Episode 82: Jubail Construction
Ulsan Shipyard, August 1976
The large yard, spanning over 16,000 pyeong.
Large forklifts were continuously carrying thick steel plates everywhere, honking their horns. The workers’ hands, touching the steel plates heated by the scorching sun, were constantly producing intense welding sparks that shone as brightly as the sun.
The perceived temperature at the shipyard in summer, heated by the blazing sun, welding heat, and the heat emitted by various heavy equipment, was beyond imagination.
Steel plates heated to the point of cooking eggs and a space tightly enclosed.
Even standing still made one sweat profusely and struggle to breathe in the summer. Workers, who had their safety helmets pressed firmly, were engrossed in welding and sanding work, their entire bodies wrapped in protective gear like armor.
The total workforce mobilized for the construction was over 3,000 people.
The total construction cost was 931.14 million dollars.
An astronomical amount, equivalent to a quarter of Korea’s total budget at the time.
Chairman Ju, wearing a silver work helmet and observing the workers with a pleased expression, spoke to the site manager.
“Everyone is working hard. It’s nice to see. So, can we complete it within the deadline?”
“Yes, two ships have already been loaded. The other one just needs pre-outfitting and painting, and then we can load it into the dock. We plan to finish the trial run and depart within two months.”
“Well done. So, how is the OSTT (Open Sea Tanker Terminal) construction in the Middle East going?”
“It’s a bit sluggish there. The dock construction hasn’t been completed yet…”
“What? Why is it so slow?”
Oh Sang-chun, the head of the plant division, cautiously interjected.
“It seems that Brown & Root is deliberately delaying the construction time.”
“What? Those dirty foreigners, getting paid a million dollars a month and still not enough?”
Ju Il-hwan’s face turned red. The OSTT construction was being conducted under the guidance of Dr. Kim Deok-soo, who was invited as an on-site construction advisor.
However, the OSTT construction was centered around American technicians according to the technical contract with Brown & Root, and there were many unreasonable aspects of the contract.
They could unilaterally determine the non-working hours due to bad weather, and they could order the landing of not only skilled workers but also staff working on the barge if deemed unfit for the job.
Despite such unreasonable contracts, Korean companies had no choice but to be dragged along unilaterally because they had no experience in offshore structure construction.
Nevertheless, Brown & Root staff did not hurry the work, citing the reason that expensive equipment might get damaged.
Whether they worked or not, they could pocket a daily rental fee of $80,000 per offshore crane.
Especially when Dr. Kim Deok-soo was not present to oversee, foreign technicians blatantly halted work.
So, Dr. Kim had to keep a walkie-talkie to stay in touch with the site manager even when he had to leave the site.
It was frustrating for the impatient Ju Il-hwan.
“Those heartless bastards…”
Seeing Ju Il-hwan trying to contain his anger, Oh Sang-chun cautiously suggested.
“Chairman, how about requesting technical cooperation from Sumitomo this time? They have expertise in offshore structure installation. Otherwise, it might be impossible to meet the deadline.”
However, Ju Il-hwan, looking offended, glanced back at him.
“Hey, I’m Ju Il-hwan. Do you think I have no pride? What can we do if we get entangled with those Japanese? Don’t mention that again. We must complete this construction with our strength.”
Ju Il-hwan’s determination to finish this construction on his own was because the Jubail Industrial Port project encompassed all types of construction, including coastal work, breakwater construction, quay wall construction, and open sea tanker terminal construction.
Civil engineering work unfolding on land and sea, and along with building, electrical, and mechanical facilities, a marine tanker terminal that could dock four 300,000-ton tankers simultaneously.
If this industrial port construction were completed, they might be able to enter the offshore structure market, which had been monopolized by a few advanced construction companies.
Successfully completing the construction within the period and rising to a global top-tier construction company!
That was Ju Il-hwan’s ambition and belief, putting his life on the line for construction.
“If we can’t do this, no one can! That would mean the end of Korean companies’ overseas expansion, wouldn’t it? I can’t let that happen even if I end up in a small room.”
“So, what do you plan to do?”
“We can’t keep trusting those foreigners. Once we roughly learn how to handle the equipment, we’ll have to find a way to push forward independently.”
If the foreigners wouldn’t help, they had no choice but to find a way themselves.
However, just as Ju Il-hwan’s thoughts reached their peak, a tremendous noise suddenly erupted from somewhere with a loud bang.
“It’s dangerous, Chairman!!”
With the ground shaking and a crashing sound, the aides hurriedly shielded the chairman.
After the ground shook like an earthquake, Oh Sang-chun supported Chairman Ju.
“Are you alright, Chairman?”
“No, what on earth is happening?”
Chairman Ju, whose face turned pale from the sudden unexpected event.
At that moment, with a crackling sound, smoke began to rise from somewhere.
A welder ran to where Hwang, the executive director, was.
“This is terrible, Mr. Oh!”
“What’s the matter?”
Ju Il-hwan’s heart was pounding, but he responded calmly.
“Two cranes collided during the work!”
“What do you mean, collided cranes…?”
“Well… there was a signal miscommunication, and…”
“Take me there immediately! Hurry!”
A dizzy Ju Il-hwan hurried to the site.
The site manager, wearing a silver safety helmet, followed behind like flying.
Seeing the condition of the site, an involuntary groan escaped from Chairman Ju Il-hwan’s mouth.
“How could this… happen…”
The site was a complete mess.
An 800-ton tower crane had collided with a 450-ton crawler crane, causing a tremendous impact. Two booms were bent like licorice sticks, fallen towards the shipbuilding workshop, and stacked containers were crushed under the broken crane booms.
The floor was covered in bright red anti-corrosion paint flowing everywhere, with a strong ozone smell lingering as if something had burned, and the site staff were busy dealing with the burning flames.
Ju Il-hwan urgently sought the site manager.
“Any casualties? Anyone dead?”
“Some people were moderately injured, but fortunately, there are no fatalities.”
Fortunately, there were no casualties as people were about to leave for lunch.
Ju Il-hwan let out a sigh of relief.
With his heart pounding, Ju Il-hwan inwardly thanked the heavens.
If there had been any loss of life, the work would have been delayed much more.
However, looking at the devastated site, even though they had avoided a major accident, his anger surged.
“Mr. Oh, what exactly happened here?”
Oh Byung-man, the site manager who confirmed the situation, ran out hurriedly.
“Well… it was a signal mistake. The crawler crane’s Tie Bar hit the tower crane guard, causing the crawler’s wire rope to snap and the tower crane’s main jib to crash down onto the deck.”
“What about the crane signaler deployment situation? Didn’t you check?”
“Well… due to the busy schedule, the work schedule was left to the autonomy of each department head, and it seems there was a mistake.”
However, the site manager’s lame excuse did not work. Instead, it only fueled Chairman Ju’s anger.
“What, is that even an excuse? You are the one ultimately responsible for reviewing work orders. Am I wrong?”
“No, sir. It’s my fault. I’m sorry.”
“Sorry? Don’t do anything worth being sorry for. If everyone dies in an accident, will you say sorry then? Can’t you control the workers properly? And you call yourself a site manager?”
The site manager bowed his head silently under the icy reprimand.
Seeing this, Chairman Ju, even more enraged, mercilessly slapped his face.
One, two… The site manager’s face turned red, and he did not resist as Chairman Ju continued to berate him.
“Immediately clean up the site… and summon the department heads.”
“Yes! Understood.”
The site manager moved swiftly.
As he regained his composure, Chairman Ju tried to calm himself, shaking his throbbing hand.
“Phew… So… what’s the extent of the damage now?”
“Of the two cranes, the crawler is the issue. The upper boom of the crane is broken, and the tower crane’s two horizontal booms are also broken. In summary, three booms, hydraulic pistons, braking devices, trolley reduction gear, wheels, and gears—all need to be replaced.”
Chairman Ju, who grasped the situation, quickly asked again.
“Got it. So where did we order the cranes from?”
“They are imported and assembled by Mido Machinery. Fortunately, it happened within the warranty period, so we can place another order with them.”
“Good. Contact Mido Machinery and have them inspect the site. Get an estimate on when they can complete the repairs and tell them to hurry.”
“Understood. I’ll find out immediately.”
However, the response Ju Il-hwan received after contacting Mido Machinery was extremely disappointing.
“What? 1.5 billion won? How can the crane repair estimate be so high?”
Then, the employee dispatched from Mido Machinery replied as if it were only natural.
“Looking at the site, the crawler needs to be newly manufactured. The boom is bent like licorice, causing damage to the main winch and jib mast. The tower crane also has issues not only with the boom but also with the mast, which has been stressed and bent. This needs to be fixed as well.”
“Huh, so… how long will it take?”
“About three months.”
“What? Are there such extortionists? How can it take so long?”
Even senior staff who attempted negotiation found Mido Machinery’s stance unchanging.
However, Chairman Ju, who was determined to shorten the construction time, was equally adamant.
“With such conditions, we can’t place the order! Do you think you’re the only ones who make cranes?”
After ranting for a long time, Chairman Ju suddenly grabbed the back of his neck as if his blood pressure was rising.
Breathing heavily, Chairman Ju was supported by Oh Sang-chun.
“Are you alright?”
“It’s just a shock from low blood sugar. Do you have any chocolate?”
“Here you go.”
Ju Il-hwan chewed on the chocolate, thinking deeply.
There were only 36 months given for the Jubail Port construction.
Calming down, Chairman Ju asked Oh Sang-chun.
“If the work is delayed by three months, the deadline will be severely affected. Is there no faster way? Or can we manufacture it ourselves?”
“Self-manufacturing is impossible. We lack specialists, and there’s no guarantee it will be better than Mido.”
“So there’s no alternative, you’re saying?”
Despite Chairman Ju’s displeasure, the executives had no other solution and exchanged uneasy glances.
Then, one executive, who had been attending the emergency meeting, suddenly clapped his hands as if he had an idea.
“Ah, there is one option. What about Daese Industries?”
“Where?”
Chairman Ju, seeming unaware, prompted the executive to continue cautiously.
“President Yoo Joon-tae of Anyang Steel recommended them. Originally, it’s a company specializing in precision machinery and cranes like Mido Machinery. They’re linked with Cheongwoo and seem to be a reliable partner. The president is also a capable engineer from Mannheim.”
Chairman Ju turned his gaze to Oh Sang-chun with a glare.
“Why haven’t you reported this?”
“It’s a newly established company, so… their track record isn’t certain yet.”
“What does that matter! Call the president immediately!”
A call was promptly connected to Daese Industries’ headquarters.
Lee Chang-jin, who was working at the headquarters, was equally surprised to hear that the chairman of Mirae Construction wanted to meet him directly.
- To be continued in Episode 83 -