Korea Airports Corp. to carry out Laos airport development project

Korea Airports Corp. President and CEO Son Chang-wan speaks during a media conference at the firm's headquarters in Seoul's Gangseo District, Monday. Courtesy of Korea Airports Corp.

By Jun Ji-hye

The Korea Airports Corp. (KAC) will carry out a feasibility study for an airport development project in Laos worth 100 billion won ($88 million), the state-run airport operator said Monday.

KAC President and CEO Son Chang-wan said during a media conference that the Laotian government is currently pushing for the project to improve and expand Luang Prabang International Airport, located about 4 kilometers from the center of Luang Prabang in northern Laos.

The city, which was the royal capital of Laos until 1975, is known for its many Buddhist temples, and was inscribed on the UNESCO World Heritage List in December 1995.

The KAC, which operates 14 regional airports in Korea except for Incheon International Airport, participated in a bid that took place in February, and was selected as the successful bidder over the other airport operators of France, Japan and Malaysia.

The Korean airport operator will carry out the feasibility study, which includes forecasting air travel demand and drawing up plans to improve the airport operating system, as well as an environmental effects evaluation, for the next six months.

After this, the KAC will form a “Team Korea” consortium with construction companies here to participate in the work of expanding and improving the airport's facilities, with the chance of the Korean consortium's participation being very high, according to the KAC.

The project is expected to be carried out during the next 10 to 30 years, in accordance with the results of the feasibility study and the Laotian government's investment decision.

In 2019, the KAC won a 34.7 billion won bid to oversee and manage construction operations for the new Chinchero International Airport in Peru by the end of 2024. This airport is the gateway to Machu Picchu.

The airport operator also secured a 540 billion won order in April to operate an airport in Manta, Ecuador, for 30 years.

KAC head Son said that the firm's latest achievement in Laos was meaningful in that its overseas businesses, which were focused on Africa and South America, have been expanded to the Asia-Pacific region.

“As a global airport company that has a rich body of experience and knowhow, we will continue to explore the global market actively,” Son said.