1. What’s the $65M Wind Farm EPC Contract About?

On July 28, 2025, Kolon Global secured a $65 million Engineering, Procurement, and Construction (EPC) contract for the Uljin Giseong Wind Farm. Representing 2.91% of Kolon Global’s total revenue, this contract is expected to contribute significantly to the company’s growth.

2. What Does This Contract Mean for Kolon Global?

Positive Impacts:

  • Increased backlog and anticipated boost in future revenue and profit
  • Expected benefits from government green policies and renewable energy market growth
  • Potential synergy with public project expansion strategy

Negative Impacts:

  • Continued risk of high PF-related contingent liabilities
  • Potential for unexpected cost increases during contract execution
  • Concerns over increased financing costs due to sustained high interest rates

3. What Should Investors Focus On?

This contract signals positive growth potential for Kolon Global. However, investors shouldn’t overlook risk factors such as high PF contingent liabilities and the real estate market downturn. Key areas to monitor include successful contract execution, the company’s efforts to strengthen its financial position, and overall market trends. Furthermore, continuous monitoring of macroeconomic factors like raw material price fluctuations and interest rate changes is crucial.

4. Investment Action Plan

A long-term perspective on Kolon Global’s growth potential, rather than focusing on short-term stock price volatility, is advisable. Consider a dollar-cost averaging strategy to manage investment risks while observing the company’s financial restructuring efforts and progress in new business ventures.