- Amco entered into the MOA with the Chungju city to build a corporate city on November 28. - Six companies, including Amco, will participate in the 450 billion won worth of Chungju Corporate City development project. - The project is to lay the foundation to develop the city into an industrial hub in the Chungcheong province.
Chungcheongbuk-do’s series of successes in attracting investments from conglomerates heralds the full-blown implementation of ‘Buy Chungbuk’ project. According to the project plan, Chungcheongbuk-do will create a knowledge-based corporate city equipped with various infrastructure such as businesses, schools and hospitals in Chungju, Chungcheongbuk-do in 2012.
Chungju city of Chungcheongbuk-do and Hyundai Motor Group’s construction firm, Amco(Representative: Kim Chang-Hee. www.amco.co.kr) entered into an memorandum of agreement (MOA) to build a knowledge-based corporate city on a 2.13 million pyeong land in Judeok-eup and surrounding areas on November 28, an area nearing the Jungbu Inland Expressway.
During the MOA signing ceremony held in Grand Conference Room of Chungju City Hall, 60 persons, including Governor of Chungcheongbuk-do, Noh Wha-wuk, Mayor of Chungju, Kim Ho-buk and President of Amco, Kim Chang-hee participated.
Among four types of corporate cities, such as a city for industrial exchanges, knowledge-based city, tourism and leisure city, and innovation hub city, the one to be built by the Chungju city in Chungcheongbuk-do is the second type, a knowledge-based city. The new city will offer an easy access to Jungbu Inland Expressway. Plus, a new highway passing through the city from the east to west will be constructed. Land arrangement for the project is to be started early 2008 and completed by late 2012.
The 450 billion won project is participated by the city government of Chungju, Amco, POSCO Construction, Lim Gwang Engineering & Construction, Dongwha Pharmaceuticals, and Korea National Housing Corporation.
Participating provincial government and development agencies will provide part of the investments as required by Corporate City Development Act, while the rest of the finance being offered by financial institutions in the form of project financing. The investment will be reclaimed when the complex is built and sold.
The Chungcheongbuk-do project is designed to facilitate investments from private companies, develop rundown areas, realize industrial concentration by modeling after corporate cities in advanced countries, and develop the nation’s lands with balance. If succeeded, the new city will create about 30,000 new jobs and generate a whopping 3 trillion won worth of direct and indirect production effects.
This marks the first time for Amco to participate in a project jointly implemented by both private companies and government agencies.
Lee Byong-sok, head of Amco’s Civil Engineering Division said, “As the corporate city development project reflects the needs of businesses, it is expected to be evaluated as a project showcasing the dynamic cooperation between companies and provincial governments.”
Four years after its October 2002 foundation as a construction company of Hyundai Motor Group, Amco was ranked No. 33 at a study evaluating about 20,000 Korean construction firms for their construction capabilities. The company targets to rise up to No. 10 or higher, by 2010 as it has implemented key projects capitalizing on its advanced technologies such as the pier construction project for the Hyundai Steel’s Dangjin plant, and the Hyundai-Kia Motor research center construction in Yangjae-dong. It is also transforming itself into a full-spectrum global construction company as it advances into overseas market such as those in L.A .in the U.S., Germany, Slovakia, India, Czecho, China and recently Cambodia. The end.
* Corporate city: A self-sufficient multi-functional city developed into a leading industrial and business area by private companies, which have the right to purchase a subjected land from its original owners.
* Photo: President of Amco, Kim Chang-hee (left) is shaking hands with Governor of Chungcheongbuk-do, Noh Wha-wuk (middle) and Mayor of Chungju, Kim Ho-buk (right) after signing the MOA to take part in the corporate city development project.