Energy-Geek: German-Saudi Partnership to Develop Polysilicon Plant in Red Sea City

Tuesday, February 7, 2012

German-Saudi Partnership to Develop Polysilicon Plant in Red Sea City

Germany’s Centrotherm Photovoltaics, the 2nd-greatest producer of solar photovoltaic (PV) equipment, has signed an agreement with Thought Polysilicon to construct a polysilicon solar PV manufacturing facility in the Saudi Arabian Red Coast city of Yanbu, according to a Reuters News report. The agreement aims to offer Idea the technology and know-how it demands to turn out to be a market place force in the Middle East-North Africa (MENA) region, a market that’s attracting more and more interest from sector gamers globally.

The value of the contract wasn’t disclosed, though the project’s anticipated price is much more than four billion Saudi riyals ($ one.one billion), according to Reuters. Produced by a group of Arabian Gulf traders, Concept Polysilicon’s polysilicon plant will be the first in the Middle East. Planned capacity is six,000 tons per 12 months of substantial-quality polysilicon, according to the firm.

Solar power investment is expanding in Gulf Cooperation Council (GCC) countries, with German sector participants especially energetic of late. By far the biggest country and economic climate in the region, prospects for solar power are especially attractive in Saudi Arabia, though the country has been slow to capitalize on them.

Centrotherm in China Sturdy Solar Overall performance in 2011

For its component, Centrotherm, along with its peers in Germany’s solar power sector, is hunting to expand its international enterprise. In December, the Blaubeuren-primarily based firm, announced that its supplying gear for expansion of polysilicon fabrication operations with Shaanxi Tiahong Silicon Industrial Corp. (STSIC) as element of a “cooperation venture.”

STSIC began creating silicon ingots in mid-2011 employing a Centrotherm multi-crystalline ingot furnace. The initial phase of expansion is to comprehend production capacity of 1,250 metric tons of semiconductor-grade polysilicon. A second phase is to take that up to three,000 metric tons.

In addition to fabricating polysilicon, Centrotherm and STSIC are working on technologies and methods to manufacture silicon ingots and wafers. Two solar cell production lines with a mixed 60-MW production capacity have been getting commissioned in December.

Income created by Centrotherm’s Solar Cell & Module unit leapt 85.one% to 546.five million euro (~$ 683.13 million) and operating earnings, as measured by EBIT (Earnings Ahead of Interest and Taxes), leapt 70.2% to 102.three million euros (~128.88 million) in the very first 9 months of fiscal 2011, management reported in November.

Consolidated 2011 revenue surged 38.seven% 12 months-above-12 months, to 635.seven million euros (~$ 795 million) in the first 9 months of fiscal 2011. EBIT operating earnings dropped from 54.two million euros (~$ 67.75 million) as EBIT margin was squeezed from 11.8% down to four%, however. Consolidated net revenue fell to 16.6 million euros (~$ 20.75 million), down from 37.four million euros (~$ 46.75 million) for the 1st nine months of fiscal 2010.