Turkmenistan signs $700M deal with South Korea for fertilizer plant

Turkmenabat facility to produce phosphate and ammonium fertilizers by 2029 as industrial cooperation expands

ASHGABAT, Turkmenistan (MNTV) — Turkmenistan has signed a $700 million agreement with South Korea to construct a large fertilizer plant in the eastern city of Turkmenabat by 2029, as part of efforts to expand its industrial and agricultural capabilities.

The deal was signed in Seoul on April 18 and involves South Korea’s Daewoo Engineering & Construction and Turkmenistan’s state chemical company, Turkmenhimiya.

According to Dayro News, the project will extract phosphoric acid from phosphate rock and produce 350,000 tons of phosphate fertilizer and 100,000 tons of ammonium sulfate annually.

The agreement also includes the development of key auxiliary infrastructure to support the plant’s operations.

Officials attending the signing included Turkmen Deputy Prime Minister Baymyrat Annamammedov, Turkmenhimiya Chairman Dovrangeldi Sapbayev, South Korean Industry Minister Ahn Duk-geun, and Daewoo E&C President Kim Bo-hyun.

“Turkmenistan is a key region that we expect to serve as a strategic hub for the construction market in Central Asia,” a Daewoo E&C official said.

“Expanding overseas is essential for a sustainable future, and we will do our best to diversify our business portfolio.”

During his visit to South Korea, Deputy Prime Minister Annamammedov also toured major engineering sites — including the Ulsan North Port Terminal and the Geoga Bridge — to assess South Korea’s capabilities in infrastructure and complex petrochemical projects.

Following the signing, bilateral talks were held between the two nations’ ministers to discuss expanding cooperation in the broader industrial plant sector, according to South Korea’s Ministry of Trade, Industry and Energy.

Daewoo E&C aims to finalize the main contract for the fertilizer plant later this year and is accelerating efforts to pursue new infrastructure and industrial projects.