Ascent to build thin-film PV factory in China

Jul 10, 2013 - Ascent Solar Technologies Inc (NASDAQ:ASTI) said yesterday it will establish a thin-film photovoltaic (PV) modules plant in China’s Jiangsu province in partnership with the city of Suqian.

The US company has signed a framework agreement with the government of the prefecture-level city to form a joint venture, which in turn will build a facility for the production of Ascent’s copper-indium-gallium-selenium (CIGS) PV modules. The project will consist of three phases to be executed over six years, with the first stage taking up a total investment of around USD 160 million (EUR 125m).

Under the terms, the US firm will take an interest of up to 80% in the JV in exchange for a cash sum of about USD 1.6 million and the transfer of proprietary technology, intellectual property and equipment. Meanwhile, the city will invest some USD 32.5 million and provide a rent-free 270,000-sq-ft (25,080-sq-m) factory that is currently being constructed in the Suqian Economic and Industrial Development Science Park. The plant is expandable to 1 million sq ft for the second and third phases of the project.

Ascent will also have the option to acquire the facility within the first five years at the initial construction cost and also to take full control of the JV for a modest nominal cost above Suqian’s cash investment.

(USD 1.0 =EUR 0.780)

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