Kosep is a unit of state-run Korea Electric Power Corp (Kepco). The deal, which involves investments of 3.6 trillion won ($2.7 bn) will make Kosep the first South Korean utility to invest in renewable energy projects. Posco Engineering and Construction is a subsidiary of steel giant Posco.
The two companies will build 460 MW of tidal power generation and 500 MW of wind-power generation.
