SAN FRANCISCO and WUXI, China, Aug. 27 /Xinhua-PRNewswire/ -- Suntech Power Holdings Co., Ltd. (NYSE: STP), one of the world’s leading manufacturers of photovoltaic (PV) cells and modules, today announced it has signed new supply agreements with GCL Silicon Technology Holdings Inc ("GCL Silicon"). Under the terms of the supply agreements, GCL Silicon will supply Suntech with 9,420 MT of polysilicon and 1.1 GW of silicon wafers from 2008 to 2012.
"These agreements with GCL Silicon will greatly strengthen our silicon pipeline and support our capacity and production expansion over the next five years," said Dr. Zhengrong Shi. "With steep declining cost curves, these agreements are in line with our strategy to quickly reach grid parity and extend our position as a leading global provider of solar products." With the addition of these agreements, Suntech has now secured approximately 1GW of silicon for 2009.
Hunter Jiang, President of GCL Silicon, said, "GCL Silicon is pleased to become a polysilicon and wafer supplier to Suntech. We view Suntech as an important strategic partner and a leading solar cell and module manufacturer. We look forward to developing a close relationship with them and are committed to expanding our polysilicon and wafer production capacity to meet the growing demands of customers such as Suntech."
Suntech recently signed over 200MW of fixed price, fixed volume sales contracts for 2009 and targets to finalize approximately 500MW of additional sales contracts by the end of September 2008. Dr. Shi added, "The demand for solar energy has continually exceeded expectations and we are confident that this trend will continue as more and more people recognize the benefits of this clean and renewable energy."
About GCL Silicon
GCL Silicon Technology Holdings Inc. (GCL Silicon) supplies polysilicon and wafers to companies operating in the solar industry. The company currently operates a polysilicon production facility in Xuzhou, Jiangsu Province in China.
About Suntech
Suntech Power Holdings Co., Ltd. is a world leading solar energy company as measured by both production output and capacity of solar cells and modules. Suntech is passionate about improving the environment we live in and dedicated to developing advanced solar solutions that enable sustainable development. Suntech designs, develops, manufactures, and markets a variety of high quality, cost effective and environmentally friendly solar products for electric power applications in the residential, commercial, industrial, and public utility sectors. Suntech offers one of the broadest ranges of BIPV products under the MSK Solar Design Line(TM). Suntech has sales offices worldwide and is a market share leader in key global solar markets. For more information, please visit http://www.suntech-power.com .
Safe Harbor Statement
This press release contains forward-looking statements. These statements constitute "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements, and includes GCL Silicon Technology’s ability to deliver polysilicon supply under its supply agreements, Suntech’s ability to achieve grid parity, Suntech’s ability to sign an additional 500MW of sales contracts before the end of September 2008. Such statements involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Further information regarding these and other risks is included in Suntech’s filings with the U.S. Securities and Exchange Commission, including its annual report on Form 20-F. Suntech does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under applicable law.
For more information, please contact:
In China:
Rory Macpherson
Investor Relations Director
Tel: +86-21-6288-5574
Email: rory@suntech-power.com
In the United States:
Sanjay M. Hurry
Vice President
The Piacente Group, Inc. (Investor Relations Counsel, Suntech)
Tel: +1-212-481-2050
Email: suntech@tpg-ir.com
