Sept. 10. MNC is Indonesia’s representative media and real estate developer.

The Lido new town development project calls for developing a 30,000 square-meter piece of land, owned by MNC, near Bogor, Java, about 70 km from Jakarta.

POSCO E&C will participate in the first phase of the project to build a PGA-class 18-hole golf course, a six-star, 120-bed hotel, condominiums and villas.

POSCO E&C has experience and knowhow the company has accumulated in the course of the implementation of new town projects in Korea and abroad, including in Songdo, Incheon, and Ah Khanh, Vietnam. The construction company reached an agreement on project financing with the creditors’ group after signing an MOU on the Lido first phase development project with MNC Group.

The latest deal is designed to make official the terms of the final agreement among the project owner, the contractor and the creditors’ group. A ceremony to sign the deal coincided with the Korea-Indonesia Industry Cooperation Forum that took place during Indonesia President Joko Widodo’s visit to Korea.

Among those on hand at the signing ceremony were MNC Group Chairman Hary Tanoesoedibjo, POSCO E&C President Lee Young-hoon, KEB Hana Bank Executive Vice President Bae Ki-joo, and IBK Securities President Kim Young-gyu.
POSCO E&C is expected to land a slice of Indonesian construction/project financing orders, including the Bali Trump Resort Project MNC Group is seeking to implement, on top of the Lido new town project, a POSCO E&C official said.

POSCO E&C plans to launch the project at the request of MNC Group’s early ground-breaking soon after signing loan terms on the project financing and a construction contract this year.

POSCO E&C will participate in the Lido new town development project, another Indonesian landmark following the super deluxe hotel/office Rajawasli Place project in downtown Jakarta.

POSCO E&C’s Lands Additional Petrochemical Complex Site Project

POSCO E&C struck an 81.2 billion won contract to build a site of an LSP petrochemical complex with Long Son Petrochemical (LSP), an investment corporation of Siam Cement Group of Thailand, on Sept. 17.

The project calls for building a 2.31 million square meter petrochemical industrial complex site and renovating weak ground in Long Son, Baria Vungtau Province, about 80 km southeast of Hoh Chi Minh City. The project, which will cost 81.2 billion won, will be dedicated by September 2020.