Ascent Solar signs definitive agreement to build CIGS manufacturing plant in Jiangsu Province, China
Post date: 06/01/2014
US-based CIGS module manufacturer Ascent Solar Technologies Inc. has signed a definitive agreement with the government of the Municipal City of Suqian, Jiangsu Province, China to establish a joint venture in Suqian that will manufacture Ascent’s CIGS modules and related consumer products. The 100 MW facility will be built over 6 years, with the first 25 MW phase due to come online in the first quarter of 2016.
Suqian has agreed to invest approximately $32.5 million in the venture and has agreed to provide it with approximately 331,000 sq ft of factory and office space rent-free for 5 years. After 5 years, Ascent will be required to purchase the factory and will have the option to purchase Suqian’s ownership interest in the joint venture at 1.5 times Suqian’s cash cost. Ascent will initially own just 25% of the joint venture, but it will gradually increase its shareholdings during construction to 80% ownership by contributing its proprietary technology, intellectual property and equipment.
In addition to the cash investment and the free rent, Suqian will also provide the joint venture with various other tax rebates and incentives.
Ascent Solar currently produces its CIGS thin-film products at its factory in Thornton, Colorado. Ascent makes a number of off-grid and solar-power consumer electronics products, including solar and battery cases for mobile phones and portable solar chargers.