Hyundai Engineering announced on the 28th that it held a groundbreaking ceremony on the 27th for the Hillsboro Solar Power Plant project underway in Hill County, Texas, and has begun full-scale construction.

The ceremony was attended by Seungwon Lee, Head of the Energy Division at Hyundai Engineering; Kyung Eun Lee, Consul General of the Republic of Korea in Houston; Peter Branham, Chief Operating Officer of Production at Hyundai Motor Manufacturing Alabama; Christopher Whitehead, Head of Management Support at Mobis Alabama; representatives of the lenders; and officials from local EPC companies.

The Hillsboro Solar Power Plant will be developed with a capacity of 200 MW. Hyundai Engineering is proceeding with construction with the goal of completion and commencement of commercial operation in December 2027. Once operational, the plant is expected to generate approximately 476 GWh of electricity annually.

The electricity produced will be supplied under power purchase agreements to major Hyundai Motor Group sites in North America, including the Hyundai Motor Manufacturing Alabama plant, the Kia Georgia plant, and Mobis Alabama. Hyundai Engineering expects this project to support the achievement of RE100 at Hyundai Motor Group’s North American operations.

This project is Hyundai Engineering’s first overseas renewable energy investment and development initiative for which it has led the entire process, from acquiring the project rights in 2024 to securing permits, concluding power purchase agreements, and arranging project financing. It is significant in that the company has expanded its role beyond its traditional EPC-centered business to encompass project sourcing, financing, and establishing the power sales structure.

Last month, Hyundai Engineering signed a financing agreement totaling approximately USD 310 million (about KRW 460 billion) with four domestic and international financial institutions, including Korea Development Bank. The company explained that, following the financial close and the start of construction, it has now secured the foundation for project execution.

Hyundai Engineering plans to use this groundbreaking as a starting point to steadily build experience in renewable energy development projects in the global energy market.

Previously, in 2021, Hyundai Engineering completed Section 1 of the Saemangeum Onshore Solar Power Project, the first new and renewable energy project in Saemangeum. In 2024, it was selected as a strategic partner for a 1 GW-class solar power plant project in Serbia, laying the groundwork for entry into the European renewable energy market.

In Korea, since 2023 the company has been installing solar power facilities at Hyundai Motor Group sites through investments in solar power project funds. By producing and supplying renewable energy from these facilities, it is contributing to the Group’s RE100 initiatives.

The company is also pursuing projects in the nuclear power and hydrogen sectors. Hyundai Engineering has participated in the design project for a research reactor at the University of Missouri in the United States. In the hydrogen sector, it is building a water electrolysis-based hydrogen production hub in Boryeong, South Chungcheong Province, and developing a plant-type water electrolysis system.

Hyundai Engineering plans to expand its energy business portfolio around renewable energy, nuclear power, and hydrogen to secure mid- to long-term growth drivers.

A Hyundai Engineering official said, “This groundbreaking is a milestone demonstrating that the company is evolving into an energy-focused developer that covers the entire value chain from project sourcing and financing to operation, going beyond EPC,” adding, “We will continue to strengthen our capabilities in next-generation energy businesses such as renewable energy, SMRs, and hydrogen in global markets including North America and Europe.”

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