Gadeokdo New Airport Extends Construction Period by 22 Months, Increases Cost by 200 Billion Won... Targeting 2035 Opening

The government has extended the construction period for the Gadeokdo New Airport site development project from 84 months (7 years) to 106 months (8 years and 10 months). This effectively accepts the 108 months (9 years) requested by Hyundai Engineering & Construction, which had previously withdrawn from the project. As the government moves forward with the renewed Gadeokdo New Airport project, Hyundai Engineering & Construction stated that no decision has been made regarding its potential re-entry.

The Ministry of Land, Infrastructure and Transport and the Gadeokdo New Airport Construction Corporation announced on the 21st that they will issue a new tender reflecting a construction cost of 10.7 trillion won within the year. This is an increase of approximately 200 billion won from the previous estimate, taking into account rising prices. The government aims to begin priority construction in the second half of next year.

After announcing the basic plan in December 2023, the government attempted four rounds of bidding between May and September last year, all of which failed. Initially, the government set the construction period at 84 months, targeting an early opening in 2029. Subsequently, it pursued a private contract with the Hyundai Engineering & Construction consortium, which had been the sole bidder. However, Hyundai Engineering & Construction withdrew from the project in June this year, citing safety concerns and requesting that the construction period be extended to 108 months.

However, it has been confirmed that this renewed push for the project was made without separate consultations with Hyundai Engineering & Construction. A representative from Hyundai Engineering & Construction stated, "There have been no further discussions with the Ministry of Land, Infrastructure and Transport since the submission of the basic design, and the ministry did not share today's announcement with us." The representative added, "Since the ministry's announcement was just made today, we have nothing to say regarding our participation."

A representative from the ministry said, "Since this is a new tender, previous bidders, including Hyundai Engineering & Construction, can form new consortia to participate. While the process is open to all companies, Hyundai Engineering & Construction expressed its intention not to participate in the Gadeokdo project during the previous contract termination process."

Kim Yoonduk, Minister of Land, Infrastructure and Transport (right), visited the planned construction site of Gadeokdo New Airport on August 7 with Lee Yoonsang, Director of Gadeokdo New Airport Construction Corporation, to directly review the project progress and on-site conditions. Ministry of Land, Infrastructure and Transport

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The ministry explained that the decision to set the construction period at 106 months was based on expert opinions, stating, "This is a highly challenging project due to the thick distribution of weak marine ground, and it is necessary to allow sufficient time for ground stabilization." Since April, the government has formed a joint task force, conducted 31 internal technical reviews, and held 16 expert advisory meetings.

The government will maintain the turnkey (design-build) bidding method, allowing the contractor to organically link all processes, including soil and rock extraction, weak ground treatment, breakwater installation, marine reclamation, land reclamation, and runway installation. The Gadeokdo New Airport Construction Corporation, a specialized construction agency, will directly manage the entire process from ordering the site development to completion. The government is also considering introducing a comprehensive program management (PgM) approach to efficiently carry out this complex airport construction project.

Additionally, a coordination council will be operated during the construction period to regularly inspect safety and quality. The government also plans to actively incorporate airport facility safety measures and bird strike prevention strategies, as outlined in the "Aviation Safety Innovation Plan" announced on April 30.

The government expects that, if administrative procedures and construction proceed without delays, the airport could open in 2035.

The tender guidelines for the site development project will be made publicly available in advance starting today on the corporation's website and the Public Procurement Service's Nara Marketplace. The final version will be confirmed after review by the Technical Advisory Committee.

Kim Yoonduk, Minister of Land, Infrastructure and Transport, emphasized, "Gadeokdo New Airport must be constructed as a gateway airport equipped to fully handle passenger and cargo demand, in order to drive balanced national and regional development." Minister Kim added, "While the construction period was set with a focus on airport safety, we will actively cooperate with experts, companies, and local governments to ensure the project proceeds as quickly as possible."

Lee Yoonsang, Director of the Gadeokdo New Airport Construction Corporation, stated, "As the corporation plays a key role in managing the tender and the entire construction process, we will do our utmost to ensure the airport is built without any setbacks."

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