Hoku Materials Inc. and Shanghai Alex New Energy Co. Ltd., a manufacturer of crystalline silicon solar cells, modules and photovoltaic products, have signed a definitive contract for Hoku's sale and delivery of polysilicon to Alex over a 10-year period beginning in early 2010.
Hoku's contract with Alex represents the resale of a portion of the polysilicon production capacity recaptured by Hoku after agreeing to amend its original supply agreement with Jiangxi Jinko Solar Co. Hoku will make its first shipment of polysilicon to Alex in the first half of 2010 and ship the remainder over a 10-year period at set prices that will decline throughout the term of the agreement.
Prior to establishing its contract with Hoku, Alex had reached an agreement with Jinko whereby Alex would purchase some of the polysilicon Jinko was to receive from Hoku, in exchange for underwriting a portion of Jinko's prepayment deposits, according to the companies. At the request of both Jinko and Alex, Hoku formally assigned this additional capacity to Alex under the new agreement.
SOURCES: Hoku Materials Inc., Shanghai Alex New Energy