Daewoo Engineering and Construction on Wednesday said it will join hands with Shaw Group, a U.S. engineering firm, to take part in a US$1 billion oil development project in Indonesia. Shaw Group topped the Engineering News Record magazine's annual listing of the top 500 global design firms in the power generation sector in 2008.

The two companies plan to carry out plant business projects in Algeria and the Middle East by establishing long-term, sustainable cooperation instead of forming a consortium for each new project. Daewoo E&C added it has also agreed with Kellogg Brown & Root, a world-leading engineering firm in the U.S., to build a partnership.