Hanwha E&C’s new city project in Iraq takes shape

About 5,000 households have so far moved into a new city in Iraq, developed by Hanwha Engineering and Construction, the South Korean firm said Tuesday.

Hanwha E&C has been building new houses and infrastructure for a project worth $10.1 billion in the new town in Bismayah, 10 kilometers southeast of Baghdad, since mid-2016. The construction of the Bismayah project is about 32 percent completed.

Hanwha has so far collected $3.7 billion in construction fees from the Iraqi government for the new city project, including $560 million received at the end of last year.

The company is building 100,000 housing units as well as infrastructure including roads, water and sewage treatment plants, electric grids, power lines, education centers, hospitals and other public facilities. 

This is a new, unprecedented type of city in Iraq and has been well-received by Iraqi residents who have already moved into the town, according to Hanwha E&C. 

“This new town is gaining popularity as a safe and nice place to live through the Internet,” said Hussein Ali, a 45-year old office worker who moved into the new town. 

The company said it hopes a successful project like Bismayah would lead to other construction opportunities in Iraq and other foreign markets.

Last year, Hanwha won a project to build a 38-square-kilometer new town in Dahiyat Alfursan, Saudi Arabia with Daewoo E&C.

By Park Ga-young (gypark@heraldcorp.com)