S. Korea, Brazil sign MOU to fuel export of ships, industrial plants

By Lee Joon-seung
SEOUL, Nov. 17 (Yonhap) -- South Korea and Brazil on Monday signed a memorandum
of understanding (MOU) that can help local companies export ships and industrial
plants to the resource-rich country, the government said.

The project financing deal reached in Sao Paulo between state-run Korea Export
Insurance Corp. and Petrobras could facilitate the winning of future orders by
the Brazilian oil producer and refiner, the Ministry of Knowledge Economy said.
It also claimed that securing orders for petrochemical facilities and drill ships
could give South Korean companies an important base for expansion in South
America, and revive exports to Brazil that have slid from US$1.2 billion in 2006
to $300 million last year.
South Korean companies are globally competitive in the launching of ships and
construction of various plants and industrial infrastructure.
Petrobas is the sixth largest oil company in the world and is engaged in
exploration, development and refining operations. The public company said it will
invest $112.4 billion up till 2012 to expand its business sphere.
The ministry in charge of trade and energy, meanwhile, said it will set up a
trade promotion and support center in Sao Paulo and provide 2.8 billion won
(US$2.0 million) in 2009 to help companies increase their presence in the key
South American country.
Seoul is currently injecting sizable funds into training qualified engineers that
can build industrial plants and support the development of key technologies that
could make it less dependent on foreign assistance.
yonngong@yna.co.kr
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