Sandvika, June 24, 2008: REC has entered into a significant long-term agreement for supply of mono-crystalline silicon wafers to Suniva, Inc. Under the agreement, REC will until 2013 deliver wafers worth more than USD 300 million (~NOK 1.5 billion).
REC Wafer, currently significantly expanding it's monocrystalline silicon wafer capacity, has signed a long-term agreement with Suniva in Georgia, USA for the supply of monocrystaline wafers.
The agreement, which runs until 2013, is structured as a take-or-pay contract with pre-determined prices and volumes for the entire contract period. The contract has an approximate value of more than USD 300 million (~NOK 1.5 billion). Contracts signed since 2006 now totals more than NOK 30 billion for the period until 2015.
"This contract is aligned with our increasing presence in the high efficiency monocrystalline cell segment and comes in addition to the significant contract portfolio signed to date", says Erik Thorsen, President & CEO.
The deliveries will start in 2009 and increase over the contract period. Prices and other commercial terms are in line with contracts signed since 2006 and include the security of a bank guarantee covering a significant part of the contract volume. Prices are predetermined to go down over time and will be depending on reduced wafer thickness.
"We look forward to work with the technical team of Dr Ajeet Rohatgi to further improve the performance of monocrystalline silicon cells.", says Ingelise Arntsen EVP of REC Wafer.
REC is uniquely positioned as one of the most integrated company in the solar energy industry. REC Silicon and REC Wafer are the world's largest producers of polysilicon and wafers for solar applications. REC Solar produces solar cells and solar modules and engage in project development activities in selected segments of the PV market. REC Group had revenues in 2007 of NOK 6,642 million and an operating profit of NOK 2,588 million. Please also see www.recgroup.com
Based in the USA in Atlanta, Suniva develops, manufactures and markets high value, high efficiency crystalline silicon photovoltaic (PV) cells for clean solar power generation. For additional information, please visit www.suniva.com
For further information please contact:
Erik Thorsen, President & CEO; +47 907 56 685
Jon André Løkke, SVP & Investor Relations Officer; +47 907 44 949