Suntech Becomes One of DC Chemical's Key Customers for PolysiliconSAN FRANCISCO, March 24, 2008 /Xinhua-PRNewswire via COMTEX News Network/ -- Suntech Power Holdings Co.,
Ltd. (NYSE: STP), one of the world's leading manufacturers of photovoltaic (PV)
cells and modules, today announced that it has signed a definitive eight-year
polysilicon supply agreement with DC Chemical Co. Ltd., a leading
multinational chemicals producer headquartered in Seoul, South Korea. Under
the terms of the agreement, DC Chemical will supply Suntech specified annual
volumes of polysilicon with a total value of approximately $631 million from
2009 to 2016.
Dr. Zhengrong Shi, Suntech's Chairman and Chief Executive Officer, stated,
"We highly respect DC Chemical's ability to rapidly develop commercial scale
production of polysilicon and contribute to the growth of the solar industry.
Partnering with DC Chemical for high quality polysilicon will help to expand
Suntech's relationship with companies in the South Korean solar industry as
well as building our long-term supply pipeline and accelerating our path to
grid parity solar."
Dr. Shi added, "The funds from our recent convertible senior notes
offering have put us in a strong position to enter into large, long-term
contracts such as this one with DC Chemical, which we believe will enable us
to establish a strong foundation for a grid parity cost structure in the
future. Suntech will continue to build relationships with respected upstream
polysilicon producers with a similar view to achieving solar grid parity as
early as possible."
About DC Chemical
DC Chemical Co., Ltd. (KRX: 010060) is a leading Korean producer of coal
chemicals, basic chemicals, petrochemicals and fine and specialty chemicals
and has more than 50 subsidiaries and affiliated companies. The Company has
been listed on the Korea Exchange since 1976. For more information on DC
Chemical, please visit the DC Chemical website at http://www.dcchem.co.kr .
Suntech Power Holdings Co., Ltd. is a world leading solar energy company
as measured by both production output and capacity of solar cells and modules.
Suntech is passionate about improving the environment we live in and dedicated
to developing advanced solar solutions that enable sustainable development.
Suntech designs, develops, manufactures, and markets a variety of high quality,
cost effective and environmentally friendly solar products for electric power
applications in the residential, commercial, industrial, and public utility
sectors. Suntech offers one of the broadest ranges of building integrated
photovoltaic (BIPV) products under the MSK product line. Suntech has sales
offices worldwide and is a market share leader in key global solar markets.
For more information, please visit http://www.suntech-power.com .
Safe Harbor Statement
This press release contains forward-looking statements. These statements
constitute "forward-looking" statements within the meaning of Section 27A of
the Securities Act of 1933, as amended, and Section 21E of the Securities
Exchange Act of 1934, as amended, and as defined in the U.S. Private
Securities Litigation Reform Act of 1995. These forward-looking statements can
be identified by terminology such as "will," "expects," "anticipates,"
"future," "intends," "plans," "believes," "estimates" and similar statements,
and includes the ability of DC Chemical to deliver polysilicon supply under
its supply agreements, the ability to achieve grid parity and the ability of
Suntech to expand its capabilities into the South Korean market. Such
statements involve certain risks and uncertainties that could cause actual
results to differ materially from those in the forward-looking statements.
Further information regarding these and other risks is included in Suntech's
filings with the U.S. Securities and Exchange Commission, including its annual
report on Form 20-F. Suntech does not undertake any obligation to update any
forward-looking statement as a result of new information, future events or
otherwise, except as required under applicable law.
For more information, please contact:
Investor Relations Manager
Suntech Power Holdings Co., Ltd.
In the United States:
Sanjay M. Hurry
The Piacente Group, Inc.
SOURCE Suntech Power Holdings Co., Ltd.