China Nuvo Solar Energy Inc. has executed a collaboration and development agreement with Pioneer Materials Inc. (PMI) whereby PMI will build, equip, operate and manage a product development, testing and prototype manufacturing facility in Chengdu, Sichuan, China for China Nuvo.
The facility will develop, test and manufacture prototypes of solar energy products and equipment utilizing China Nuvo's unique solar technology acquired under a license agreement for a patent titled"photovoltaic cell with integral light transmitting waveguide in a ceramic sleeve."
The term of the agreement is one year with automatic six-month renewal periods, unless terminated by the parties. China Nuvo will pay PMI monthly to support the facilities, as well as technical, engineering, development, testing and manufacturing employees. In addition, PMI is eligible to receive up to 4 million shares of China Nuvo's common stock upon completion of certain milestone accomplishments as outlined in the agreement – 500,000 shares of which were issued upon execution of the agreement.