October 4 (Renewables Now) - Norway-based REC Silicon ASA (OSE:REC) said on Thursday it considers selling its facility in Butte, Montana, where it produces silane gas for use in semiconductors and semiconductor polysilicon.
The cash-strapped polysilicon and silicon gas supplier explained its decision with the ongoing solar trade war between the US and China, which was also the reason it halted polysilicon production at its plant in Washington this summer. It now said it is ready to listen to offers for the Montana facility and has hired Roth Capital to help it in the possible divestment.
Should “an acceptable bid” be received, REC Silicon will offload the production site and use the money to retire its debt, provide a buffer for contingent liabilities and prepare to restart Fluidised Bed Reactor (FBR) production at the Moses Lake plant. This could happen once the trade dispute is resolved, which will give the Norwegian firm access to the polysilicon markets in China, it said.
REC Silicon projects it will book semiconductor grade polysilicon sales of 142 metric tonnes for the third quarter, down from 210 metric tonnes in April-June. Regarding its silicon gas shipments, the company guided for “a sharp decline,” anticipating a level of around 860 metric tonnes in the third quarter, lowering its previous forecast of 900 tonnes.