LSIS active in Iraq rebuilding
By Kim Yoo-chul
LSIS, a leading provider of electric power and automation equipment, is exploiting business opportunities provided by the rebuilding efforts in war-torn Iraq.
Its CEO Koo Ja-kyun met Amer Abdul Majeed, Iraq’s vice minister of electricity, at the company’s headquarters in Anyang, Gyeonggi Province, Tuesday, where they discussed a broad range of projects, company officials said.
``Koo invited the Iraqi vice minister during his visit to Iraq last year when we signed deals to build electricity substations there,’’ said LSIS spokesman Kim Dae-seong.
Kim declined to comment on whether the company was in detailed discussions the Iraqi government over the possibility of building more substations.
He did say that the company predicts an increase in the demand for substations in Iraq as it begins to construct more power plants and renew its electricity grids.
LSIS has been enjoying growing business in Iraq over the years, driven in particular by increasing demand for its power transmission equipment and systems.
Last year, it beat international bidders to win a contract to build a network of substations there and is considering throwing its hat into the ring for the second phase of the project, which is expected to be more lucrative.
``After securing the rights to build 35 substations in Iraq last year, our total number of contracts won in the country rose to 70. The value of the orders is around $200 million,’’ Kim said.
``European companies like Siemens and Alstom had dominated the market for Iraq’s power transmission and distribution systems but we have managed to take away a slice of the pie as well. We’ve been seeing a dramatic improvement in our corporate image in Iraq and won credibility with government officials there.’’
Rebuilding power systems is a priority in Iraq, where power shortages remain a massive problem. The country is concentrating on the construction of diesel power plants and substations for power distribution.
The Iraqi vice minister will visit other domestic LSIS facilities as part of an organized trip, Kim said.